As bills spiral, Scots are told: 'You've never had it so good'

SCOTLAND's most senior UK cabinet minister has come under attack after claiming that Scots have "never had it so good" under more than a decade of Labour rule at Westminster.

Des Browne, the Scottish Secretary, was accused of being "out of touch" with ordinary people at a time of soaring fuel, food and household energy bills.

He had claimed that the level of Westminster's investment in the Scottish Parliament had doubled to £30 billion a year since the late Donald Dewar became First Minister in 1999.

Mr Browne said: "Scotland, in that sense, has never had it so good." He added: "There can be no dispute about it. Scotland gets its share."

The phrase entered political folklore in 1957 when the then Tory Prime Minister, Harold Macmillan, claimed the nation was more prosperous than ever and said: "Let us be frank about it – most of our people have never had it so good."

As he outlined the activities of the London-based Scotland Office in the last year, Mr Browne's opponents seized upon his remarks, as evidence that the Government has lost touch with voters.

Last week another Scottish minister, transport minister Tom Harris, was criticised after asking why everyone was "so bloody miserable".

Mr Browne's spokesman stressed that the Scottish Secretary's remarks were focused on the amount of funding Holyrood received for public services.

He said: "Des has never said that hard-working families in Scotland are not feeling the pinch. He is saying that in public spending terms, Scotland has never had it so good, both in terms of the quantum amount of money and the rate of increase."

But David Mundell, the Tory shadow Scottish Secretary, told The Scotsman that Mr Browne's remarks "would appear quite out of touch with the lives of many Scots".

Mr Mundell added: "Whenever we think whether Scotland had it good or not, people take into account far more than the finances under the Barnett formula (which allocates a share of additional UK public expenditure to Scotland].

"They'll take into account the cost of heating, their mortgages and fuel costs. I don't think there will be many people in Scotland who'll think they have never had it so good."

Angus Robertson, the SNP leader at Westminster, said only the UK Treasury had "never had it so good" – by gaining a £6 billion windfall from higher North Sea oil revenues.

He said: "Des Browne's comments underline how desperately out of touch Labour is with real people. Scottish families and businesses are struggling to make ends meet as the cost of food, fuel and energy spiral."

But Ian Davidson, a Labour MP and member of the Scottish Affairs committee that Mr Browne addressed last week, said the government was right to remind voters of its achievements since 1997.

Mr Davidson said: "It's a bit like: 'What have the Romans done for us?' Des's phrase, if it promotes a discussion and analysis of what the financial position is, will be to our good.

"We have tended to some extent to rest on our laurels and not spelled out what we have done. It's quite clear that the Scottish Parliament has never been as well financed as it is now."

But he admitted that not everybody may have noticed the extra investment. "A lot of money went on increased salaries for low-paid NHS staff, which the public as such don't necessarily see," he said. "A lot of it went on renovations and improvements and new buildings, which after a while you take for granted.

"People enjoy that at the time but they won't necessarily see that as something they wake up to in the morning with a song in their heart. So much of the money that has been spent has been on public goods, whereas they're feeling the squeeze in their private finances. The improvement in public services is at one remove."

According to the Scotland Office, funding from Westminster for devolved matters has increased from £12.984 billion in 1998-9 to £30.148 billion by 2010-11.

Separate Holyrood figures show the amount spent per person amounted to £9,751 in Scotland – £1,107 more than the UK average of £8,644.

The differences in spending are biggest in areas such as health, where Scots receive £1,780 per person and transport, where £173 was spent compared with £328 across the UK.

Mr Browne's spokesman insisted: "In public spending terms, there has never been such a fast increase in peacetime."

Analysis: Benefits for public services

WHEN Harold Macmillan, the then Tory Prime Minister, remarked in 1957 that "most of our people have never had it so good", he was referring to the post-war prosperity that was unseen in his lifetime.

Des Browne, the Scottish Secretary, chose to adapt the phrase to explain what he sees as massive and sustained investment in Scotland's public services from the Labour government since 1997.

The devolved administration in Holyrood is in line to receive £30 billion a year by 2010-11 – more than double the figure when the Scottish Parliament began business in 1999.

"There can be no dispute about it," Mr Browne told the Scottish affairs committee. "Scotland always gets its share… Public spending in Scotland has essentially doubled since Donald Dewar was the First Minister. Scotland, in that sense, has never had it so good."

But if that is the case, ask Mr Browne's critics, then why does Scotland not feel like the land of milk and honey? Most Scots will feel themselves detached from the wealth associated with City high-flyers in London. Around towns and cities there remain run-down council estates, parks and public spaces lacking love and attention and many charity shops in deserted town centres.

And what, too, of the general economic downturn that has left motorists, shoppers and homeowners watching the pounds clock up as they pay for weekly essentials?

The answer, say Mr Browne's supporters, is that the record investment has been in public services. Think back to the situation in the mid-1990s for comparison. How many schools and hospitals have been rebuilt or refurbished since then? Hundreds, according to Labour.

Public-sector workers, from hospital cleaners to GPs, have benefited, too, through larger pay packets. Scotland's infrastructure has seen sustained investment over the past decade, but after a while it goes unnoticed. Unlike that last costly visit to the petrol station.