THE SCOTTISH Secretary has been panned for his continued backing of a post-Brexit law that his own predecessor admitted was undermining devolution.
Douglas Alexander, in a letter to SNP MP Stephen Gethins and first reported by The Scotsman, said the UK Government had made “clear and definite improvements” to the Internal Market Act but wouldn’t scrap it.
The post-Brexit Internal Market Act was passed by the Conservatives late in 2020 with the aim of ensuring there were no barriers to trade within the UK as a result of exiting the EU.
The SNP have continuously pushed for the law – which was used by the last Tory government to block Scotland’s deposit return scheme – to be axed.
The Scottish Government also previously labelled it the “the most significant and far-reaching assault on devolution since 1999”.
Alexander’s predecessor, Ian Murray – who was sacked earlier this month – even voted against it while in opposition.
In his letter, however, Alexander backed the law and said there would now be “a more balanced and proportionate approach” and that exclusions – agreed with the Scottish Government – would be granted.
“The outcomes of the review of the act have been carefully crafted to ensure that unnecessary barriers to trade do not arise within the UK internal market in the future, whilst also maximising the scope to realise the benefits of devolved decision-making,” he wrote.
“We have made clear and definitive improvements to the operation of the Act. This UK government has committed to implement all UKIM Act exclusions that have been agreed by all governments in common frameworks.
“Furthermore, we have committed to consider environmental and public health factors alongside economic factors in proposed exclusions from the act, thereby ensuring a balance of factors are considered, and introduced a minimum economic impact process for smaller exclusions.”
He added: “These changes represent a more proportionate and balanced approach to managing the UK internal market than existed previously – one which respects devolution whilst seeking to avoid unnecessary new costs to businesses.”
Gethins hit out at Labour for not scrapping the law, saying: “After he unceremoniously replaced Ian Murray, it seems one of Douglas Alexander’s first acts as Scotland Secretary is to announce yet another broken promise from the Labour Party.
“The Internal Market Act rides roughshod over devolution and the fact Scottish Labour politicians are happy to see the powers of the Scottish Parliament picked apart by a Brexit process Scotland didn’t vote for speaks volumes.
“Brexit has torn down the structures of Donald Dewar’s devolution and the Labour government’s support for the Internal Market Act is yet another instalment in a long line of Westminster actions to take apart devolution brick by brick.
“Any politician from Scotland worth their salt should fight tooth and nail to see the Internal Market Act repealed. But far from standing up for Scotland, Douglas Alexander and this Labour government are offering more of the same failed Tory policies.”
A UK Government spokesperson said: "Delivering for Scottish businesses is a priority for the UK Government, which we have demonstrated through our recently signed trade deals and now a strengthened internal market.
“We’ve worked closely with Scottish businesses to develop a balanced approach in the review of the UK Internal Market Act and deliver it ahead of schedule. These reforms will unlock new opportunities and ensure smooth trade across internal borders, helping to create jobs, encourage investment and boost growth right across Scotland."
