Nearly a quarter of Scottish councils warn of effective bankruptcy
EVERY SINGLE COUNCIL plans cuts to services, affecting millions of residents
New research out today from Local Government Information Unit (LGIU) Scotland reveals that nearly a quarter of Scottish councils fear they will not be able to balance their budgets in the 2024/25 financial year.
This is despite the fact that every single council in Scotland plans to cut spending on services in the next financial year, with around two-thirds of respondents cutting spending on education, parks and leisure, and business support.
Alongside planned cuts, nearly all (97%) said that they would be increasing fees and charges, and nine in ten (89%) that they would be spending reserves.
The first annual LGIU State of Local Government Finance in Scotland survey, found more than three quarters of respondents (76%) believe these cuts will be evident to the public.
Had it not been for the Scottish Government decision to unilaterally declare a council tax freeze, every council would have raised council tax, most often by a significant amount. The proposed council tax freeze has contributed to an increasingly poor relationship between Scottish Government and local government.
The current state of the economy, manifested in high rates of inflation, affects wages, utilities and food, thus making service provision even more expensive for councils and was considered to be a problem by every respondent who answered. The associated cost of living crisis – which puts additional demand on services – was also considered to be a problem by over 90% of respondents.
There was widespread agreement on the most pressing issues in council finances: in addition to inflation, ring-fencing, staff recruitment, cost of living crisis and pressures linked to demographic change were all considered to be problems by more than 90% of respondents.
Adult social care and children’s services were considered the greatest shortest-term pressures on council finances, and adult social care by far the greatest long-term pressure.
Jonathan Carr-West, Chief Executive, LGIU Scotland,said: “Councils in Scotland are raising a red flag that council finances are completely unsustainable. With nearly a quarter of councils warning they may be unable to fulfil their statutory duties, it is only a matter of time before we see the first council in Scotland declare effective bankruptcy.
“Councils are pulling every lever available to them to balance their books. Every respondent said they were cutting spending on services, 97% that they would be increasing fees and charges, 89% that they would be spending reserves. But it is not enough. Councils have little to no confidence in local government finance and the issues behind the crisis are not going away.
“Scottish Government must work productively with councils to restore trust, remove ring fencing, identify revenue streams and reform core funding for councils to ensure residents, and particularly the most vulnerable in communities, are able to access the services they need and pay for.”
Healthcare Improvement Scotland has published a report relating to an unannounced follow-up inspection visit to the Royal Infirmary of Edinburgh, NHS Lothian. The inspection took place in September 2023.
The purpose of the follow-up inspection was to assess progress and provide assurance on NHS Lothian’s improvement actions in response to serious patient safety concerns that were identified and escalated during a previous inspection of the hospital in February 2023.
To provide assurance of improvement following the concerns previously identified, the main focus of the follow-up inspection was the emergency department. Inspectors also visited a number of wards and the medical assessment unit.
Donna Maclean, Chief Inspector, Healthcare Improvement Scotland, said: ““Serious concerns raised in our previous inspection related specifically to the safe delivery of care and to potential patient safety risks. During this follow-up inspection we observed that considerable progress has been made in responding to these concerns.
“The delivery of fundamental care has improved with the addition of care and mealtime coordinators in the emergency department. Improvements have also been achieved in supporting patient care, dignity and leadership and in the coordination of care within the department.
“Implementation of a new continuous flow model has improved the flow of patients through the hospital during weekdays. However, further work is needed to support the timely flow of patients from the emergency department to an appropriate care area out of hours and at weekends.”
Six of the previous 13 requirements have now been met and progress has been made with four requirements, with further work to be undertaken.
Three requirements have not been met. These include hand hygiene, the use of personal protective equipment and the management of intravenous fluids.
One new additional requirement has been added with regard to the safe management of cleaning products. One new recommendation has been added in relation to the timeframes for the completion of significant adverse event reviews.
An improvement action plan has been developed by NHS Lothian in order to meet the requirements.
The full inspection report is available to view at:
Research shows 50% spike in Scottish farmland market price
A REVEALING new report on land trends has brought fresh insights into the dynamics of rural land transactions in Scotland.
There is a notable upswing in the demand for farmland, with Eastern Scotland seeing £205,513,531 sold from 2020 to 2022.
