Scotland’s Fiscal Framework

This briefing has been produced for the Devolution (Further Powers) Committee. It looks at some of the key issues relating to the fiscal framework that will accompany the Scotland Bill 2015-16 and is currently being negotiated by the UK and Scottish Governments. It discusses the various elements that are set to be included in the framework such as borrowing powers, block grant adjustment mechanisms and the “no detriment” principle. It also highlights some of the issues that have been raised in relation to the framework, including the lack of information that has been made available on the on-going intergovernmental negotiations. It has been argued by the House of Lords Economic Affairs Committee that this creates a significant information gap in parliamentary scrutiny.