Readers' letters: Scotland’s unneeded financial ‘black hole’

Why is Scotland experiencing a £2 billion ‘black-hole’ in its finances? It’s because as a neglected UK region, it doesn’t have the powers of an independent nation – a currency, central bank and control over its economy.

Finance Secretary Kate Forbes has said Scotland faces a "very difficult financial position" over the next few years amid rising tax warnings from leading economists

The block grant from which the Scottish Government must fund public services is just a portion of the money Scotland sends to Westminster. The rest London retains, including money Scots pay for VAT.

Add 11 per cent inflation for the poorest households and an economy in a nosedive and you get huge pressure to protect the most vulnerable on a finite budget – hence the ‘black hole’.

The unfairness of the devolution settlement is that the UK Government gets the inflation windfall from increased VAT and fuel duties, as much as £30bn this year, and doesn’t share this with the devolved nations. If it was shared, the Scottish Government’s budget problem would vanish. In effect, Scotland pays an ‘inflation penalty’ for being a UK region.

The solution is not to renegotiate a settlement the dysfunctional UK Government is busy dis-mantling after a disastrous Brexit. Rather it is to take back control of our nation.

It means managing our economy, resources, investments, foreign policy and international trade for the benefit of the people of Scotland.

Leah Gunn Barrett, Edinburgh.

The war in Ukraine alters energy balance

The UK Government in their rush for net zero said that they would ban gas for heating and cooking and advised householders to install heat pumps.

Their target was 600,000 heat pumps a year but ground source pumps are priced at £11,000 to £20,000 and air source pumps are £5000 to £12,000. Very few can afford this.

I recently had a replacement gas boiler fitted for £3000. Now the Committee on Climate Change has admitted that the running cost of heat pumps is at least 10 per cent higher than gas. So the capital and running costs are significantly higher.

Following the Ukrainian/Russian conflict the European Union has included natural gas and nuclear as green energy sources, so let's get fracking.

Clark Cross, Linlithgow.

Is Nicola really glad to see Boris go?

As Boris Johnson goes, is this what Nicola Sturgeon really wants? Ending a 300 plus years union is of course about much more than the prime minister du jour, yet Sturgeon often focuses on Johnson's style and lack of popularity in Scotland - suggesting his personality is a compelling reason for voters to back her UK break-up dreams.

Following repeated scandals, it's likely Tories will replace Johnson with a less polarising leader - unlikely to be as unpopular here. Sturgeon will inevitably now demand an early general election. In this though, she would rightly be accused of double standards.

Remember that when Alex Salmond resigned after his defeat in the 2014 referendum, Sturgeon simply took over as first minister with no Holyrood election until 2016.

Whatever Sturgeon may claim, I suspect she won't regard a Johnson departure as helpful to her secessionist cause.

Martin Redfern, Melrose.

Mandate madness

Beware politicians claiming mandates. Before Boris was booted out, he was down to his last argument, the claim of a voter mandate to stay in power. It could be that Nicola Sturgeon’s ‘mandate for independence’ is in the same category.

Crawford Mackie, Edinburgh.

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