Over the period spanning 2020 to 2022, the value of farmland witnessed a substantial uptick, surging by 58% in the North East and 42% in the South West of Scotland, indicative of a significant surge in market interest.
Published by the Scottish Land Commission (SLC), the Rural Land Market Report underscores a widespread appreciation in land values throughout Scotland, crediting this growth to sustained demand, even as the overall volume of land entering the market remained relatively stable.
The report also identifies that most sales were of moderately sized farms or forests, with over 93% of transactions taking place in Scotland for areas of land less than 500 hectares.
Hamish Trench, Chief Executive of the Scottish Land Commission, said: “This report provides a vital window into the nature and scale of transactions occurring within Scotland’s rural land market over the past three years.
“The findings reinforce the conclusions of our earlier research, highlighting the range of influences affecting Scotland’s rural land market, and the significant regional and sectoral variations which clearly show increasing activity across the south of Scotland.
“While the volume of land coming to market has been relatively consistent over the past three years, the vast majority of sales are moderate-sized farms and forests, with very large land acquisitions much being rarer.”
The findings draw on data from the Registers of Scotland and the wider industry to evaluate the land market and property values across the country, focusing on farms, forests, and estates.
A total of 740 rural land sales took place over the three-year study period, of which 24 were for land over 1,000ha in size, and a further 27 for areas of between 500-1,000ha.
Farmland made up nearly 60% of total land sales. Eastern Scotland saw the highest concentration of deals, accounting for almost a third of national transactions while also having the top average prices per hectare at £17,535.
However, forestry land had a more mixed ride with prices peaking in 2021 before falling back again in 2022 – a move attributed to inflation and grant incentives no longer covering rising land costs.
The report highlights challenges around what is considered an “Estate” within the data, as a wide variety of transactions could fall into the category.
As a result, the report also notes a wide range in the sale prices of these “estates”, starting from as low as £60,000 and going up to £17.6 million over the three-year period.
Hamish added: “Through these reports, our commitment is to paint a clearer and more transparent picture of the rural land market, providing valuable insights to guide decisions on legal, policy, and practical changes.
“While we’ve successfully compiled a robust dataset, the report also underscores the necessity for ongoing reforms in how we collect and share data about land in Scotland.
“Transitioning towards a cadastral map system that consolidates information on land value, ownership, and use – a widely embraced approach in Europe – holds significant advantages. In the meantime, we will continue to work on how to make more of the existing data available.”
The report accompanies the Rural Land Market Insights Report published in May which identified the drivers and motivations influencing land sales and Acquisitions.
That report identified some key implications for public policy including a risk of increasing concentration in ownership, barriers to communities and individuals participating in the market and the risks where land is acquired primarily as a financial asset.
To read the Rural Land Market Report please visit:
More parents have been able to start work or progress their careers thanks to an initiative to expand access to school-age childcare, according to a new report.
Eight childcare providers across Scotland received a share of almost £600,000 from the Scottish Government to help 650 children from low-income families access school-age childcare.
The funding helped to make school-age childcare more accessible, affordable and flexible for parents and carers from low-income families, or those most at risk of experiencing poverty.
The Access to Childcare Fund Phase 2 Evaluation report also highlights the positive impact the projects had on the health and wellbeing of the children and parents. It found the projects increased opportunities for children to develop social skills and strengthen relationships with both adults and peers, especially for those with additional support needs.
Children and Young People Minister Natalie Don said: “As we mark Challenge Poverty Week this report highlights the impact our support continues to make for children, young people and their families who are most in need, and how childcare providers can be key in supporting these families.
“Improving access to childcare not only brings wide ranging benefits for the children, it also helps parents to get back into work, engage in training or progress their careers. Quality childcare provision is both an anti-poverty and a pro-growth measure.
“This report follows our commitment in the Programme for Government to expand our childcare offering, and sets out the difference that funded school-age childcare can make to support families to enter and sustain employment.”
Currently, all three and four-year-olds and eligible two-year-olds are able to take up 1,140 hours of funded early learning and childcare in Scotland.
Work is underway with local authorities and other partners to phase in an expanded national provision for families with two-year-olds, as well as targeted early delivery of all-age childcare for low income families.
The full report was carried out independently by Ipsos Scotland.
