The committee says it heard compelling evidence that the current framework for how such bodies operate “lacks coherence” and “isn’t fit for purpose”.
In its inquiry report, the cross-party MSPs say a “root and branch” review is necessary before any further bodies are created, or the powers of existing ones are expanded.
While the committee’s report specifically focuses on bodies directly responsible to the Scottish Parliamentary Corporate Body (SPCB), it hopes the findings can “set the tone” for decisions around the wider public body landscape in Scotland.
Scotland already has seven SPCB-supported bodies in operation, but the number could double before the end of the current five-year parliamentary term if current proposals were to progress.
Finance and Public Administration Committee Convener Kenneth Gibson said:“Our inquiry isn’t about the merits, or otherwise, of existing SPCB-supported bodies. The post-holders we spoke to are a dedicated group of people with a common purpose to serve Scotland in the public interest.
“The evidence shows, however, there is no clear, coherent framework underpinning how all of these bodies operate. Over the years, the landscape has developed in an ad hoc way, with new commissioners being agreed on a case-by-case basis.
“It’s led to a disjointed landscape of individual bodies with varying functions and powers. There is also evidence of duplication and overlap between existing SPCB-supported bodies and other public bodies in Scotland.”
SIX new bodies being considered
Mr Gibson added:“Once the Patient Safety Commissioner becomes operational the number of SPCB-supported bodies will stand at eight. Proposals for a further six new advocacy-type SPCB supported bodies are currently being considered.
“This proliferation appears primarily to have been driven by calls to respond to perceived failures in public service delivery, or to bring prominence to certain issues or policies.
“It is our clear view that this advocacy role is for MSPs to undertake, with Parliament holding Government to account. We also believe that funding for new bodies would be better spent on improving the delivery of local public services, where greater impact can be made.
“Continuing the trend for creating new advocacy-type SPCB-supported bodies is not sustainable, especially at a time of significant pressure on public finances in Scotland.”
Root and branch review
Mr Gibson concluded:“Now is the time to pause and take stock. Before adding any more to the mix, we must first design a coherent structure, with enhanced accountability and scrutiny mechanisms, along with effective delivery and measurement of outcomes.
“The committee therefore calls for a moratorium on creating any new SPCB-supported bodies, or expanding the remit of existing bodies, until a ‘root and branch’ review of the structure is carried out, drawing on the evidence and conclusions set out in this report.
“We also make a series of recommendations that will, in the meantime, improve transparency, accountability, scrutiny and value for money of existing bodies.”
The committee also recommends:
the review should be undertaken by a dedicated parliamentary committee, including all political parties, and with meaningful engagement by the Scottish Government – to be completed by June 2025.
the Scottish Government should set out how it plans to use this report to “set the tone” for the Scottish Government’s wider review of the public body landscape, as highlighted by the Minister for Public Finance during evidence.
Thousands of students across Scotland are at risk of homelessness unable to access the right housing in the country’s biggest cities, according to a new report for a cross party group of MSPs.
It says there is a severe student housing crisis in cities including Edinburgh, Glasgow and Dundee and calls on the Scottish Government to take immediate action to tackle the issue.
The report for the Cross Party Group on Housing highlights significant shortfalls in student accommodation, including a shortfall of 13,852 bedspaces in Edinburgh, 6,093 in Glasgow, and 6,084 in Dundee.
An acute shortage of accommodation compounded by a lack of affordable and/or accessible options for students with additional support needs or mature students with families, has left many students facing precarious living situations.
“The Scottish Government declared a housing emergency earlier this year, but students are often left out of the conversation,” said Graham Simpson MSP, Convenor of the Cross-Party Group on Housing.
“We have come up with a set of recommendations for the government that are clear and challenging. These include the need for a collaborative approach to student housing, more robust data on student accommodation, and the integration of student housing into local housing strategies.”
The report, co-authored by the Chartered Institute of Housing (CIH) Scotland, the UK Collaborative Centre for Housing Evidence (CaCHE), the University of Stirling, StudentCrowd, the Edinburgh Student Housing Co-operative (ESHC) and Slurp Edinburgh (Students for Action on Homelessness), also stresses the importance of city-wide one-stop shops that would guide students to suitable and affordable accommodation, an initiative that could help alleviate some of the pressure on housing markets in major student cities.
“The issue of student housing can be contentious as developers compete for prized land and local residents may feel pushed out due to lack of affordable housing supply,” said Ashley Campbell, Policy and Practice Manager, Chartered Institute of Housing Scotland.
“The challenge for government, local authorities and universities is to work together more proactively to ensure that everyone can access a home to meet their needs and that students can find their place within existing communities.”
Lawrence Williams of Slurp Edinburgh added: “From hidden homelessness to unaffordable rents, students in Scotland face a range of housing issues that have long been overlooked by policy-makers and universities.
“This report is a promising first step towards recognising the crisis and identifying structural barriers to student housing security.
