Fiscal framework: Scotland Bill Lords passage delayed
- Published
The Scotland Bill's passage through the House of Lords has been delayed while wrangling over the fiscal framework continues.
Peers were due to resume line-by-line scrutiny on 9 February but that has now been put back until 22 February.
The Scottish government wants a deal concluded by 12 February to allow time for it to be examined at Holyrood.
Scottish Secretary David Mundell has informed Holyrood's Devolution Committee of the delay.
The negotiations on the fiscal framework - the financial arrangements underpinning the transfer of new powers to the Scottish Parliament - have proved both protracted and complicated.
The Scottish government has said there is still "some distance to go" before a deal can be agreed and threatened to veto any formula that was "unfair to Scotland".
First Minister Nicola Sturgeon warned recently that Scotland stood to lose billions of pounds over the next few years under the Treasury's current proposals.
Talks between the two governments are due to resume in Edinburgh on Monday.
In a letter to Holyrood's Devolution Committee, Scottish Secretary David Mundell said: "The fiscal framework talks are continuing, and I am optimistic about the process. I am doing everything I can to secure an agreement which is durable and fair to taxpayers in Scotland and the rest of the UK.
"All through the process we have made time for these issues to be properly considered and discussed, and that remains the case.
"I want to ensure both the Scottish Parliament and the House of Lords have as much information as possible for their consideration. It has been agreed, therefore, that the next parliamentary stage of the Scotland Bill will be rescheduled.
"This will allow more time for negotiations between the Scottish and UK Governments to progress. I am confident both parliaments will have the opportunity to properly consider the Scotland Bill and the fiscal framework before the Scottish Parliament's dissolution on March 23."
Deputy First Minister John Swinney responded to Mr Mundell's letter, promising the Scottish government would do "all we can" to secure an agreement.
But he added: "We will not sign up to any proposed agreement which short changes Scotland by locking in long-term cuts to our budget.
"We are working to a deadline of February 12th for talks to be concluded because the Scottish Parliament requested this, as members need time to properly scrutinise and vote on an agreed fiscal framework package before it is dissolved next month ahead of May's election - but we will give all the time possible to secure a deal."
Scottish Secretary David Mundell has written to Holyrood's Devolution Committee to inform it of the delay
Earlier the Treasury minister negotiating on behalf of the UK government said he was "confident" a deal would be reached.
Greg Hands said he had cleared his diary for a full day of talks in Edinburgh next Monday and he remained "upbeat" that an agreement would be struck.
He told the Commons Scottish Affairs Committee: "I'm ready to deal. I'm off to Edinburgh on Monday and I remain upbeat on that possibility.
"The UK government remains committed to getting that deal."
An agreement would set out how Scotland's annual block grant from the Treasury will be adjusted to take account of the new tax powers.
Mr Hands insisted the proposals will provide "huge new opportunities" for the Scottish government to grow the economy.
The deal must be "fair to taxpayers in Scotland and fair to taxpayers in the rest of the UK", he told the committee.
'Policy decisions'
Mr Hands said: "Neither Scotland nor the rest of the UK should be better or worse off as result of the initial act of devolution.
"Thereafter, the Scottish government should bear the fruit of good policy decisions and the consequences of poor policy decisions."
The committee chairman, SNP MP Pete Wishart, warned that Mr Hands and Scottish Finance Secretary John Swinney appeared to have "very different perspectives" on the long-running negotiations.
"There does seem to be some distance to go in terms of getting an agreement on this," Mr Wishart said.
Scottish Labour had earlier called for the 12 February deadline to be abandoned, and said neither side should walk away until a deal is reached.
The party has criticised a lack of transparency in negotiations and called on minutes of meetings to be published.
Shadow Scottish Secretary Ian Murray said: "Over the past few days we have seen the negotiations descend into a blame game.
"People across Scotland will not understand that after the negotiation for more powers, this deal could fall apart at the last minute."