Council Leader Cammy Day has responded to the publication of the Edinburgh Tram Inquiry. He said: “As a Council, we’ve co-operated fully with Lord Hardie’s Edinburgh Tram Inquiry since its announcement nine years ago and have always maintained that its outcomes will be beneficial in informing investment in similar major transport infrastructure projects, both here in Edinburgh and by other local authorities.
“We’ll consider our response, and any actions required, based on the findings and report back to Transport Committee in November and then our Council meeting in December.
“From a first reading of the report it’s clear that serious mistakes were made and that this had a significant impact on the city. There’s no getting away from the fact that the original project caused a great deal of disruption to residents and businesses, as well as damaging the city’s reputation and on behalf of the Council, I want to apologise for this.“
The scathing 959-page report lays the blame for the tram fiasco – years late, millions of £ over budget and delivering only a single line, far less than was promised – at the door of TIE (the council’s tram firm), the council itself and the Scottish Government.
Cammy Day went on: “I won’t, however, apologise for building a tram system, or for our ambition to develop it further.
After all, creating a better connected, environmentally friendly transport system is essential for a modern, successful city and we need to transform the way people move around if we are to achieve our net zero goals.
“Equally, we shouldn’t forget that, in the nine years since the line between Edinburgh Airport and York Place was built, the service has flourished to become a hugely successful transport route for thousands of residents and visitors each day.
“We’ve now launched passenger services on the completed line to Newhaven, the success of which was down to the hard work of the in-house project team and partners, but also thanks to lessons learned from the first project.
“Prior to the announcement of the Inquiry, and towards the closing stages of the first project, we’d already introduced a raft of changes to project management and governance, which also proved crucial to the succesful implementation of the current Trams to Newhaven project.
“In developing the Trams to Newhaven route, clear, timely communication has been key, both between project managers, contractors and elected members but also residents, businesses and other stakeholders. The final business case built on months of extensive consultation on the designs and plans, updating and amending them in response to feedback so that they meet the community’s needs.
“We’ve drawn on the experience of skilled project managers throughout, with a particular focus on securing independent oversight and expert advice at every stage. The establishment of a tram board incorporating independent members, for example, has allowed effective scrutiny, while taking on board the advice of industry experts, such as Professor Bent Flyvbjerg, helped us to take full account of the risks involved.
“We made every effort to minimise disruption and, throughout construction, kept local people, businesses and elected members informed through regular updates, responding to concerns and questions.
“The new route’s already proving to be extremely popular, with passenger numbers doubling in the first few weeks and August clocking in as Edinburgh Trams’ best ever month, with more than 1.2m customer journeys recorded.
“We’re already looking at options for expanding the network further – to the north and south of the city, and potentially also to neighbouring authorities – and it’s encouraging to see this is very much part of the Scottish Government’s plans too.”
FRASER OF ALLANDER INSTITUTE PUBLISHES INITIAL FINDINGS
Disabled adults are significantly less likely to be in work compared to adults without disabilities (write ALLISON CATALANO and CHIRSTY McFADYEN).
In Scotland, 81% of working aged adults without disabilities had jobs in 2021, compared to just under 50% of adults with disabilities. This discrepancy of 31 percentage points – called the “disability employment gap” – is larger in Scotland compared to the rest of the UK (Chart 1).
Scotland has a goal of reducing the disability employment gap by half between 2016 and 2038. The 2021 numbers, encouragingly, show an improvement of 6 percentage points. A higher proportion of disabled people moved into work in Scotland between 2014 and 2021 compared to the UK as a whole, as well.
Chart 1: Gap in employment between people with and without disabilities in Scotland and in the UK, 2014-21
Source: Annual Population Survey, 2014-2021
In 2023, the DWP published a report on the employment of disabled people in the UK. This report looked at the reason why employment among people with disabilities has increased, while employment for the rest of the population has stayed roughly the same.
The DWP report highlighted four reasons behind the growth in the number of disabled people in employment:
Disability prevalence has increased in the UK, and the most common types of disabilities have changed.
The non-disabled employment rate has increased, implying that more jobs are available to both groups.
The disability employment gap has been narrowing overall.
There are more individuals in the working-age population.
The level of detail provided in the DWP report for the UK is difficult to replicate for Scotland with publicly available data: smaller sample sizes north of the border mean that more restrictions are placed on the data available to ensure that appropriate care has been taken with interpreting the robustness of results.