“We urgently need bold measures like rent controls, cooperative student housing, and guaranteed emergency accommodation for homeless students.”
Businesses in Scotland are experiencing “significant challenges” in exporting goods to the EU as a result of considerable non-tariff barriers which have arisen due to the post-Brexit UK-EU trading relationship, according to a new report by the Constitution, Europe, External Affairs and Culture Committee.
The Committee is calling for the new UK Government to negotiate improvements to the trading relationship to better facilitate UK-EU trade.
The findings are part of a report focused on how trade in goods between the UK and EU is working under the UK-EU Trade and Cooperation Agreement (TCA). The Committee also looked at the opportunities to improve the trading relationship.
The report highlights that non-tariff barriers have placed “considerable administrative, resource and cost pressures on businesses”, and “harmed exports”. Key amongst these barriers include the requirements for customs formalities and regulatory checks for all exports from the UK to the EU.
The Committee considers the challenges facing Scottish businesses to have been a consequence of leaving the EU as well as the type of Brexit which the TCA has delivered.
In order to address these trade barriers, the Committee identifies that there will be a need to seek closer regulatory alignment with the EU. It says that the reduction of trade barriers will therefore depend on the extent of alignment the new UK Government is prepared to commit to in negotiations with the EU.
A key recommendation of the report is that the UK Government seek a veterinary agreement with the EU to significantly reduce border checks and the administrative burden on exports of agri-foods. The Committee say this could significantly reduce barriers to trade for many Scottish businesses.
Further recommendations to reduce barriers to trade include a mutual recognition agreement with the EU on conformity assessments, and the linkage of the respective UK and EU emissions trading schemes. In each case, the Committee say that greater regulatory alignment with the EU will likely be necessary.
The Committee also believe that the UK and Scottish governments need to provide greater support to businesses in managing the complexity of the current trading environment. In particular, it highlights that support is needed for businesses to comply with changing EU regulations, and to navigate the customs and regulatory requirements of trading with the EU.
The Convener of the Constitution, Europe, External Affairs and Culture Committee, Clare Adamson MSP, said:“It’s clear to us that the UK-EU trading relationship under the terms of the TCA has presented significant challenges for Scottish businesses exporting to the EU post-Brexit.
“These barriers to trading with the EU have resulted from the decision to leave the EU, but also from the post-Brexit trade agreement with the EU.
“While the EU may noy be willing to substantially renegotiate the agreement, there are nevertheless significant opportunities to improve the trading relationship, including through our important recommendations such as the need for a veterinary agreement with the EU.”
The Convener added:“We heard overwhelming evidence that the non-tariff barriers resulting from the TCA have placed considerable administrative, resource and cost pressures on Scottish businesses, with many withdrawing from the EU market as a result.
“These challenges have been particularly acute for exporters of agri-food products, which are required to meet the EU’s Sanitary and Phytosanitary measures, as well as SMEs, who have been less able to absorb the additional costs and regulatory burdens.
“Therefore, it’s clear that there is a need for the UK Government to negotiate improvements to the trading relationship to better facilitate UK-EU trade, including through the formal review of the TCA in 2026.”
HOLYROOD and WESTMINSTER GOVERNMENTS RESPOND TO PETROINEOS’ DECISION TO CLOSE OIL REFINERY
The Scottish and UK Governments have announced a joint investment plan for Grangemouth following Petroineos’ decision to decommission its oil refinery and pledged to work together for an industrial future for the site.
The company today confirmed it will cease refining oil at the site during the second quarter of 2025 onwards due to global market pressures and competition from bigger, more modern and efficient sites in the Middle East, Asia and Africa.
This follows years of loss-making, with the company stating that it has lost more than $775 million since 2011 despite having invested more than $1.2 billion to maintain the refinery’s safe operation.
UNITE trade union general secretary Sharon Graeme said the closure is ‘an act of industrial vandalism, pure and simple’.
The Scottish Government has been working with the UK Government to deliver an investment plan that will help secure Grangemouth’s industrial future and protect its skilled workforce.
This includes:
£100 million package. This includes £20 million in joint funding from the Scottish and UK Governments announced today on top of £80 million in joint funding from the two governments for the Falkirk and Grangemouth Growth Deal. This funding will support the community and its workers, investing in local energy projects to create new opportunities for growth in the region. Over the next 30 years, it is estimated that the Falkirk & Grangemouth Growth Deal will deliver over £628 million in economic benefits, with an employment impact of 1660 net jobs across the Falkirk Council area.
Immediate career support for workers. Scottish and UK Government to provide tailored support that will help affected workers in finding new employment.
Investment in the site’s long-term future. The £1.5 million joint-funded Project Willow study has identified a shortlist of three credible options to begin building a new long-term industry at the refinery site, including low carbon hydrogen, clean eFuels and sustainable aviation fuels.
It comes as the UK Government confirmed today it stands ready to engage on how the National Wealth Fund could back projects that have the potential to yield a viable long-term future for the site.
