The remit of the Finance
and Constitution Committee includes consideration of the financial implications
of legislation through scrutiny of financial memoranda accompanying bills.
Having considered the financial implications the Finance and Constitution
Committee may then report its findings to the lead committee (which has
responsibility for considering and reporting on the Bill in full).
All bills introduced to
the Parliament must be accompanied by a Financial Memorandum (FM).
The FM must set out the
best estimates of the costs and savings to which the legislation would give
rise, best estimates of the timescales over which such costs or savings would
be expected to arise, and an indication of the margins of uncertainty in such
estimates. The FM must distinguish separately costs that would fall on—
(a) the Scottish
Administration (i.e. the Government, in the broad sense of Ministers,
departments and agencies);
(b) local authorities; and
other bodies, individuals and businesses.
Current Consideration of Financial Memoranda
Committee issues a call for written evidence for each FM to stakeholders for
whom legislation may have a financial impact. After assessing the submissions
the Committee will take one or more of the following courses of action—
- Take no further action other than to pass the
submissions on to the lead committee for its consideration.
- Write to the lead Committee highlighting any
areas of concern and suggesting that it may wish to raise them with the
Scottish Government Minister responsible for the Bill.
- Invite stakeholders who have provided
responses to expand upon their submissions in oral evidence.
- Invite Scottish Government
officials to respond to the issues raised in oral evidence.
- Publish a
formal report to the lead committee highlighting any areas of concern and
suggesting that it may wish to seek further information on them from the