The Fraser of Allander Institute, in collaboration with the Scottish Parliament Information Centre (SPICe) are undertaking work to understand whether the same factors are driving changes in Scotland, and if not, what is different here and why.
This work is ongoing and future articles will get into more of the detail. This article sets the scene about the scale of the issue in Scotland vs the UK based on what know from data currently available.
What’s the state of disability employment in Scotland?
Scotland has a higher proportion of working-aged disabled people compared to the UK. It also has a lower rate of employment among disabled people, and a larger gap in employment between people with and without disabilities. Employment rates are noticeably different for different types of disabilities in Scotland compared to the rest of the UK, and disabled peoples are less likely to have educational qualifications in Scotland.
How is disability defined?
The current definition used in UK (and Scottish) surveys comes from the Government Statistical Service and the 2010 Equality Act. This change affected data collection from mid-2013 onwards, meaning that it’s not possible to compare current data to data before 2013. Our analysis specifically looks at the data since 2014 as a result.
This definition covers people who report “current physical or mental health conditions of illnesses lasting or expected to last 12 months or more; and that these conditions or illnesses reduce their ability to carry out day-to-day activities.” Previously, the definition was based on the Disability Discrimination Act (2005) (DDA), which applied to “all people with a long term health problem or disability that limits their day-to-day activities.” The slight difference in these terms means that some people may qualify as DDA disabled but not as Equality Act disabled.
Scotland has consistently had a higher proportion of working-aged disabled people.
In 2014, around 18% of the Scottish working-age population were classified as Equality Act disabled.
Since 2014, the number of disabled working-age adults has grown by around 222,000 people, making up over 24% of the working-age population as of 2021. By comparison, the total size of the working-age population only grew by around 31,000 people over the same time period. had a higher proportion of disabled adults in 2014 than the UK average, and this gap has widened over time. The 2021 data shows a further significant divergence, but this may be due to particular issues related to the pandemic and may not persist (Chart 2).
Chart 2: The size of the Scottish population with and without disabilities, and the proportion of the population with disabilities from 2014-21.
Source: Annual Population Survey, 2014-2021
Scotland has a higher disability gap and a lower rate of employment among disabled people.
Employment rates for working-aged people without disabilities in Scotland is roughly the same as in the rest of the UK. Employment rates for disabled people is much lower, however.
Since 2014, disabled people have moved into work faster in Scotland compared to the rest of the UK. The employment gap fell by around 6.5 percentage points between 2014 and 2021 in Scotland, compared to a fall of around 4.5 percentage points for the entire UK (Chart 3).
Chart 3: Proportion of adults between 16-64 that are in work by disability status, Scotland and the UK, 2014-21
Source: Annual Population Survey, 2014-2021
Scotland has different employment rates for people with different types of disabilities.
Unsurprisingly, Scotland has lower employment rates than the UK as a whole for the vast majority of types of disability.
The largest differences in employment rates are for people with diabetes, chest or breathing problems, and difficulty with seeing, hearing, or speech. Scotland fares better in the employment of people with stomach, liver, kidney and digestion problems, for instance, and slightly better for people with autism.[1]
Chart 4: Proportion of the working-age population with disabilities by working status and type of disability, 2022
Source: Annual Population Survey, 2014-2021. * Estimates are based on a small sample size and may not be precise.
Disabled people have lower qualification levels in Scotland.
Disabled people are more likely to have no qualifications than those without disabilities, both in Scotland and the UK. Scottish adults are also more likely to have no qualifications compared to the rest of the UK, although the gap in qualifications for disabled people is larger for Scotland than for the rest of the country (Chart 4).
The proportion of people with no qualifications has been falling in recent years. This may be due to older people, on average, being less likely to have formal qualifications, and as they move to retirement age, the number of working age people without qualifications goes down.
For disabled people, it may also be true that the increase in the number of disabled people have changed the make-up of the disabled population, especially for people who are becoming disabled later in life (for example, due to mental health issues that present post-education).
Chart 5: Proportion of working-age adults with no qualifications by disability status, Scotland & rUK, 2014-21
Source: Annual Population Survey, 2014-2021
Where are there gaps in our knowledge?
As discussed at the start, publicly available data on disability types is severely limited. For example, survey data in Scotland has detailed disaggregation on different types of disability, but only publicly provides information on whether or not someone qualifies as disabled under the 2010 Equality Act definition. The Scottish Government has been making strides to improve this data, however – a 2022 publication analyses disability employment by type of disability, but only examines one year.