Ministers have confirmed that both governments will put local businesses, workers, and trade unions at the heart of decision-making on determining the region’s industrial future.
Cabinet Secretary for Net Zero and Energy Gillian Martin said:“My immediate thoughts are with the workforce. This is a very challenging time for them and their families, and we will support every worker affected by this decision.
“We are working very closely with the UK Government and together we have communicated our disappointment to Petroineos today.
“The Scottish Government has consistently made clear our preference was for refining to continue as long as possible, and we have continued to press the shareholders for a positive decision until the 11th hour.
“This significant package of support combines immediate help for affected workers and a long-term contribution to ensure that Grangemouth continues to thrive in the future. We are clear that there should be a just transition for the refinery site and we remain committed to bringing forward low carbon opportunities that will sustain skilled jobs across the wider area for many years to come.”
UK Government Energy Secretary Ed Miliband said:“It is deeply disappointing that Petroineos have confirmed their previous decision to close Grangemouth oil refinery.
“We will stand with the workforce in these difficult times, that is why we are announcing a package of investment to help the workforce find good, alternative jobs, invest in the community and serve a viable industrial future for the Grangemouth site, with potential for future support from the National Wealth Fund.
“Unlike in the past, the government is working in lockstep with the Scottish Government across every front. Workers and their families should be in no doubt this is a Government that stands with workers, trade unions, and businesses to fight for jobs and investment in Scotland.”
Secretary of State for Scotland Ian Murray said: “I understand this is a worrying time for the workers at the refinery and the UK Government is working closely with the Scottish Government and Petroineos to ensure they are being supported.
“Both governments have invested in Project Willow to examine how Grangemouth remains an energy hub in Scotland. The enhanced £100 million Falkirk and Grangemouth Growth Deal announced today will help ensure the long-term future of the site – a key part of our journey to clean energy by 2030.
“We remain committed to working together looking at how we can help the area build on its skilled workforce and local expertise to boost economic growth.”
The Energy Secretary Ed Miliband and Cabinet Secretary for Net Zero and Energy Gillian Martin have taken joint action to urgently engage with Petroineos, industry experts, and trade unions in exploring all possible solutions to secure a viable industrial site for the future, in the event of a decision from the company to close the refinery.
Ministers continue to urge the company to keep refining open for as long as possible, emphasising the company’s responsibility to its employees and the community.
As the company has made clear that there is no viable commercial future for the refinery business, the Scottish and UK Governments have today unveiled a package to help the workforce, invest in the area and secure a viable industrial future for the Grangemouth site, as one of Scotland’s key industrial heartlands.
The company’s decision to convert to an import terminal means that their fuel supply will now be maintained by importing refined products directly, rather than importing crude oil to refine on site.
This will form part of the UK’s diverse and resilient fuel market, covering both imported fuel and refined oil production. Since 2013, the UK has been a net importer of refined products, with imports accounting for 51% of UK demand for all petroleum products in 2023.
In response to today’s news from the company, the Energy Secretary Ed Miliband will co-chair an immediate virtual meeting of the Grangemouth Future Industry Board, with Cabinet Secretary for Net Zero and Energy Gillian Martin, and the UK Government Secretary of State for Scotland Ian Murray. Ministers will discuss next steps with local industry leaders, Falkirk Council, trade bodies and unions – ahead of an in-person meeting of the Grangemouth Future Industry Board later in Autumn.
‘AN ACT OF INDUSTRIAL VANDALISM’
Unite, the UK’s leading union, has vowed to explore all avenues to preserve high quality jobs at Grangemouth following the announcement that PetroIneos will go ahead with its plans to close its refinery.
PetroIneos confirmed today that it intends to close the refinery at Grangemouth between April – June 2025 and become an import and export only facility. The announcement places in jeopardy the jobs of the 500 workers directly employed (represented by Unite) at Grangemouth and thousands more in the supply chain.
There is widespread fury within the workplace due to the failure of the bosses and politicians to ensure the future of the site.
Unite general secretary Sharon Graham said: “This is an act of industrial vandalism, pure and simple.
“This dedicated workforce has been let down by PetroIneos and by the politicians in Westminster and Holyrood who have failed to guarantee production until alternative jobs are in place.
“This is now the last chance for this Labour government to show whether its really on the side of workers and communities. The road to net zero cannot be paid for with workers’ jobs.
“The government must put its money where its mouth is to ensure the jobs are safeguarded. This is the only refinery left in Scotland and it must remain. There are alternative plans.
“This is yet another example of workers paying for a crisis they did not create while billionaire owners laugh all the way to the bank “
Unite is now in high level talks with the government about alternatives for the site including the production of sustainable aviation fuel.
Derek Thomson, Unite Scottish Secretary said: “The sole objective for Unite remains that the jobs at the refinery and thousands more in the supply chain are protected by any means.
