Scottish Labour meets SNP to discuss Budget options

Scottish Labour has resumed Budget talks with the Scottish Government, Michael Marra has confirmed.

Last year, the party, under Anas Sarwar, refused to work with the SNP on the Budget.

But speaking after his first major speech as leader, Mr Marra said Joe Fagan, his former leadership rival, had met with Finance Secretary Jenny Gilruth.

Mr Marra said Labour would push the Scottish Government to energy support for households along with greater action on child poverty.

The Scottish Labour leader spoke after calling for the UK to rejoin the EU in a speech in Edinburgh.

Mr Marra said he had spoken to Andy Burnham about his plans and that the Prime Minister was “of course” receptive to his calls.

He told the Press Association the call was evidence he would be different to his predecessor, who quit after the May election to join the House of Lords and become a UK Government minister.

“We’re having budget talks at the moment,” he said.

“Joe Fagan, our finance spokesperson, met last week, and we’ll catch up with Joe in the next 24 hours about the content of some of that.

“We’ve set out some of the issues that we’re want to push on.

“We want to make sure there’s relief for households in terms of their energy bills – I’ve set that out just over the weekend.

“We also want to see action on child poverty, and the two things are closely related, of course.

“We want to make sure that people are getting the right kind of support.”

Mr Marra said the UK Chancellor had already delivered additional cash for SNP ministers which would help provide Scots with “a little bit of breathing space”.

Before becoming leader, Mr Marra was Scottish Labour finance spokesperson and played a key role in the party’s election manifesto, while leading the party on its Budget strategy.

Asked if he could separate himself from Mr Sarwar’s leadership, he said: “We’d hope today would be some evidence that I am prepared to go to places and challenge some of what I think have become the orthodoxies, not just of our party, but actually of the country.

“I want to actually have a genuine conversation about where we go as a country and putting Scotland’s interests first.

“I think means that we have to be a stronger country within a changing UK.”

During the Scottish Labour leadership campaign, Mr Fagan had accused his party of putting “politics and tactics ahead of real outcomes” during the last two Budget talks.

Under Mr Sarwar last year, with Mr Marra as finance spokesman, Labour had abstained from the vote, meaning the SNP had sufficient numbers without necessarily having to strike a deal with other parties.

During his speech on Wednesday, Mr Marra said he would create a distinct Scottish Labour vision as he backed the UK rejoining the European Union.

But questioned by the PA news agency, he would not say whether re-entering the economic bloc should be decided by another referendum, or if a Labour manifesto commitment would be enough.

“I’m not going to tie myself to one particular mechanism at the moment,” he said, adding that he wanted to rejoin the EU “as soon as possible” but said it would not be within the current Parliament.

Mr Marra said he believed there was “political common ground” on the matter, saying: “I don’t see why that the SNP could not come on board in that conversation and say we want to see the Scotland back in the EU.

“The best route to do that, the most realistic route to achieve that, is as part of the UK.”