Speech in the Scottish Parliament on Manufacturing

Today’s motion is fascinating because, for the first time in a decade, the Tories have had the courage to offer their previous economic record for debate.

 Their economic record of two recessions, the double-digit inflation, the record unemployment, the 15 per cent interest rates and the doubling of the national debt was, “It wisnae me.”

Today, we have two new Tory leaders on show.

In the south, the two Davids—David Cameron and David Davis—both claim “It wisnae me” when they are asked about the Tories’ economic record.

However, in Scotland, the Tories’ new top team are rather different.

Annabel Goldie, who was deputy leader of the Scottish Tories throughout the 1990s, made not a whisper of dissent during that time.

Murdo Fraser was then the full-time right-hand man to Michael Forsyth and was previously chairman of the Young Conservatives.

He was a Thatcherite true believer throughout.

Neither of the Scottish Tory twosome – Annabel or Murdo – can credibly claim, “It wisnae me.”

Therefore, it is all the more interesting that, in its first debate, the new Tory team chose to laud the Tories’ rocky record.

In fairness, that record leaves rather this pickings.

If they rake around the statistical residue of their 20 years, they cannot choose growth, employment, inflation or wealth so they have alighted on the decline of manufacturing.

For the record, one statistic that Murdo Fraser omitted to mention is that manufacturing’s share of the Scottish economy fell more during the years of Tory rule than it has under the stewardship of the Scottish Executive and Scottish Parliament.

Instead he offered one statistical gem from his hero Michael Forsyth’s halcyon reign.

What accounts for it?

Was it Tory policy?

Was there an upturn in manufacturing all over Britain?

No—it was limited to Scotland.

Of course, that upturn was due to Locate in Scotland successfully attracting major electronics companies.

Although the Tories hastened the losses of Ravenscraig, Linwood, Corpach, Caterpillar, Bathgate and so many others about which we have heard from members of other parties, Locate in Scotland did provide a service for this country.

So why is there no mention in the motion of Locate in Scotland or its successors?

That is no accident.

The reason is that the only budget in the entire £25 billion that the Executive spends that the Tories want to halve is that of Scottish Enterprise and Locate in Scotland’s successors.

As the 1980s and 1990s wore on, Locate in Scotland privately lobbied the then Scottish Office, under Michael Forsyth, for a change in strategy.

Ask George Matthewson, who went on to build the Royal Bank of Scotland into the giant that it is today.

However, Michael Forsyth was increasingly determined to buy jobs at any price.

We saw less and less of the strategic investment that allowed Locate in Scotland to bring in the likes of Compaq and we saw more and more companies like Chunghwa Picture Tubes.

In the Tories’ dying days, £30 million was cynically offered to a questionable company peddling outdated technology—the classic screwdriver plant—that was always likely to go as quickly as it came.

However, Michael Forsyth’s Scottish Office was intent on financing any scheme in the futile hope that it could hold back the tidal wave of demand for devolution.

The Tories gambled with taxpayers’ money and lost.

For 10 years, the Tories have had the humility to hang their heads in shame.

They gave up trying to sell a strategy of low skill, low tech and low wages to the Scots.

Let us hope that the rise of Murdo Fraser, Michael Forsyth’s mate, does not herald a return to the same sorry short-termism that so scarred Scotland’s economy in the past.