“Unite does not accept that the future of the refinery should have been left to the whim and avarice of shareholders. The complex is critical to the nation’s manufacturing base and energy security. The governments involved cannot simply hide behind the convenient smokescreen that this is a commercial decision which they couldn’t influence.”
The Grangemouth complex is of critical strategic economic and infrastructure importance for Scotland and the UK.
It is the only oil refinery in Scotland and it provides four per cent of its GDP and eight per cent of the nation’s manufacturing base.
The Grangemouth support package announced by the Scottish and UK Governments today includes :–
Joint Grangemouth support package:
The Scottish and UK Governments have today confirmed a joint £100 million support package for Grangemouth.
This includes a total of £20 million in additional investments, to support the local Grangemouth community following the closure of the refinery. It covers:
The £10 million Scottish Government ‘Greener Grangemouth’ programme, that aims to deliver projects at the heart of Grangemouth’s just transition.
£10 million from the UK Government for local energy projects, as well as new skills support from the Office for Clean Energy Jobs to help the site’s workers into good clean energy jobs.
Today’s additional funding comes on top of an £80 million Falkirk and Grangemouth Growth Deal, match-funded by the two governments, to back new industries across the region.
The Growth Deal will support a range of new projects, including:
A bioeconomy plant already in the pipeline, which could use waste whisky and food in chemical production processes to reduce reliance on fossil fuels – via technology currently unavailable in the UK.
A new £9m technology centre to support the development, manufacture and use of low carbon technologies. This will help companies substitute their products and industrial processes for greener alternatives, and will be linked to wider hydrogen and carbon capture use and storage projects.
An employment hub led by one of the UK’s largest operators, Forth Ports, will help develop the skilled workforce needed to support emerging energy sectors. The move will help to drive innovation and attract new investment across sectors, such as offshore wind energy, renewable energy production, storage and distribution, and tidal power.
Immediate career support for workers:
The Scottish and UK Governments are working closely with the company, Petroineos, to provide immediate support for affected workers at Grangemouth refinery, while longer-term projects get up and running on the site.
The trade body Fuels Industry UK will ensure affected Grangemouth workers have direct access to a wide range of potential employers. The association will also work with the specialist skills provider Cogent to host job vacancies from relevant employers for the Grangemouth workforce.
Workers at the refinery will also receive tailored advice, helping them to identify new training opportunities – backed by the Scottish Government’s Partnership Action for Continuing Employment framework.
The UK Government has also confirmed that Grangemouth will be among the first areas that the new Office for Clean Energy Jobs will work with to help deliver a just transition for workers.
Project Willow:
A range of proposals to deliver a viable long-term future for the Grangemouth refinery site have been shortlisted by the UK and Scottish governments, as part of a joint-funded £1.5 million feasibility study.
The project is exploring how the region can build on its skilled workforce, local expertise and long heritage as a fuel leader in Scotland to forge a new path in clean energy production.
Following an initial research phase, the project has identified three potential industries that could be hosted on the refinery site. These are:
The production of low-carbon hydrogen.
Clean eFuels synthesised from chemical components like hydrogen or carbon dioxide
Sustainable aviation fuels which use lower carbon sources like forestry and agricultural waste, used cooking oil and carbon captured from the air to produce jet fuel.
These options will now be tested against their potential to create long-term industries in Grangemouth, support new jobs and contribute to the UK’s clean energy transition. The project will engage extensively with the local community, trade unions, businesses, and industrial experts on rapidly assessing the most viable candidates for industrial production on the Grangemouth site.
A new report by the Health, Social Care and Sport Committee has found that implementation of the Social Care (Self-directed Support) (Scotland) Act 2013 has been hampered by a range of factors.
The legislation was introduced to ensure that care and support is arranged, managed, and delivered in a way that supports choice and control for individuals. Although the Committee has heard that Self-Directed Support (SDS) has been implemented well and is transformational for individuals in some areas, the report highlights a number of challenges that have meant the legislation is not always implemented in a fair and equitable way across the country.
The Committee say that restrictions on available providers, how services are commissioned and procured, and the financial systems and models of care currently in place mean that, in many parts of the country, SDS has not been delivered in the way intended by the legislation.
The post-legislative scrutiny report concludes that a lack of knowledge and understanding of the principles of the Act among key staff is also limiting effective implementation of SDS. The Committee says social workers face a number of constraints which prevent them from taking a relationship-based approach to their work in a way that would enable them to fully implement the principles of SDS.
Other issues highlighted by the Committee include inconsistent application of eligibility criteria by Health and Social Care Partnerships. The Committee concludes that, in many instances, the way current eligibility criteria are applied contradicts the aims and principles of SDS.
While the Committee heard examples of good practice from certain local authority areas, which are offering those in receipt of care more choice using a range of different collaborative initiatives, they say there have been challenges in applying this good practice across the country.
