AN SNP MP has corrected Michael Gove after he said water and Scotland's NHS won't be affected by the Tory Internal Market Bill.

The legislation, which had its second reading in Holyrood tonight, gives ministers the power to fund infrastructure and development anywhere in the UK, which the SNP say is an attack on devolution because areas such as transport and regional development are reserved powers held by Holyrood.

Gove told the Commons the Bill is "not a threat to devolution".

He went on to say that Ian Blackford's speech was "true to the John Lewis guarantee. No argument was knowingly undersold.

"But in his gusto to make his arguments .... he obscured one or two details. He talked about the threat to water in Scotland but if you look at the Bill it's clear that water is excluded from the provisions of the Bill. He talked about the threat to the NHS - a UK institution.

"If you look at the schedule to the Bill you will see that healthcare services are excluded. I'm perfectly happy to spend more time with the right honourable gentleman because it is always a pleasure to take him through this Bill to calm him and to point out the ways in which is strengthens the Union but also respects devolution [which] it does indeed respect."

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Alison Thewliss, who represents Glasgow Central, said Clause 46 of the legislation does mention that water and healthcare in Scotland will be affected.

She said: "Michael Gove claims there's no undermining of Scottish Government powers in areas such as water or health. The UK Government are seeking to take back decision making powers on a range of devolved areas under Clause 46 of the UK Internal Market Bill. It's right there."

The legislation covers "providing infrastructure at places in the United Kingdom". It says that infrastructure includes water or sewerage and health.

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SNP MP Pete Wishart said Clause 46 of the Bill allows the UK Government to “legislate directly in devolved responsibilities,” adding: “It’s a mechanism designed to bypass the Scottish Government.”

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