SNP manifesto pledge to cap food prices ‘undeliverable’, says UK Government

SNP plans to cap the price of essential food are “undeliverable” and would cost “millions in legal bills”, a senior UK Government source has said.

John Swinney laid out his party’s manifesto on Thursday ahead of the May election, with a promise to limit the cost of up to 50 essential food items as concerns over the cost-of-living crisis grow.

Any such move – made on public health grounds similar to the push to bring in minimum unit pricing on alcohol – would be subject to the UK Government’s Internal Market Act, which can stop legislation that could impact other parts of the country.

While the source did not say if UK ministers would block the move, they did say: “This is an incoherent and undeliverable policy that risks costing the Scottish Government millions in legal bills.

“John Swinney has invented a policy more likely to put money in the pockets of lawyers than the pockets of working people.

“The UK Government is focused on taking immediate action on the cost of living – like cutting fuel bills now.”

As he announced the plan to set a maximum price for essential items such as bread, milk and eggs, Mr Swinney told supporters: “Things have got so tough it is now impacting upon our nation’s nutrition.”

He said that under the current devolution arrangement, he cannot normally set prices at the till – but Holyrood has powers over public health and he plans to use them to put a price cap on certain items.

These “fair food prices” could cover “everyday items that make up a decent diet”, he said.

He added the plan shows his Government is working on “reducing the price of the weekly shop” and “putting more money in people’s pockets”.

He said legislation would be brought forward early in the new parliamentary term to bring in the caps, with the price of individual items left up to ministers. A “sunset clause” would ensure the measure is scrapped when it is no longer required.

But Ewan McDonald-Russell, the deputy head of the Scottish Retail Consortium, said the policy is “wrongheaded” and more money should be put into the pockets of retailers to allow costs to be cut for consumers.

The 76-page SNP manifesto also pledges not to increase the rates of income tax, or the amount of bands, with the promise to “simplify” the tax regime in a bid to help people struggling with the cost of living.

Asked if this could mean the merging of the bottom three tax bands into one, the First Minister did not answer, though it is understood such a move could be under consideration by an SNP administration in Edinburgh.

The First Minister told party members at the manifesto launch in Glasgow he could “confidently” assure Scots that taxes would not rise.

He also promised to cap bus fares at £2 per journey if the SNP is re-elected.

It is understood the policy would include a subsidy for bus companies to cover the difference and it will have no geographical barriers – meaning, for instance, a journey from Glasgow to Skye would cost just £2.

By the 2031-32 financial year, according to a document produced by the party, the subsidy available to bus companies could reach £210 million, though it would be subject to change based on footfall.

Unveiling the manifesto, Mr Swinney told voters he offers “experienced, principled, reliable leadership” during “troubling and uncertain times” when “the world is riven by conflict”.

He said: “My entire adult life has been spent in the service of this country. I have given that calling my everything.

“Today, I offer to do more. To serve more.”

The SNP leader has set his sights on winning a majority of seats on May 7, insisting that would be enough to force a second referendum on independence.

The First Minister’s message to voters was clear, telling them that supporting the SNP is “a vote to put Scotland’s future in Scotland’s hands, for a referendum on independence” – one that, he said, “I intend to win”.

The Institute for Fiscal Studies said the SNP manifesto would likely require “further tax rises or deeper cuts to low-priority spending”.

David Phillips, the think tank’s head of devolved and local government, said: “In a pattern familiar by now from several other manifestos in the devolved elections, the SNP manifesto pledges additional spending – costing an estimated £1.4 billion a year by 2031–32 – without credibly saying how it would pay for this.

“A large proportion is from assumed efficiencies, on top of the substantial savings already assumed in existing Scottish Government spending plans.

“More likely in reality, paying for these plans would require further tax rises or deeper cuts to lower-priority spending.”

Scottish Labour deputy leader Dame Jackie Baillie said the SNP promises are “not worth the paper they are written on”.

She added: “The SNP still hasn’t delivered on the pledges in their last manifesto – or their 2007 one for that matter.

“If you want to know what dishonest John and the SNP will really deliver, look at their record – our NHS in crisis, schools declining, crime rising, 10,000 children homeless, and roads covered in potholes.”

Scottish Liberal Democrat deputy leader Wendy Chamberlain described the manifesto as a “snoozefest” and a “drab document”.

She added: “Besides their increasingly desperate and dubious claims about independence, the SNP have nothing to offer besides the same sort of implausible freebies they’ve promised and then failed to deliver time and again.”

Scottish Tory leader Russell Findlay said the manifesto launch should act as a “wake-up call to pro-UK voters”.