The Committee also concludes that there is an urgent need to establish a process of national oversight and clear lines of accountability across all levels of decision-making to ensure a significantly improved approach to monitoring and evaluation of SDS.
On the report’s publication, Clare Haughey MSP, Convener of the Health, Social Care and Sport Committee, said:“While it’s clear from our evidence that stakeholders strongly support this legislation, its implementation has not been consistent across the country.
“During our scrutiny, the Committee has heard that there is a lack of national consistency in relation to information, advice and support to ensure fair and equitable access to social care through SDS.
“We also have concerns over recruitment and retention of the social care and social work workforce, the continued impact of Covid-19 and wider funding constraints across the social care system that are affecting proper implementation of the Act.
“Our conclusion is that the current underlying system of social care delivery based on individual assessment, eligibility and transactional care contracts is incompatible with the principles of SDS.
“The Social Care (Self-directed Support) Act was introduced ten years ago with the intention of empowering individuals to have greater choice and control over the care they receive. However, in too many cases, the principles of SDS are not being observed, meaning individuals are not receiving the care they want or deserve.
“We are calling on the Scottish Government, Local Authorities and Health and Social Care Partnerships to ensure proper implementation of the legislation through greater national consistency, by improving local authority practice and processes, addressing issues around commissioning and tendering, and significantly improving processes for ongoing monitoring and evaluation of the policy.
“We would like to thank all of those who contributed to our post-legislative scrutiny of SDS.”
Their Majesties, The King and The Queen, will attend a special 25th anniversary celebration at the Scottish Parliament on Saturday 28 September, it has been announced.
The event will mark 25 years since the Scottish Parliament was reconvened and will include special performances from the Royal Conservatoire of Scotland, Sistema Scotland, Còisir Alba and Calum McIlroy, showcasing Scottish music and culture.
MSPs have also nominated “local heroes” to attend the event. These are constituents from their local area who have made an extraordinary contribution to their communities.
Presiding Officer of the Scottish Parliament, Rt Hon Alison Johnstone MSP said: “25 years of the Scottish Parliament marks a significant milestone in the country’s political journey. I am delighted that Their Majesties The King and The Queen will join us to mark this special occasion.
“This anniversary offers the perfect opportunity for us not only to reflect on the last 25 years but to look to the future and consider how Parliament can continue to best meet the needs of those it serves.
“A cornerstone of this commemorative event will be about recognising the extraordinary contribution people from right across Scotland have made, and continue to make, to their own communities.
“I look forward to welcoming people from all over Scotland for a day of reflection and celebration.”
The King and The Queen have a long association with The Scottish Parliament. The King attended the official opening in 1999 and the 20th anniversary celebrations in 2019, and Their Majesties attended our opening ceremony in 2021 and most recently the motion of condolence for the Late Queen in 2022.
John Swinney presented his first programme for government to parliament on Wednesday. John Swinney came to power as First Minister in May, but due to the UK General election, this was his first opportunity to set out his government’s programme (write MAIRI SPOWAGE and EMMA CONGREVE).
The Programme for Government has four key themes: eradicating child poverty, economic prosperity, improving public services and protecting the planet. So far, so familiar – and not a huge departure in the substance from the three priorities presented in the 2023-24 Programme for Government by his predecessor.
The speech, of course, focused on the upside and how each strand of what was set out will be mutually reinforcing. One thing we often comment on when looking at these high-level speeches is that some of these things might occasionally conflict with each other. So, what is good for business might not be good for tackling child poverty, and vice versa.
However, the FM made clear that child poverty is ‘first and foremost in these priorities’. This sounds like a clear signal that where there are trade-offs, child poverty concerns will win over. Some may disagree with putting that first above all else, but for those of us trying to understand why certain decisions are being made, it’s not unhelpful for the government to be setting out a clear steer.
We’ll be looking at what that means in practice when it comes to Budget allocations; to implement much of what he talked about – for example, a roll-out of the type of whole family support that has been piloted so far – will require new money.
Also, following on from the Finance Secretary’s grim statement on Tuesday, no amount of prioritisation can totally overcome fiscal constraints.
Despite the fact that more targeted (rather than universal) measures are probably sensible for targeting child poverty, the non-delivery of the pledge to roll-out free school meals to all children in primary 6 and 7 is likely to sit uneasily with the FM. More tough decisions in this mould are likely to need to be made.
Elsewhere in the Programme for Government, there are some interesting specifics in relation to the economy, particularly on planning. The government has committed the establishing Scotland’s first “Planning Hub”, the establishment of Masterplan consent areas, and a planning apprenticeship programme. Whilst this sounds like pretty dry stuff, one of the most common frustrations raised by businesses is about the planning system, so this is likely to be welcomed.
Other things were notable by their absence. The Human Rights Bill and the Learning Disability, Autism and Neorodivergence Bill were not on the list of Bills for this 2024-25 session.
