London Olympics Bill

But the reality is that when the Mayor stands for election and determines how much he will charge as a precept across the authority, some of the money that is collected can be spent on the sort of things that are done by the LDA. I accept that some of the LDA’s money comes from the Exchequer, but—I stand to be corrected on this point—not all of it comes from the Government. The authority raises some of the money itself; some of it comes from joint schemes with the London boroughs and some of it indirectly from people who visit London. Certainly, businesses and individuals perceive that they contribute to all the budgets for all the spending streams from the Mayor’s office, of which the Mayor administers one and that is where pressure can be applied. The hon. Member for Perth and North Perthshire (Pete Wishart) pointed out that the proposal would mean capping the burden on Londoners at the expense of the Scots. That is a dangerous road to take. I do not want to be divisive, but I must put the case on the record: London contributes about 15 per cent. net to the UK economy, which is far more than it receives. Under the Barnett formula, Scotland has done very well, far better per capita than the rest of the United Kingdom. That is part of the constitutional development of the UK. London continues to raise, and spend, money and puts it into the UK kitty. As a capital city, it is happy to do so, but the hon. Gentleman would be wrong to think that we do not constantly make a significant contribution to Scotland.