Salmond to tell Westminster: 'We want our £23m back'

FIRST Minister Alex Salmond will order an inquiry into free personal care for the elderly as the first step of an attempt to win back £23 million in attendance allowances lost to Scotland when the policy was introduced.

The SNP government has identified an inquiry into the policy as an "early priority" and plan to launch it within months.

A senior SNP source said an "important aspect" of the review will focus on the £23m-a-year worth of attendance allowances - a UK benefit given to pay for personal care for the elderly - which Westminster withdrew after Holyrood backed the free care policy.

Salmond is also considering the release of the outgoing Executive's correspondence with the UK government on the issue.

The personal care policy is the latest issue to increase tensions between the Labour government in Westminster and the SNP minority administration in Edinburgh.

Ministers on both sides of the border clashed this week on fisheries and energy policy, while Salmond also challenged the UK government's position on Iraq by informing the US ambassador of Scotland's opposition to the war.

The two governments are now set to clash on the free personal care policy, an initiative backed by former Labour first minister Henry McLeish in 2001.

The flagship policy has been dogged by accusations of under-funding and revelations of council-operated waiting lists. In opposition, the SNP blamed the problems on the UK government's decision to withhold attendance allowance for pensioners as a result of the Executive backing free care.

UK ministers were hostile to the policy because they thought it would put pressure on them to give English pensioners a similar level of free care, and it was widely reported that withdrawing the allowance from Scotland was motivated by revenge.

Nicola Sturgeon, the Scottish health secretary, is preparing to launch a high-profile review of free personal care, which she expects to start after the summer recess.

Sir Stewart Sutherland, whose report into the subject paved the way for the policy, is one of the advisers lined up to help the new study.

Salmond told the Sunday Herald that McLeish, despite his Labour loyalties, could also make a "very valuable" contribution to the inquiry, while a source close to the former MSP said he would be "delighted" to take part.

The review, Scottish government sources say, will focus on the funding and interpretation of the flagship policy, while also honing in on the attendance allowance issue.

"It is unarguable that the decision to withdraw the allowance has damaged the policy," said one source. "It will be an important aspect of the review."

SNP sources say negotiations on the issue could take place in a joint ministerial committee or, as a last resort, in the Judicial Committee of the Privy Council.

Meanwhile, the Sunday Herald understands Salmond is also looking at releasing the outgoing Executive's correspondence with Westminster on free personal care.

The Scottish Information Commissioner, Kevin Dunion, recently called on the Executive to open their files on the issue, a decision officials are currently challenging in the Court of Session.

Salmond is said to be relaxed about disclosure, but is seeking advice on the practicalities of releasing the documents.

However, the review is unlikely to smooth relations between the two governments, which have clashed in recent days over several policy issues.

The SNP government last week reaffirmed its desire to lead Scotland into EU fisheries talks, a suggestion UK minister Ben Bradshaw described as having "real constitutional difficulties". Difficulties also emerged on energy policy and the Iraq war.

A spokesman for the Scottish government said: "Ministers believe that a review can play an important part in helping the effectiveness and delivery of free personal care in Scotland."

But Lewis Macdonald, Labour's shadow minister for public health, criticised the SNP's move. He said: "This is exactly what we said would happen. The SNP is looking for issues on which to pick a fight. They are demanding a benefit that is no longer provided. The serious issue is making sure the policy is adequately funded."