Page last updated at 16:54 GMT, Wednesday, 25 June 2008 17:54 UK

'Arbitration' move at UK summit

Petrol pump, oil rig and 2012 London Olympics logo
Alex Salmond raised issues of revenues and funding

First Minister Alex Salmond said there were "signs of progress" in the relationship between Scottish ministers and the UK government.

He was speaking after a meeting of the Joint Ministerial Committee - the body made up of ministers from Westminster and the devolved administrations.

Mr Salmond said they had agreed there should be a new mechanism for arbitration in financial disputes.

There have been a series of disagreements over funding.

Tax revenues

Rows between Westminster and Edinburgh have involved money for the 2012 Olympics "short-changing Scotland" and soaring oil prices benefiting the chancellor.

The Scottish Government said spending on the Olympics in London falls outside the Barnett Formula for allocating shares of spending across the UK, so does not see knock-on extra funds going to the devolved administrations.

It also argued that Scotland should benefit from higher North Sea oil tax revenues.

In most cases, if the Treasury says no, then that remains the answer.

But Alex Salmond and his counterparts from Wales and Northern Ireland believe what they have won at the first meeting of the JMC for six years is a recognition of a need for an arbitration system.

The meeting was chaired by UK Justice Secretary Jack Straw.

Both sides said the meeting was "courteous and frank".

Ministers meet PM over fire strike
22 Oct 02 |  Scotland


The BBC is not responsible for the content of external internet sites

Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit


Sign in

BBC navigation

Copyright © 2019 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific