Relations between the UK and Scottish Governments have “broken down” and a Whitehall review is needed to see whether the Scotland Office and the role of the Scottish Secretary should be scrapped, MPs say today.

In a damning report about the state of intergovernmental relations between London and Edinburgh, the Commons Scottish Affairs Committee urges the two governments to “summon the political will to rebuild trust and recognise the need for a constructive relationship underpinned by the principle of parity of esteem”.

The SNP’s Pete Wishart, who chairs the committee, said in the 20 years since Scottish devolution was established the political landscape had changed dramatically in the aftermath of the 2014 Scottish Independence Referendum, with Brexit and the diverging political views of the UK’s four governments, which have all placed a strain on a “delicate devolution system”.

He claimed: “The relationship between the UK and Scottish Governments has broken down and there is a palpable lack of trust between the two governments.”

Noting how while far from ideal, the intergovernmental relationship is not beyond repair, the Perth MP added: “We are calling on the Scottish and UK Governments to make fundamental changes in their approach to devolution to restore trust. We’ve also heard evidence questioning the effectiveness of the Scotland Office in Whitehall, so we are pressing for a review of the role of the Scotland Office and the Secretary of State for Scotland to ensure intergovernmental processes adapt to the changing nature of devolution.”

But a Government insider strongly denied relations had broken down and that, while there were policy differences, they remained “businesslike and constructive”.

He stressed how, far from considering scrapping the Scotland Office, Scottish Conservatives were “lobbying leadership candidates to beef it up as part of plans to strengthen the Union”.

The source added: 'The Scotland Office does a highly effective job strengthening the Union, so it's no surprise the SNP want to see it abolished.”

The MPs’ report also recommends:

*in reviewing the role of the Scotland Office and the Secretary of State, consideration should be given to replacing them with “territorial offices of state” within a single department responsible for managing constitutional affairs and intergovernmental relations, dubbed in the past by some as a Department for the Union;

*urgent reform of the Joint Ministerial Council to provide a forum which is robust enough to cope with different governments with divergent policy objectives;

*exploring the use of third-party mediation as part of a process for resolving disputes between the two governments as the current system is “not fit for purpose”;

*UK Government departments should publish devolution impact assessments outlining how policies could affect the devolved governments and

*the UK Civil Service should provide more effective devolution training.

The report says the “loss of trust began in 2007, when the SNP replaced the Labour Party in the Scottish Government” and the polarised politics of the two governments became particularly evident during the 2014 Scottish Independence referendum and again during the Brexit process.

It notes: “The relationship between the UK and Scottish Governments has come under renewed strain at a time when co-operation and trust is needed most. The current system of intergovernmental relations is not able to cope with the pressure being placed on it.

“Whilst we recognise disagreement between the UK and Scottish Governments is inevitable and legitimate, we believe the frequency and nature of the disputes we have seen in recent years have been exacerbated by a fundamental - and avoidable - deficit of trust in the relationship.”

The Scottish Affairs Committee report follows a similar one by the Commons Constitutional Affairs Committee, which last July also said consideration should be given to scrapping the Scotland Office and the role of the Scottish Secretary in a review that looked at constitutional matters post-Brexit.