The ability to amend sections of the Scotland Act 1998 which relate to the operation of the Scottish Parliament and the Scottish Government within the United Kingdom including control of its electoral system.
The ability to use such amendment to devolve powers to the Scottish Parliament and Scottish Ministers over areas such as abortion, welfare foods, onshore oil and gas activity, rail franchising, energy efficiency, and advice.
Enhanced control over 8 social security benefits including Best Start Grant, Carer's Assistance, Cold Spell Heating Assistance, Disability Assistance, Discretionary Housing Payments, Employment Injury Assistance, Funeral Expenses Assistance, Winter Heating Assistance and the housing elements of Universal Credit and also the ability to top up reserved benefits.
Permanence of the Scottish Parliament and Scottish Government
This Act recognises the Scottish Parliament and a Scottish Government as permanent among UK's constitutional arrangements, with a referendum required before either can be abolished. However, according to some commentators, the act institutes a weak statutory mechanism, which does not stipulate provisions or guarantees for such a referendum, or makes duties of Crown Ministers in this respect publicly answerable to the Scottish electorate.
The purpose of this section is, with due regard to the other provisions of this Act, to signify the commitment of the Parliament and Government of the United Kingdom to the Scottish Parliament and the Scottish Government.
In view of that commitment it is declared that the Scottish Parliament and the Scottish Government are not to be abolished except on the basis of a decision of the people of Scotland voting in a referendum.
During the passage of the bill, almost a full year of negotiations took place between the Scottish and UK Governments concerning the fiscal framework that accompanied it. This was necessary because of the intention to reduce the block grant given to the Scottish government by HM Treasury to take account of the additional income the Scottish government will receive through retaining a portion of the revenues from income tax that is generated in Scotland. The Smith Commission said that there should be “no detriment” to either government in this context, something which is technically difficult to achieve. A Scottish government proposal was that future adjustment to the block grant should be based on the “per capita index”, which takes into account the growth in tax receipts across the UK, not just Scotland. This is significant because Scotland’s economy and population are not growing as fast as the UK’s. However, the Treasury position was that this would be unfair to the rest of the UK.
