| Allan Wilson:
I actually agreed
with a lot of what Mr MacAskill had to say, particularly about this being
a question of vision. I am not going to say that we as a small nation cannot
do it, as Mr MacAskill put it; we are saying that we can do it. The Texas
analogy is interesting, and demonstrates the wider benefit of the economic
and political union with a bigger entity.
There was a
time when the ideas of wealth creation and social justice seemed incompatible
in Scotland. The Labour party in power has, I believe, dispelled that myth,
and has ensured that the creation of wealth is being used to give chances
and opportunities to those who had none, and to redistribute resources
to those who need them. We call that social inclusion, and a vital part
of that is for everyone to be able to take part in the cultural life of
their communities. By supporting the creative industries in a way that
only Labour can, we are expanding that virtuous circle of wealth creation
and social and cultural inclusion.
In the current
climate created by Labour, which is ideal for steady growth, we will specifically
give support—as described by the Deputy Minister for Enterprise and Lifelong
Learning—to help those creative industries flourish. We recognise the vital
role played by the creative industries as part of a productive, successful
economy. The creative industries are anticipated to grow significantly
faster than the economy as a whole, and there is every indication that
that trend will continue for the foreseeable future.
Labour wants
to seize that opportunity for greater wealth and job creation, with the
creative industries having the potential to strengthen the economy, to
widen lifelong learning, to offer opportunities for people returning into
the work force and to regenerate our communities, as part of the Scottish
Enterprise clusters plan.
I was pleased
to see ministers commit themselves to creating a proper platform for the
exchange of intellectual property rights. We have been slow to find ways
of protecting the most valuable asset of the new economy—knowledge. By
developing a system that allows intellectual property rights to be shared
and exchanged legally and efficiently, we will limit the huge losses to
the music and media industries that result from copying and bootlegging.
I imagine that there can be nothing more discouraging than spending money
and time creating something of value, only to have it ripped off by bootleggers.
I was also pleased
by the development of the cluster approach to economic growth in this sector.
That involves related industries operating as a group, being at same time
one another's customers, competitors, partners, suppliers or research and
development sources. Partners in a cluster continue to compete, but they
also share the benefits of innovative ideas and practices that make all
of them more competitive. Clusters depend on collaboration rather than
competition. In many ways, they are the antithesis of the laissez-faire
Thatcherite economics of the past. They enable economies better to create
the conditions that are necessary for companies to compete on the basis
of innovation, higher value added and rising productivity, all of which
support the rising wages and standards to which Labour is committed.
The energy and
ideas that are created by growing industries work best when they can be
shared and supported by like-minded people. We in the Labour party have
always been aware that competition can be wasteful in some circumstances.
Instead of Scottish companies always competing with one another, together
they will compete better in the global market to which Kenny MacAskill
referred if they collaborate with one another, where possible, and identify
win-win solutions. The cluster approach in Scotland that has been pioneered
by Scottish Enterprise currently applies to a range of sectors. The overall
aim is to ensure that Scotland's small, open economy thrives in an increasingly
competitive global economy.
In the United
Kingdom, Scotland is considered a world leader in the creation and success
of innovative cluster strategies. The Department of Trade and Industry
has strongly endorsed that approach. Every one of the new English development
agencies has the promotion of clusters and networks as a key part of its
strategic plan. We are ambitious for these industries, as we are ambitious
for Scotland. We aim over the next five years to increase the value of
this sector by 30 per cent. By achieving that, we will create not only
jobs but more opportunities for people to hear music, read books, watch
movies and see plays. We will work with and guide the market to ensure
that that happens.
I turn now to
the Tory amendment. When it comes to regulation, the creative industries
are not significantly different from other sectors of the economy. Since
coming to power, the Labour Government has created the best economic environment
for indigenous business growth and inward investment for a generation.
The new 10p starting rate of corporation tax was introduced in April and
came on top of cuts in the main and small business rates of corporation
tax to their lowest ever levels—lower than the levels in any of our competitors.
We have taken further steps to boost productivity, such as cutting capital
gains tax, to create the most favourable environment that Britain has ever
seen for encouraging entrepreneurs, rewarding risk taking and extending
share ownership.
The truth is
that Britain has one of the most lightly regulated labour markets in the
world and, according to the Organisation for Economic Co-operation and
Development, one of the most lightly regulated product markets. To meet
our manifesto commitment to cut red tape, an objective that we support,
we have established the improving regulation in Scotland unit to free Scottish
business from needless regulation.
Labour has delivered
for business, turning a huge borrowing requirement into a budget surplus.
Mr MacAskill:
Labour is spending more money on bailing out
the millennium dome than Allan Wilson is proud of spending on this strategy.
It is spending £40 million on bailing out the dome, but £25
million on something that the member has described as fundamental. Does
he think that that is right?
Allan Wilson:
If that is the sort of contribution that we
can expect from Mr MacAskill, Mr Swinney will have to do better than arranging
the deck chairs on the nationalist Titanic. Not a penny of public money
has been invested in the dome. All of it is lottery money. In this debate
we are talking about investing in creative industries from within our budget.
I conclude with
a testimony to the efforts of the Labour Government to providing the business
environment that will enable the creative industries to flourish. Interest
rates are near their historic low, and long-term rates have now converged
with the euro zone rates; indeed, they are probably slightly lower. Ten
years ago, under the Tories, they were 3.7 per cent higher. Unemployment
is at its lowest level since 1974, the last time we had a Labour Government.
There is no coincidence there.
I support the
motion and present a win-win scenario for the Scottish nation: economic
prosperity and widening opportunity; low rates of personal taxation; and
record levels of public investment. I support the motion and reject the
amendment.
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