Scotland would lose influence over UK monetary policy as a consequence of English Vote for English Laws (Evel) proposals, a new report says.

A paper by the National Institute of Economic and Social Research (NIESR) says decisions about tax and spending in England have a “much larger” impact on monetary policy decisions, including the level of interest rates.

It argues that this is sufficient rationale for “allowing Scottish MPs to continue to vote on English fiscal policy, even when the issues at hand are only directly relevant under English jurisdiction”.

It adds: “Because Scotland’s impact on the central bank’s monetary policy is so small, the losses to England from having a Scottish parliament with sovereignty over Scottish fiscal policy are also very small.”

Chris Grayling, leader of the House of Commons, has proposed plans which would see Scottish MPs barred from making the final call on issues that are ‘England-only’.

However, he said all MPs would have the right to vote on the Budget and finance matters.

SNP MP Peter Grant slammed them as “ill-thought-out proposals which would make Scotland’s representation at Westminster second class”.

He called on the UK government to meet with First Minister Nicola Sturgeon to discuss Evel proposals in greater depth.

Mr Grant added: “This report highlights the dangers of Evel and the negative impact it is likely to have on Scotland. The fact remains that Scottish MPs must be able to vote on matters which impact on Scotland.”