Given the 2025-26 session will be cut short by an election, they aren’t likely to be passed this parliament. This has come as a shock to many given previous assurances and the substantial resources that civil servants and stakeholders alike have put into the pre-legislative process to get these ready.
We’re yet to hear a convincing explanation for why they’ve been delayed.
The fiscal statement casts a long shadow
The statement on Wednesday was hugely overshadowed by the fiscal statement on Tuesday. Overall, as well as setting out fiscal “black holes” it felt like Tuesday’s statement sucked up most of the political energy around in the week, leaving Wednesday to feel like a bit of a low energy anti-climax.
We are still not sure after the statement exactly what the Finance Secretary sees as the gap in the budget. Given she has set out £500m of “direct savings” plus the use of £460m of use of Scotwind money, we assume it is roughly £1 billion. £800m of this has been tied to “pay pressure”, and the rest (we assume £100-200m?) has been described as “in demand-led activities like legal aid, police and fire pensions and the costs of accommodation for Ukrainian displaced people” plus COVID-related health measures.
After a bit more detective work, we’ve documented the “£500m of direct savings” in the table below, along with where we still have questions:
Published description
What we’ve worked out
Savings
£65m
Pre-announced decisions: peak fare train fairs to return, no free bus travel for asylum seekers plus agreement with local government to draw on existing programmes to fund pay deals
According to Transport Scotland, the cost of the full year subsidy for the peak fares pilot was approximately £40m[i]. In theory then, not having it running for the last 6 months saves £20m, although it is unclear to us if this was budgeted for to begin with given the pilot was only expected to last for 6 months of the year.The BBC reports £2m had been set aside for free bus travel for asylum seekers[ii]BBC reports that Councils have been asked to redirect £5m of this year’s nature restoration fund to help fund pay deals[iii]. In addition, £10m has been redirected from the Connecting Scotland’s digital devices programme (free iPADs and laptops for people who were digitally excluded), £2m from the fund to expand free school meals to p6 and 7 pupils who receive the Scottish Child Payment (although they say it will still be delivered) and £26m from the Flood Risk Management Programme, on the basis that “councils do not need it in this year”.ivThese total £65m.
£188.4
New additional measures announced on 3rd September
Full table of figures are laid out in the Annex of the letter to the Finance Committee.As there are no figures to help put these reductions into context (i.e. in relation to the size of the original budget allocations) it makes it hard to judge whether these are likely to have a large or small impact.
£60m
Savings anticipated through emergency spending controls, in addition to savings set out as part of the £188.4 million.
They are linked to recruitment freezes, and reductions in costs of travel and marketing, as per the letter to Cabinet reported in the mediav. We have no information on how the number has been calculated.
£160m
The cost of universality in the Winter Fuel Payment.
The money for an equivalent to the UKG universal WFP was added to the Block Grant adjustment for 2024-25. The recent UKG decision to remove universality means that this money will need to be returned to UKG through the fiscal framework reconciliation process.SG could spend this money in 2024/25, but would then need to find savings in subsequent years to cover the reconciliation.We understand a decision on whether it will be spent this year is yet to be made.
Total savings
£473.5m
Up to £500 million saving measures
We understand from officials that the “up to £500m” is a rounding up of the total.
The fact that we are having to piece this together, including from media reports, is obviously not ideal. We don’t think it would have been too much to ask to have all this detail laid out, along with the evidence of impact that was cited in the letter to the Fiance and Public Affairs Committee.
We hope more information is released into the public domain in the coming weeks alongside the Autumn Budget Revision so help clear things up, as far as possible…
A look ahead to the budget
We now know the Scottish Budget will be on the 4th of December. The other important day to understand what the budget may look like for the rest of this financial year and the next will be the UK Budget on 30th October.
We should at that point have much more clarity about the financial envelope which the Scottish Government is working with for 2025-26.
There are also likely to be significant changes to departmental allocations for the current financial year (2024-25). Rachel Reeves said in her fiscal statement as Chancellor in July that she expected some of these in-year issues to be soaked up by departmental budgets.
The extent to which this will actually be achieved will also impact the monies coming to the Scottish Government. Therefore we may be most of the way through 2024-25 before we actually understand how much of the Scotwind revenue is required to balance the budget in 2024-25. It may mean that this is not the last fiscal statement we have about the current financial year.
Given all these in-year movements we would like to call, yet again (like SPICe have done in their blog), for the Government to provide in the Budget next year’s plans alongside the current position for 2024-25.
The convention (for some reason) would be to present the budget plans for 2025-26 compared to the plans that were set out for 2024-25 in December 2023. The in-year movements we have seen over the last three years make a nonsense of this convention (which reduces transparency and hampers parliamentary scrutiny).
This may be a bit of a niche point but it would make analysis of these statements much easier. Here’s hoping that this is finally the year this change is made.
Independent Advisers will be able to launch investigations into alleged breaches of the Ministerial Code under new powers being given to them by the First Minister.
