SNP Kate Forbes and John Swinney praise, Labour silent on Brexit

Business leaders have, of course, been quick to flag the importance of the economy in the Scottish and broader UK contexts. However, both First Minister John Swinney and the UK Prime Minister have been talking a fair deal about the economy themselves.

As my column in The Herald on Sunday observed late last month, “watching Rishi Sunak announce a summer General Election . . . it was difficult to shake the notion that he actually believes the Conservatives have done a good job on the economy”.

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The column noted: “It might beggar belief that this is his view but Mr Sunak did certainly appear to trot out what he perceives to be his economic credentials with a straight face and even an earnest expression.

“Among what he regards as his achievements, seemingly, is the fall in annual UK consumer prices index inflation back to only a bit above the 2% target.”

Annual CPI inflation was 2.3% in April, official figures revealed last month.

The column observed that Mr Sunak “did not mention the significant part the Conservatives played in driving annual CPI inflation to a 41-year high of 11.1% in October 2022”.

It looks likely we will be hearing much debate about the economy over coming weeks, in the run-up to the July 4 General Election.

What we are likely to be hearing a whole lot less about from the Conservatives, or Labour for that matter, is the hugely damaging effect of the UK’s hard Brexit.

Another of my columns last month, in The Herald, observed that as a General Election looms, “Labour continues to look quite frankly petrified about addressing Brexit in any kind of meaningful way”.

This article also pointed out that, for anyone who might harbour hopes Labour would rebuild relationships with the EU in a way that leads to meaningful mitigation of the hard Brexit damage if it were to win the election, the UK in a Changing Europe (UKICE) think-tank’s latest “tracker” report makes for grim reading.

It was interesting to see Brexit and the crucial European issue did not feature in the Progressive Britain conference in May, the column noted.

The Progressive Britain think-tank describes itself as “the new platform for policymaking, political education, and imaginative thinking to rebuild Labour and the nation”, and declares itself as being “rooted in the Labour Party”.

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It says: “We’re focusing on the big things – our work covers all aspects of Labour policy, strategy and narrative to support the party to develop distinctive, dynamic and popular positions and messages in the run-up to the next…[election].”

The column observed: “The ‘big things’, seemingly, do not include Brexit, and that is somewhat jaw-dropping.”

UKICE contemplated what might happen next on the Brexit front, including in the event of Labour winning the election, in its latest UK-EU relations tracker.

It said: “With red lines mostly unchanged, and trust still repairing, forging a closer relationship will not be straightforward.”

Labour’s “red lines”, of course, include its refusals to take the UK back into the single market or customs union.

UKICE pointed to the fact the European Commission’s youth mobility scheme proposal had been swiftly rejected not only by the Conservatives but also by Labour.

The “determination of both Labour and the Conservatives to quite simply refuse to admit that Brexit is causing huge damage”, observed in another of my columns last month in The Herald on Sunday, looks to be holding as firm as ever as voters now prepare to go to the polls in the summer. So there seems like little room for optimism on this front.

Businesses in Scotland will, of course, be keeping a close eye on what Mr Swinney’s elevation will mean for them and for the nation’s economy.

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There were some warm words for Mr Swinney, however, in the wake of his appointment, and also for Kate Forbes, who has taken up the roles of Deputy First Minister and Cabinet Secretary for the Economy and Gaelic.

As observed in another of my columns in The Herald last month: “Even the Confederation of British Industry in Scotland, which has certainly not been known for heaping praise on SNP politicians’ policymaking, was somewhat complimentary about Mr Swinney.

“Its compliments were not exactly lavish, but seemed highly notable nonetheless.

“The CBI’s comments seemed to go a fair way beyond the usual platitudes of an organisation congratulating a politician on their elevation and saying it looked forward to working with them etcetera.”

The column highlighted an observation by Tracy Black, CBI devolved nations ambassador, that “Mr Swinney collaborated positively with business in his previous roles as deputy first minister and interim finance secretary”.

Another of my columns in The Herald observed the positive comments on Ms Forbes’ appointment, including praise from the Scottish Hospitality Group, which has come across as one of the most vociferous critics of the Scottish Government in recent times.

This article noted the declaration from Stephen Montgomery, director of the Scottish Hospitality Group, that “Kate Forbes is an excellent appointment and is someone we have worked closely with previously in her role as cabinet secretary for finance”.

The column also observed Scottish Retail Consortium director David Lonsdale’s comment that Ms Forbes “worked closely with Scotland’s retailers in her previous ministerial roles, particularly over the Non-Domestic Rates Bill where she rolled up her sleeves to retain the uniform business rate, and during the Covid pandemic where she moved swiftly to implement measures on business support”.

It will be interesting to see where it all goes from here.

One thing is for sure though – there is plenty going on.

This article was first published in The Herald's Business HQ Monthly supplement