We now come to the next order of business which is motion SM102 from the government benches seeing as no motion has been submitted from the opposition benches for this week's slot.

Fair Funding Formula Motion

This Parliament notes:

(1) That the Scottish Government has reached an agreement with the Governments of the United Kingdom, Wales and Northern Ireland on a Fair Funding Formula for the block grant.

(2) That a reduction in the block grant was inevitable due to the overfunding of Scotland compared to England and the other devolved nations.

(3) That part of the agreement includes a deprivation fund of 1.25% times the block grant to be spent directly on deprived areas.

This Parliament ratifies:

(4) The Fair Funding Formula Forum Agreement.

This motion was submitted by The Rt. Hon. Sir /u/Tommy2Boys KT KCB KBE CT LVO MSP MP, the First Minister of Scotland with support from The Rt Hon. The Baron Grantham KP KT KD KCB KBE MVO PC QC MSP, The Deputy First Minister of Scotland, and The Hon. /u/NorthernWomble MSP, the First Cabinet Secretary on behalf of the Scottish Government.

This reading will end at 10 pm on the 17 August and go to a vote the following day.

Opening Speech

Presiding Officer,

I rise today to ask parliament to ratify the Fair Funding Formula Forum. I have already given a lengthy statement on the details of the agreement so I will not do that again. What I want to do today is set out why I believe Holyrood should ratify the agreement. And why, no matter which party you are from, you should back this agreement.

Scotland has always benefitted from our place in the United Kingdom. I strongly believe that by pooling our resources in a fair manner, Scotland can realise its potential. To go it alone would be dangerous, but pooling our resources does not always mean taking as much as we can get. This Parliament must recognise that the Scottish budget has been unfairly subsidised by taxpayers from the other devolved nations compared to the funding that they are getting. For the union to work, this parliament must accept that.

So what does this mean, it leads us to the agreement we have reached. Yes, it involves a cut to our finances. Some have suggested the LPUK enjoy this cut, well that is absolute rubbish and leaves a bad taste in my mouth when it comes from people who say they want to work with us to solve the problems we are facing. I do not like the cut, but I strongly and resolutely believe that it is in the interest of the people of Scotland and for the people of the United Kingdom to accept this formula.

If we were to not accept this, what would it say? It would say that just because we had it good once, all other devolved nations should suffer permanently. We would be saying that we are more deserving of a boost above the formula than the other devolved nations. I am not prepared, as First Minister, to do that and this Parliament should not be prepared to do that either.

Presiding Officer, I want to conclude my remarks by speaking directly to opposition leaders in this place. I know that it may be easy to vote against this motion. It means you can attack the Government for the fall in the block grant. But I want you to, for one moment, pretend you were in Government. To reject this deal would be to go it alone. To be the only voice in the United Kingdom leading a Governmetn to oppose it. To tell the other devolved nations that we are more worthy of funding than other areas of the United Kingdom. I get it is difficult. Trust me I do. So I urge you to take away the figure, and look at the formula. Do you believe that the formula is unfair for the people of Scotland or do you believe that it really is a fair funding formula. If you, like I, believe it is fair, no matter how uncomfortable, I urge you to support the Government. It is in the interests of Scotland to do so, and it is with all my heart I commend this motion to Parliament today.