Meeting of the Parliament

Meeting date: Thursday, September 29, 2011

Official Report 1153KB pdf

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Scottish Executive Question Time

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General Questions

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NHS Lothian (Meetings)

1. To ask the Scottish Executive when it last met NHS Lothian to discuss the new Royal hospital for sick children incorporating the department for clinical neurosciences in Edinburgh. (S4O-00204)

NHS Lothian officials attended the Scottish Government’s infrastructure investment board meeting on 26 September to update members on the current status of the project.

I thank the cabinet secretary for her response and for the other responses that she has made to parliamentary questions on the matter.

Concerns have been raised with me, through the press and directly, about the potential for a talent drain from Edinburgh to Glasgow as a result of the new Glasgow children’s hospital, which will open in 2015, before the Edinburgh sick kids hospital opens. Can the cabinet secretary provide assurances that earlier completion of the new hospital in Glasgow will not affect specialist skills and children’s services in Edinburgh and that Edinburgh’s sick kids hospital will be a world-class facility in its own right, rather than a satellite service for Glasgow? What will the cabinet secretary do to ensure that there is no talent drain from Edinburgh’s sick kids hospital?

I thank Sarah Boyack for her interest. I want to respond constructively; I have said before in the chamber and I say again that the Scottish Government is absolutely committed to delivery of the new sick kids hospital in Edinburgh. My job, which I will seek to do, is to ensure that that commitment, which is shared by NHS Lothian, is translated into practice.

Sarah Boyack will know from the detailed answers that have been given to parliamentary questions that the target date—which continues to be scrutinised—for the new sick kids hospital to become operational in Edinburgh is 2016. I appreciate and agree that it is absolutely vital, for the sake of providing young patients with the best possible care, that we have state-of-the-art sick kids hospitals in Glasgow and in Edinburgh. The Government is committed to that, and I am happy to continue to update members as appropriate.

Does the cabinet secretary agree that there are many benefits for patients in having neo-natal, paediatric and adult care all in one campus which will, by maintaining strong links with the University of Edinburgh, combine pioneering research with care by the bedside? What assurances can the cabinet secretary give that the Scottish Government will work with the Scottish Futures Trust and NHS Lothian to ensure that the project is delivered as quickly as possible, so that the people of Edinburgh can rightly benefit from world-class facilities and treatment?

I also thank Jim Eadie for his close interest in the matter and would repeat the assurances that I have just given to Sarah Boyack.

I agree very much with the premise of his question, which concerns the benefits to patients of having neo-natal, paediatric and adult care on one campus—the so-called gold standard. That is the model that is being pursued in the new south Glasgow hospital, and those benefits are equally applicable in Edinburgh.

I assure Jim Eadie, as I assured Sarah Boyack, that I will continue to ensure that I am closely apprised of developments in the project and I will continue to update MSPs as appropriate.

Question 2 has not been lodged by Colin Keir.

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Advertising Budget (Allocation)

3. To ask the Scottish Executive how it determines the allocation of its advertising budget. (S4O-00206)

The Government’s purpose to create sustainable economic growth, and the five strategic objectives that set out ministerial priorities, are the determining factors for allocating the advertising budget.

I know that Scottish Government ministers are generally supportive of community radio stations, such as Celtic Music Radio. Can the minister tell me why such stations receive no advertising from the Scottish Government? Will he consider placing advertisements with Celtic Music Radio and other community radio stations? Will he agree to meet me and representatives of Celtic Music Radio to discuss the matter?

I appreciate and understand the way in which Hugh Henry has put that question and we will consider anything in that regard. In general, public information and social advertising campaigns are only used where there is strong evidence of an imperative to drive up services to meet the Government’s statutory or legislative responsibilities, or to support preventative spend on pressures on front-line services such as for flu, organ donation registration or drink-driving. I might as well let the Parliament know that from 2010-11 to 2011-12, the Government has reduced by 57 per cent, against the capped levels that were inherited by this Administration, what is spent on advertising campaigns. I am happy to meet Mr Henry to discuss the issue and to take it forward constructively.

Question 4 has not been lodged by Anne McTaggart.

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Modern Apprenticeships

5. To ask the Scottish Executive how many of the modern apprenticeships delivered in 2010-11 went to existing employees. (S4O-00208)

All apprentices in Scotland must be employed prior to commencing their apprenticeship. The modern apprenticeship programme gives us the opportunity to support young people and others into work in order to support workforce development.

Information provided by Skills Development Scotland shows that in 2010-11 there was a total of 21,561 modern apprenticeship starts. Of these, 12,827 were 16 to 19-year-olds making the transition into the labour market. The remaining places were focused on upskilling individuals across a range of important economic sectors.

A local business owner informed me that he was offered a number of modern apprenticeship places last year. He immediately agreed to take on those places and informed the agency that it would take a number of months to advertise, interview and recruit. He was told that there was no time for that and that if he simply gave the names of existing employees, he would receive funding. Colleagues have told me that that scenario has been repeated across the country. In the current climate of pressure on public spending and a fast-increasing youth unemployment rate—

Will the member get to the question?

Does the minister agree that that was a shocking misuse of public funds, in an area that is desperately needing attention, in order just to hit Government targets? Will the minister commit to investigating in order to ensure that it is not repeated in the next round of modern apprenticeship awards?

I cannot comment on a case I am not familiar with, but I am happy to speak to the member about it. When the Government sets ambitious targets for the number of modern apprenticeships, we are also clear about the quality of apprenticeships. For that reason, I am looking at a range of things, including technical and graduate apprenticeships, to ensure we maintain the gold standard of apprenticeships.

Will the minister provide details of where modern apprenticeships have been created in each of the past two financial years?

I cannot provide the numbers for each local authority off the top of my head, but we have committed to major targets, which we are meeting. In the most recent financial year, we have more than met our targets. Across local authority areas, an increasing number of apprentices have achieved their apprenticeships—the figure has now risen to 71 per cent. I am happy to write to the member on both counts and to provide figures on a local authority basis.

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Community Councils

6. To ask the Scottish Executive what support it provides to community councils. (S4O-00209)

At national level, since 2007 the Scottish Government has worked constructively with the Convention of Scottish Local Authorities and the Association of Scottish Community Councils to raise the profile and capacity of community councils. At local level, local authorities are responsible for supporting community councils practically and financially and for determining how best to do so.

The ASCC has recently announced its intention to cease its work and, while we are disappointed by its decision, we respect it. The Scottish Government continues to engage with the ASCC, while recognising the importance of providing future support to community councils. I am talking directly to community councils and others involved in supporting the sector about how best to do that.

I am sure the minister understands that the reason why the ASCC has decided to cease to operate is the failure of the Government to provide adequate funding for it to carry out its role of increasing the profile and capacity of Scotland’s community councils. Will she reconsider her decision or, alternatively, meet me and the ASCC to discuss the Government’s alternative proposals to allow the job of raising the profile and capacity of community councils to be taken forward?

I appreciate Lewis Macdonald’s interest in community councils. I met the Association of Scottish Community Councils a couple of weeks ago, when I made it clear that although I respect its decision to cease its work, we will continue to work constructively on how to develop community councils.

I am willing to meet Lewis Macdonald to give him the opportunity to highlight any constituency interest that he has. The association was offered funding that was comparable to that in previous years, but it demanded an increase of more than 100 per cent on its past funding. We have provided funding and have supported the association to develop community councils. I will continue to engage regularly with community councils and other stakeholders.

I declare an interest, in that my wife is a member of Dyce and Stoneywood community council in Aberdeen. Does the minister feel that more could be done to ensure that community councils are more representative of the wider community, particularly by involving more young people, who often do not see community councils as being relevant to them?

I absolutely share the concern that Mark McDonald raises, as do community councils, which understand that they have a role to play in attracting new younger members and members from different communities, in the engagement process.

Community councils have an important statutory role in our country’s governance and they share the desire for community councils to be much more representative. I am happy to meet Mark McDonald to discuss any proposals or interest from community councils in his area about how we can develop that.

Gavin Brown has withdrawn question 7 and has provided me with a perfectly understandable reason for that.

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Mechanical Engineering Graduates (Career Destinations)

8. To ask the Scottish Executive what the career destinations are of mechanical engineering graduates from Scottish universities. (S4O-00211)

Data that can be accessed via the Higher Education Statistics Agency website shows the destinations of qualifiers from Scottish universities six months after graduation.

I understand from data that is taken from the Association of Graduate Careers Advisory Services Scotland’s “What do Graduates do? Scotland” website, which is supported by the HESA, that mechanical engineering graduates from Scottish universities fare very well in the jobs market. In 2009, more than 66 per cent entered employment and a further 21 per cent were in further study or a combination of work and study. That compares favourably with figures for the United Kingdom as a whole in 2009, which show that 65 per cent of mechanical engineering graduates were in work and that 18.5 per cent were in further study or a combination of work and further study.

Anxiety is felt in the engineering sector about the apparent shortage of job-ready mechanical engineering graduates and about the number of graduates who decide not to pursue a career in the industry. I learned of those difficulties at first hand when Scottish Enterprise arranged for me to visit Clansman Dynamics Ltd, which is a superb engineering firm that is based in Lanarkshire. That company has grown, but its managers are concerned about the pipeline of engineering talent in Scotland. Does the Scottish Government agree that many such problems could be addressed if better links existed between universities and employers? If so, how will it help to foster such partnerships, which are important to the sector?

I agree profoundly with Margaret McCulloch. I am glad to say that I anticipated her question, because we published a paper about post-16 education two weeks ago. In that, we addressed the issue of job-ready graduates and how graduates can be produced in colleges and universities. The articulation of students from colleges through to universities, particularly in science and engineering, is important to us.

I assure Margaret McCulloch not only that I accept her point, which she and her local employer make well, but that we are acting on it. I am sure that she will go back to that employer to point out how thoughtful the Scottish Government is being and to say how strongly she supports our initiative.

Alex Johnstone has not lodged question 9.

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Public Procurement Procedures

10. To ask the Scottish Government what action it is taking to improve public procurement procedures. (S4O-00213)

As well as developing savings of nearly £1.2 billion across the public sector since 2006, the Scottish Government’s procurement reform programme also aims to improve public procurement from a business perspective. We are improving the efficiency of procurement processes and making it easier for businesses to compete for contracts. For example, over 55,000 businesses are now registered on the Government’s public contracts Scotland advertising portal, which is making it simpler than ever before to find public sector work.

I am very pleased to hear about the Scottish Government’s actions to improve public procurement procedures and I am sure that the business community in Scotland will be, as well.

How is the community benefit clause working in practice? How is the Scottish Government’s lobbying of the European Commission progressing with regard to the need to take into account local economic impact?

Every major contract that is issued by the public sector will have a community benefit clause, and high on our agenda for such benefits will be apprenticeships, training and recruitment of unemployed people.

With regard to the Commission, two months ago, I had a very productive meeting with the relevant commissioner in Brussels and we have asked that, in deciding the outcome of public sector contracts, we be allowed to consider local economic impact. After all, the cost of such impacts can amount to more than the savings made in the contract. The commissioner listened sympathetically and we have some support from other member states. However, I regret to say that the point was not supported by the United Kingdom Government.

The other major aspect of European Union reform is increasing the threshold at which a contract has to be advertised in the Official Journal of the European Union. I can fairly predict that, when the reforms are announced, that particular reform will feature.

How is the Government using the procurement process to deliver the Scottish Government’s 42 per cent carbon reduction target? Is it monitoring the reduction of carbon emissions through the use of public procurement contracts? Finally, will it be able to report back to Parliament on its year-on-year targets?

We are very conscious of the need to use public procurement to drive down our carbon emissions as well as to achieve other objectives. We are still engaged in our reform programme and are looking at how we can achieve that objective more effectively, and how we can encourage and facilitate the ability of more small to medium-sized enterprises to obtain public sector work in Scotland. People should be aware that there is £10 billion-worth of work from public sector procurement in Scotland and we are determined to make the system work better for the people of Scotland in order to promote the growth of the Scottish economy.

I support the implicit criticism of the Government’s record in Annabelle Ewing’s question. Despite the minister’s assurances, why do many small to medium-sized businesses feel that the process has let them down?

First of all, I congratulate Jackson Carlaw on his straw-poll showing in Aberdeen at the weekend. I believe that he got 57 per cent of the vote.

We are working very closely with all six major business organisations on our procurement reform programme. I chair the public sector procurement reform board and we are actively involving the SME sector in, for example, refashioning the pre-qualification questionnaire procedure and contents. I repeat that the sector will be actively involved before we finalise the detail.

Will the cabinet secretary consider an urgent review of PQQs? My discussions with businesses in my constituency suggest that they are overly bureaucratic and inhibit the ability of SMEs to win contracts.

Not only will I consider it, but we are—as I said in my previous reply—doing it.

There are three major problems with the PQQ process, the first of which is the ridiculous situation in which companies have to submit a full PQQ every time they bid for work. Instead of reinventing the wheel every time, they should have only to update the PQQ. Secondly, the PQQ should be SME-friendly, which it is not at the moment. Thirdly, we want to simplify and streamline the PQQ to ensure that it is much easier for every business to understand. I am sure that the member will follow progress closely and I will be delighted to keep him abreast of the Government’s progress.