One particular issue that we have found is for people who have a learning disability where the data is extremely poor. We will be publishing a new article later this week that sets out some of the particular issues for people with a learning disability.
Our next phase of research will look into more of the detail around employment levels for people in Scotland living with different disabilities based on access to non-public secure data held by the ONS. There may still be limits on the data we are able to use (for example, where robustness thresholds set by the ONS are not met), but we hope we will be able to add to the evidence base here in Scotland and provide better insights for policy makers and stakeholders on where support needs to be focussed.
Unleashing the Power of the People: Holyrood Committee urges bold moves to enhance public participation
A Holyrood Committee which has been considering how the public engages with the Scottish Parliament has published a new report which makes a series of recommendations on removing barriers to participation, embedding deliberative democracy and establishing regular ‘Citizen’s Panels’ to support the scrutiny work of the Parliament.
The Citizen Participation and Public Petitions Committee (CPPPC) undertook a year-long inquiry into Public Participation, recognising that the views of some groups and marginalised communities across Scotland weren’t being heard enough in the Parliament.
The inquiry focussed on what more could be done to bring the Parliament closer to the people and how to improve wider public participation in parliamentary scrutiny.
To assist the inquiry, the Committee established its own “Citizens’ Panel” – a group of 19 people from across Scotland who were asked: “How can the Scottish Parliament ensure that diverse voices and communities from all parts of Scotland influence our work?”
The Panel met over two weekends in late 2022 and made 17 recommendations which were published in the Committee’s interim report.
Following this, the Committee concluded that the Parliament should use Citizens’ Panels more regularly to help committees with scrutiny work as they give the public a greater voice and can help achieve consensus on difficult issues.
The Committee has recommended that the Parliament should hold two further Citizens’ Panel pilots this session, one undertaking post-legislative scrutiny and the other looking at a live political issue.
Following these panels, the Committee will then review how well they worked before seeking to suggest a more permanent model that the Parliament can adopt after the 2026 election.
The Committee recommends that, each time a Panel is set up to help a committee with an inquiry as recommended, the subsequent report should be debated in the Parliament Chamber, with Panel members invited to watch from the public gallery.
As well as considering how future Citizens’ Panels might work, the Committee has considered other ways that people can find out what the Parliament is doing, and how to get involved. Some of the ideas it looked at came from the recommendations made by its own Citizens’ Panel.
The Committee agreed with the need to reduce the barriers to public participation with the Parliament and supported additional recommendations including:
paying people back if they have to take time off work or pay for childcare to engage
translating information into other languages, or making it easier to read
making it easier for people to engage in the evenings or at weekends, or by using online tools
considering a review of citizenship education in schools
Throughout the inquiry, the CPPPC examined various mechanisms for citizen engagement and looked at how “Citizens’ Assemblies” at varying levels of government were being implemented and operated in other European countries including Belgium, France and Ireland.
Committee members also considered suggestions for broader Parliamentary reform put forward by the Panel including changes to the Code of Conduct for MSPs, an evaluation of the Presiding Officer’s authority to ensure Ministers give adequate responses to questions, and the possibility of dedicating weekly parliamentary time for the public questioning of Ministers.
Commenting, Convener of the Citizen Participation and Public Petitions Committee, Jackson Carlaw MSP said: “Over the course of the past year, we’ve heard time and time again that the Parliament doesn’t hear enough from some groups and communities across Scotland. This report is therefore a significant milestone in our pursuit of a more inclusive parliamentary process.
“The recommendations, particularly the introduction of increasingly regular Citizens’ Panels and the embedding of deliberative democracy in the work of the Parliament, underscore our commitment to amplifying diverse voices.
“This report sets a strong foundation for a more participatory and collaborative democracy in Scotland, and we hope it will be welcomed by the Citizens’ Panel that was integral to its development, as well as Parliamentary colleagues from across the political spectrum.”
Citizens’ Panel member, Jaya Rao, from the North East said:“Participating in the Citizens’ Panel and visiting the Scottish Parliament was a truly enlightening experience.
“Interacting with diverse individuals and witnessing the democratic process first-hand has deepened my appreciation for our shared commitment to a better future for Scotland.”
Citizens’ Panel member, John Sultman, from Glasgow added:“This experience has shown me how much difference turning up and speaking up can make.”
Citizens’ Panel member Alan Currie, from Glasgow. said:“Our seventeen recommendations were taken seriously by MSPs and the Committee, due to the facilitators, experts and presentations, which enabled us to learn more about not just the Parliament, but the concept of deliberative democracy, improving parliaments ability to reach and engage the public.”
The full report and recommendations can be found on the Scottish Parliament website.
Alongside this the report is being published in a longer version and a summary version, in multiple languages, in BSL and Easy Read, reflecting the range of groups who engaged in the inquiry and demonstrating the importance of making the Parliament’s work accessible to all.
Studio growth enabled inward film and HETV production spend to increase by 110%, driving increases in employment and economic value in Scotland’s screen sector
Overall production spend in Scotland grew by 55%, including content made by Scotland-based producers
Screen Scotland has published latest figures evidencing continued growth in the value of Scotland’s film and TV industries to the country’s economy including in Edinburgh.
Commissioned by Screen Scotland and produced by Saffery Champness and Nordicity, the independent report which looks at The Economic Value of the Screen Sector in Scotland in 2021 finds that significant growth was found in all areas of production, particularly inward investment film and High-End TV (HETV) production:
Inward investment film and HETV production spend increased by 110%, from £165.3 million in 2019 to £347.4 million in 2021.
In total, an estimated £617.4 million was spent on the production of film, TV and other audiovisual content in Scotland in 2021, compared to £398.6 million in 2019, up 55% compared to 2019*.
This included content made by Scotland-based producers, producers based outside of Scotland filming in Scotland and Public Service Broadcasters (PSBs) commissioned content.
The employment impact in Scotland’s production sub-sector rose from 5,120 full time equivalent jobs (FTEs) in 2019 to 7,150 FTEs in 2021, a 39% increase. The employment impact across Scotland’s entire sector increased at a lower rate, by 5.6%, from 10,280 FTEs in 2019 to 10,940 FTEs in 2021 – with the covid impacts in that year on employment in the cinema exhibition and screen tourism accounting for the difference.
According to the research, undertaken by Saffery Champness and Nordicity as a follow-up to their recent study of 2019, growth is in large part due to sector development work undertaken since Screen Scotland’s formation in 2018, including significant skills development work and the opening of new or expanded studio facilities, particularly FirstStage Studios in Edinburgh, where Prime Video’s The Rig (which has returned to Scotland to film series 2) and Anansi Boys were filmed, and the expansion of The Pyramids in West Lothian, home to another Prime Video HETV series, Good Omens 2.
These studio facilities have made Scotland an even more attractive place to film, opening in time to catch the global post pandemic boom in production**.
Alongside film and TV development and production, the wide-ranging study analyses the economic contribution of the full screen sector value chain – film and TV development and production, animation, VFX and post-production, film and TV distribution, TV broadcast, film exhibition – and extends into the supply chains that provide services at each stage of the content process, including facilities, equipment, transport, catering and accommodation.
Beyond that direct supply chain, the study looks at where the screen sector stimulates economic activity elsewhere in the Scottish economy: screen tourism, the education and training sectors and infrastructure.
In total, the screen sector in Scotland contributed Gross Value Added (GVA) of £627 million to Scotland’s economy in 2021, providing 10,930 full time equivalent (FTE) jobs, up from £568 million and 10,940 FTEs in 2019. GVA is the standard measure used by the Office for National Statistics (ONS) and other national statistical agencies for measuring the monetary value of economic activity and the economic performance of industries.
Isabel Davis, Screen Scotland’s Executive Director said: “The growth in all forms of production in Scotland between 2019 and 2021 is a phenomenal result. It shows us that public investment via Screen Scotland in infrastructure, development, production and skills development, combined with attractive levels of production incentive are the catalyst for a successful industry.
“Now is the time to build on these newly created jobs and growth with a sustained funding commitment towards skills development, attraction of large-scale productions and a focus on the development of locally originated film and television. Screen Scotland is committed to delivering further growth, working hand in hand with the commercial production and studio sectors.
“This will rely upon sustained funding and support in order for Scotland to seize the opportunities ahead of it and see that growth trajectory continue.”
Authors of the Report, Stephen Bristow, Partner, Saffery Champness LLP and Dustin Chodorowicz, Partner, Nordicity noted further significant Report findings: “The doubling of Scotland’s annual level of inward investment film and high-end TV production between 2019 and 2021, was nearly three times the 39% growth rate experienced by the UK as a whole, according to published BFI statistics.
“In addition, Scotland’s screen sector GVA rose by 9.7% in those two years – well ahead of the 1.2% increase in nominal GVA (i.e. not adjusted for the effects of price inflation) posted by Scotland’s overall economy during that period.”
Wellbeing Economy Secretary, Neil Gray said: “This report highlights another banner year for Scotland’s screen sector, which is all the more significant for the jobs, investment and economic growth it has delivered. The scale of the return to the Scottish economy from the investment in screen production is remarkable.
“Beyond film and TV, this report also highlights how our tourism, hospitality and construction sectors have benefitted from this investment through screen tourism, catering contracts, and infrastructure expansion, and the supply chains that support these activities.
“The efforts of Screen Scotland have been key to this result and we are committed to working with them and the sector to ensure this growth and the wider benefits being delivered can continue.”
Bob Last, who’s FirstStage Studios in Leith has housed Prime Video’s Anansi Boys and The Rig, and where the second series of The Rig is currently filming, said: “We at FirstStage Studios are excited to have created a facility that helps our customers and their creatives realise ambitious visions for audiences both local and global.
“We are pleased to have rapidly built relationships with, in particular Amazon Prime Video, enabling us to play a part in anchoring more of this global industry and its varied employment opportunities in Scotland and Leith.
“We thank all those who have chosen to make our facility their creative home and especially the crews whose hard work we witness daily, every one of them is a part of the good news today’s Screen Scotland report outlines.”
As a highly experienced Scotland-based film and HETV producer, and currently producer on The Rig, Suzanne Reid commented: “As I progressed in my career the higher-level productions I wanted to work on just didn’t exist in Scotland, in part due to a lack of studio facilities – so I had to head to England and Wales for this type of work.
“It has been wonderful to be working back at home and to be able to work alongside our brilliantly talented Scottish crew on such a highly ambitious series. While it may have been a very successful couple of years for the Scottish Film and TV industry, we need to keep pushing for more high-end productions to be based in Scotland so we can continue to grow our talent base and keep them working at home.”
Charity Commission says governance has improved significantly under new leadership
In a report published today (24th August 2023), the Charity Commission concludes that the former trustees of Care4Calais are responsible for several instances of misconduct and/or mismanagement.
The regulator is critical of the former trustees, finding that, over a number of years, the charity lacked appropriate governance structures, had poor internal financial controls and that its approach to handling complaints was inadequate.
The inquiry, which opened in August 2020, concluded that the charity’s overall management and governance have now improved significantly as a result of the Commission’s intervention and efforts made by the current trustees, including those appointed during the inquiry.
The Commission appointed an interim manager, who undertook an independent review of the charity’s governance, administration and decision-making.
Poor internal financial controls
The inquiry is critical of the charity’s financial management, notably a lack of suitable internal financial controls. Between October 2017 and August 2020, payments of over £340,000 were made to the personal bank account of one of the charity’s now former trustees. Because of this, at the opening of the inquiry the Commission used its powers to restrict financial transactions between the charity and current or former trustees.
The inquiry found that these payments were reimbursements for charitable expenditure incurred by the trustee. The trustee in question explained that this arrangement saved the charity around £3,000 per year in foreign exchange fees. The inquiry concluded that while no funds were misused or misappropriated for private benefit, this arrangement was inappropriate, and put the charity’s funds at undue risk.
Governance failings, poor complaint handling and dispute
The regulator found that between 2020 and 2021, Care4Calais operated with two trustees, failing to maintain the minimum number of trustees stipulated in its governing document. A dispute between board members left them unwilling or unable to resolve their conflict. This was found to be misconduct and/or mismanagement and the regulator remedied this by appointing additional trustees during the inquiry.
The inquiry also concluded that the charity’s handling of complaints was inadequate. The charity failed to demonstrate that complaints were handled in an impartial, fair, open and transparent way and failed to maintain records of investigations.
On at least one occasion, and in breach of the charity’s own policy, one trustee handled a complaint about another trustee to whom they were related, failing to identify or manage the conflict of interest and/or loyalty which arose.