Currently, investigations can only begin following a referral from the First Minister. Now, the Scottish Ministerial Code will be strengthened to enable independent advisers to investigate potential breaches whenever they feel it is warranted.
In a further reform, where a breach is established, advisers will be able to provide advice to the First Minister on appropriate sanctions.
The independent advisers will also be given a role in scrutinizing Ministers’ declarations of interests so they can offer advice on avoiding actual or perceived conflicts of interest.
First Minister John Swinney said: “The people of Scotland rightly expect Ministers, including myself, to be held to the highest standards.
“The 2023 Ministerial Code already set an extremely high bar in terms of standards in public life and these updates to the Scottish Ministerial Code, which are, collectively, the most significant since independent advisers were introduced in 2008, will further increase transparency and scrutiny.
“These changes, and others which will be confirmed when the new Code is published, will ensure we keep the public trust and continue to deliver for the people of Scotland.”
Eradicating child poverty, building prosperity, improving public services and protecting the planet will be the top priorities of the Scottish Government, First Minister John Swinney has pledged.
Outlining his first Programme for Government (PfG) as First Minister, Mr Swinney set out how the Scottish Government will deliver commitments that are ‘affordable, impactful and deliverable’.
The First Minister highlighted that child poverty is his ‘first and foremost’ priority and that he will reform support for whole family services to make them ‘easy to access, well-connected and responsive to families’ needs.’
Key announcements include:
the expansion of Fairer Future Partnerships ensuring services work to help families by maximising their incomes – supporting parents back into work and improving their wellbeing
ensuring the NHS has the resources it needs, today and in the years to come, freeing up 210,000 outpatient appointments and delivering around 20,000 extra orthopaedic, ophthalmology and general surgery procedures annually in Scotland’s new National Treatment Centres
making Scotland more attractive for investment and promoting home-grown entrepreneurs and innovators
delivering faster planning decisions for renewable energy schemes, protecting the planet by speeding up the transition to net zero
The First Minister said: “This Programme for Government will ensure that the people of Scotland have every opportunity to live well, thrive, and see promise in their future.
“This year’s commitments are affordable, impactful and deliverable. Together, they reflect my optimism that out of every challenge, we gain an invaluable opportunity to adjust our course, to interrogate our priorities and to renew our partnerships.
“I have been clear about the financial limitations surrounding this Programme for Government due to UK Government spending decisions. In the face of these significant challenges, it is critical that we direct available funding towards our four priorities – eradicating child poverty, building prosperity, improving our public services and protecting the planet.”
In his statement, the First Minister added: “No child should have their opportunities, their development, their health and wellbeing, and their future curtailed by the material wealth of their family. Not ever, and certainly not, in a modern, prosperous society like Scotland.
“This is not only the moral compass of my Government, it is the greatest investment in our country’s future that we can possibly make.”
Reacting to the Programme for Government, Poverty Alliance chief executive Peter Kelly said: “It’s good that the First Minister talked about his strong commitment to ending the injustice of child poverty in our wealthy nation.
“But before today’s Programme for Government more than 100 of our members came together calling for action like boosting the Scottish Child Payment to £40 a week, affordable housing, and the delivery of stronger social security through a Minimum Income Guarantee. Many of these calls were not progressed within today’s Programme for Government.
“The First Minister was right to highlight the importance of welfare advice services that help people get the support they’re entitled to through social security. While a continued commitment to invest in the third sector is positive, the Scottish Government need to be clear as to how they will deliver long-standing promises for fair funding for the community and voluntary organisations that deliver that advice.
“He talked about affordable childcare and extra support to help people into work – but these commitments need to be matched with adequate investment. The Poverty and Inequality Commission have been clear that existing interventions are not at the scale necessary to deliver the change needed to meet our child poverty targets.
“He talked about closing the attainment gap in schools. But the latest figures show that children from poorer backgrounds are still being held back by poorer educational outcomes, so we need to hear what the Scottish Government is going to do differently.
“We welcome the fact that a Community Wealth Building Bill will be introduced into Parliament. But we need to make sure that it puts the voices of people in poverty at its heart, and starts to build new local economies that place wellbeing at their heart, and start to lessen Scotland’s unjust inequalities of wealth and power.
“We’re very disappointed that there will be no Human Rights Bill for Scotland. Poverty is a breach of people’s human rights, and we need to make sure they have the power to hold public bodies to account when their rights aren’t respected. The delay to this Bill will make it more difficult for the Scottish Government to deliver on their core mission of eradicating child poverty.
“We are a country that believes in justice and compassion. People in Scotland want our political leaders to unlock our country’s vast wealth, build better budgets that give people the means to build a better future, and to create a true wellbeing economy that supports fair work, and a just transition to the net zero future that we urgently need.”
Morgan Vine, Head of Policy and Influencing at Independent Agesaid: “In the context of tightening budgets it is vital we look for innovative ways to help the growing number of older people in poverty in Scotland.
