Professor Paul Hallwood’s work has been seen to have influenced the Constitutional settlement for Scotland – i.e. the Scotland Act of 2016.
“Have the wheels come off the plan to make Scotland a global player?” The Herald, 7th April 2012
“One paper, an eighth lecture – the [Allender] series was extended after the first seven – was delivered by the Scottish economist Ronald MacDonald and the American Paul Hallwood, and became the subject of intensive political scrutiny. They argued that greater fiscal autonomy for the Scottish Parliament might encourage better economic decision making”.
The Scotland Act of 2016 indeed incorporates many of their ideas for greater tax raising powers being devolved to the Scottish Parliament.
The Scottish Parliament’ s new powers are being delivered by the Scotland Act 2016  :
- Scotland has new powers as part of a secure UK.
- The Scotland Act 2016 delivers the UK Government’ s commitment to the people of Scotland.
- It brings a better balance to Scotland’ s devolution settlement.
- The new powers give the Scottish Parliament much greater tax raising powers.
- In future, Holyrood will be responsible for raising more than 50% of what it spends – making it one of the most powerful devolved parliaments in the world.
- The Scottish Parliament will set the income tax rates and thresholds for earned income in Scotland.
- This represents annual income tax revenues of around £11 billion.
- The Scottish Parliament will retain around 95% of the income tax collected here.
- The Scotland Act gives the Scottish Parliament the power to make decisions on important areas of daily life in Scotland
Posted by the Scottish Office: GetInOnTheAct
Hallwood, P and R MacDonald (2009) The Political Economy of Financing Scottish Government, Studies in Fiscal Federalism and State-local Finance, Edward Elgar, Cheltenham.
Hallwood P and R MacDonald (2006), “A Restatement of the Case for Scottish Fiscal Autonomy”, Quarterly Economic Commentary, Fraser of Allender Institute, 31, 49-53.
MacDonald R and P Hallwood (2006), “The Economic Case for Fiscal Autonomy with or without Independence”, The Policy Institute, Edinburgh.
 Scotland_Act_tax_factsheet.pdf (publishing.service.gov.uk)