Part of Oral Answers to Questions — Scotland – in the House of Commons at 11:30 am on 5 March 2008.
I say to my hon. Friend that, as he is well aware, the Scottish Parliament has tax-raising powers under the Scotland Act 1998, but it has chosen not to exercise them. Members of the Scottish Parliament, in a motion that they overwhelmingly passed, accepted that proper financial accountability must be looked at in the context of the review, and we shall have to wait and see what comes out of that process. The Barnett formula has delivered stable and transparent settlements for Scotland, Northern Ireland and Wales for about 30 years. Despite the lurid headlines in some of the newspapers this morning, there are no plans for any review of the Barnett formula.