“Now, more than ever, we need a comprehensive and coherent strategy to tackle the terrifying rate of poverty in later life. Without it, it is likely the 150,000 older people across the nation who are in financial hardship will continue to struggle to afford even a very basic quality of life.
“Poverty at any age is extremely damaging to both mental and physical wellbeing. Through our work across Scotland, we have spoken to older people affected who shared with us what the cost of living has been like. We heard from those using foodbanks, and others waiting until the cold became ‘unbearable’ before using the heating at night.
“This cannot continue. If the Scottish Government wants to make Scotland the best place in the world to grow old, it is essential they introduce a long-term strategy to address pensioner poverty. Older people on low income are facing a bleak winter, they urgently need to see action on the Scottish Government’s commitment to tackle poverty.”
Joanne Smith, NSPCC Scotland policy and public affairs officer, said: “It’s heartening to see the First Minister’s explicit focus on the early years in his Programme for Government.
“In a challenging context, we need strategic leadership and coordination to ensure that money is spent where the evidence tells us it will make the biggest difference to babies, children, families and communities.
“Eradicating child poverty and Keeping the Promise can only be delivered by making the very best support available to families in the earliest years, to prevent unnecessary suffering to children and enable them to thrive.
“Delivering the Government’s ambitious vision for children requires cultural, structural and legislative change. A critical first step must be urgent reform of the Children’s Hearing System to protect the distinct needs and rights of babies who come into the care system.
“Getting it right for our most vulnerable citizens must become Scotland’s number one investment priority.”
“We welcome the continued commitment to provide an additional £100m in funding for Culture and will work with the Scottish Government on the effective allocation of that funding, to the benefit of culture and creativity in Scotland.
“We also welcome today’s confirmation of £6.6m, originally committed to Creative Scotland by the Scottish Government at the start of this financial year, reinstating budget removed in the previous year.
“We continue to see unprecedented levels of demand for the Open Fund for Individuals and will process the high volume of applications we have received. With the budget now confirmed, we will work to re-open this fund.
“We are sure today’s confirmation of the release of this funding will be welcomed by the creative community of Scotland.”
The cross-party committee of MSPs learned about the contribution life science research can make towards growing Scotland’s economy.
The visit forms part of its parliamentary inquiry into ‘Managing Scotland’s public finances’, which aims to influence the Scottish Government’s Budget before it is announced in autumn.
The MSPs are examining how the Scottish Government uses its capital expenditure to achieve innovation, productivity, and growth – and whether its priorities are the most effective choices.
Finance and Public Administration Committee Convener Kenneth Gibson said:“Our parliamentary inquiry is about examining the effectiveness of the Scottish Government’s overall approach towards managing Scotland’s public finances.
“With a really challenging fiscal and economic outlook, it’s vital that we look critically at boosting innovation, productivity and growth.
“Life sciences already contribute to the Scottish economy, but we want to learn more about its potential for growth and what that could mean in terms of high-value Scottish jobs, high return research and successful spin-out companies.”
“A key part of our inquiry is examining how the Scottish Government currently uses its capital expenditure to boost growth – but we want to ensure its priorities are the right ones ahead of the coming budget.
“Our visit to the University of Dundee’s school of life sciences, to meet leading figures in the field, will give us a good insight into what scope there is to expand research and boost innovation and growth.
“We’ll take the learning from our visit back to Holyrood to inform our inquiry and our recommendations to the Scottish Government ahead of the budget.”
Principal and Vice Chancellor of the University of Dundee, Professor Iain Gillespie, said:“We are delighted to welcome the Finance and Public Administration Committee to Dundee and help boost innovation and growth.
“As the UK’s top university for both biological sciences research and for nurturing spinout success we are a key driver of the economy, learning and skills, as well as a vital part of the scientific ecosystem that is addressing the great health challenges of our time.
“Investment in research and innovation is an investment in the nation’s health and wealth, and we are happy to share our expertise in creating high value companies and anchoring jobs in Scotland.”
The committee’s Dundee visit will provide insight into:
funding of research & development at the University
commercialisation: turning research into innovation
creating, support and scaling of high growth spin-out companies
Background provided by the University of Dundee:
Dundee has been the UK’s top ranked university for Biological Sciences in the last two Research Excellence Framework (REF) exercises. It was also named the UK’s best university for supporting spin out companies by venture capitalist firm Octopus Ventures last year.
While at the University, members of the Finance and Public Administration Committee toured Dundee’s Drug Discovery Unit (DDU), which bridges the gap between academic scientific research and industrially experienced drug discovery.
DDU’s successes include the invention of cabamaquine, a new compound currently in human trials that has been shown to treat malaria with a single dose, while potentially protect people from contracting the disease and prevent its spread.
The University is one of the world leaders in targeted protein degradation, a field of research which has received billions of pounds of investment in recent years and is making the treatment of diseases previously thought to be undruggable a reality.