As part of an action plan issued in 2022, aimed at strengthening the charity’s overall management and governance, the Commission directed the charity to strengthen its existing policy and create a complaints log.
Charity structure and conflicts of interest
Two of the former trustees were siblings, and the inquiry found little evidence to demonstrate that any past conflicts of interest or loyalty which may have existed had been appropriately managed. This was worsened by poor minute-taking. This amounted to misconduct and/or mismanagement.
The founder of the charity was a trustee and also the Chief Executive Officer (CEO). The interim manager recommended, to ensure a more balanced distribution of decision-making power, that the charity should recruit an independent CEO.
As part of the 2022 action plan, trustees were directed to recruit a CEO to head up the charity’s operational activity. A new CEO joined the charity on 10 April 2023 and the charity continues to progress recommendations for improvement. During the inquiry, the founder stepped down.
Campaigning and political activity
As part of its inquiry, the Charity Commission reviewed the trustees’ decision to issue judicial review proceedings to challenge the UK government’s Migration and Economic Development Partnership with Rwanda.
It found the decision was properly made, adequately documented, and was within the range of reasonable decisions open to the trustees of this charity. The activity itself served to further the charity’s objects, and the inquiry determined it was in line with the Commission’s guidance on political campaigning.
Improved governance and management
The Commission’s inquiry report makes clear that the new trustee board, which includes trustees appointed by the regulator, has implemented the 2022 action plan and introduced significant improvements to the charity’s management, governance and operation. This includes improvements to its complaints handling process.
The regulator has communicated to the charity that it expects improvements to continue, through the implementation of the extensive advice and guidance given throughout the inquiry.
Orlando Fraser KC, Chair of the Charity Commission, said: “Our inquiry found that, over a significant period of time, and following a rapid expansion of its operations, Care4Calais was not managed well. Its funds were put at risk, and there was serious misconduct and/or mismanagement by the former trustees.
“I am pleased that the Commission’s intervention has led to significant improvements to the charity’s governance, not least thanks to the work of the interim manager and new leadership.
“The charity is now in a much better position to deliver on its purposes. We have issued the new trustees with advice and guidance, including in relation to its international activities, so the charity is managed in line with the law and our regulatory expectations into the future.
He added: “I am very aware that this charity’s work has generated attention and controversy. We will not shy away from examining concerns raised about any charity and will take strong action where necessary.
However, as a fair, balanced and independent regulator we will not be influenced by political debates, nor should we stop charities from furthering their purposes in line with the law set down by Parliament. It is for the Commission to assess whether trustees are meeting their responsibilities – and that is what we have done.
The full report detailing the findings of this inquiry can be found on gov.uk.
‘Reducing re-traumatisation will promote equality’– report
Work to reduce the re-traumatisation of victims and witnesses of crime will help promote equality in Scotland’s justice system, according to some of the most senior women leaders in the sector.
Solicitor General Ruth Charteris KC, Chief Superintendent Hilary Sloan from Police Scotland and Jen Ang of the Scottish Women’s Rights Centre are among eight co-authors of an independent report that aims to help give policy-makers and agencies a clearer understanding of how women’s experiences of justice differs from men and what can be done to improve those experiences.
Commissioned through the Women in Justice Leadership Panel, the report brings together evidence gathered from across Scotland’s justice system. Its findings conclude that supporting women in ways which met their individual needs could have a powerful impact of on their perception of justice – leading to greater trust in the system.
The conclusions back Scottish Government-funded work already underway to embed trauma-informed practice across the justice system – a key aim of the Victims, Witnesses and Justice Reform (Scotland) Bill.
The report is being shared with the National Advisory Council on Women and Girls, which advises the First Minister on how to tackle gender inequality in Scotland.
Minister for Victims and Community Safety Siobhian Brown said: “I am grateful to the senior female leaders in Scotland’s justice sector who have taken the time to examine the system in the round.
“Their report puts forward the case for policy-making within justice that reflects women’s various social identities, such as race, disability or religion, so that their experiences can be improved.
“I thank everyone who contributed to the report, since it is their specialist knowledge and testimonies which have provided a clear and unambiguous foundation to inform and influence key justice partners and beyond.
“The conclusions are owned by the Panel members, who will use their influence and positions to effect change. These findings will help the Scottish Government change and deliver a justice sector which is truly responsive to the needs of women and girls.”
