Leader of the Liberal Democrats in Scotland, Nicol Stephen has condemned a row between the First Minister and the Deputy Secretary of State for Scotland, over which government should be responsible for taxes from North Sea oil revenues.

The undignified row was sparked by comments by David Cairns, the Deputy Secretary of State opposing SNP demands for the Scottish Government to take over responsibility for taxing North Sea oil and gas production.

In a statement Mr Stephen said:

“The row between the First Minister and the Deputy Secretary of State will do nothing to encourage the public to engage in the debate about the powers of the Scottish Parliament.

“I believe that making the Scottish Government responsible for raising much of the money which it spends is an important part in making it more accountable to the public. The current arrangements cause a democratic deficit.

“Oil revenues are one of the most complex tax areas. Last year the Steel Commission said that there was a case for a specific tax sharing mechanism for North Sea oil revenues. But the Commission’s report made it clear that a Constitutional Convention or similar body needed to look at this complex issue in detail before any final proposals could be made. What is certain is that senior politicians having a ‘stairheid rammy’ at an industry conference is not the way to come up with the answer.”