SNP Accuses Scottish Government of Inconsistency over Iberdrola Takeover

Nicola Sturgeon, the SNP deputy leader, yesterday accused the Scottish government of inconsistency and seeking to make political capital over the planned takeover of ScottishPower by the Spanish energy firm Iberdrola. The SNP has submitted a formal request for an investigation into the tax breaks given to Iberdrola by the Spanish government, which they claim is worth £1 billion. First Minister Jack McConnell responded by accusing the SNP of lacking credibility and only raising the issue to make political gains.

Key Takeaways:

• The SNP has submitted a formal request for an investigation into the tax breaks given to Iberdrola by the Spanish government, worth £1 billion.
• The First Minister, Jack McConnell, accused the SNP of inconsistency and seeking to make political capital over the takeover.
• McConnell claimed that the European competition environment should be consistent and that he had raised this point with EC president Jose Manuel Barroso.
• The SNP deputy leader, Nicola Sturgeon, stated that ScottishPower was the country's biggest industrial company and mattered to the country's economy.
• Sturgeon argued that the takeover should be blocked pending an investigation by the European Commission into the unfair subsidies available to Iberdrola.
• McConnell announced that he and his Liberal Democrat deputy would meet representatives of Iberdrola on Tuesday to discuss the takeover.
• The meeting will specifically raise the issues of the position of employees, management, and HQ functions in Scotland, long-term investment in Longannet, and the renewables industry, and pricing.

Statistics:

• £1 billion: the amount of tax breaks given to Iberdrola by the Spanish government (according to the SNP).
• 1: the number of formal requests submitted by the SNP to the European Commission for an investigation into the tax breaks (as of the time of reporting).

Sources:

• BBC News Scotland
• Reuters
• The Financial Times