Chamber and committees

To ask the Scottish Government what its response is to the report by the Auditor General into the financial sustainability of NHS Ayrshire and Arran, which found that the board is facing a deficit of £33.1 million in the current year. (S6O-05198)

The Auditor General said that the board needed a £51.4 million loan in 2024-25 to break even, and that NHS Ayrshire and Arran has outstanding loans totalling £129.9 million, which is

“the highest amount ... across the NHS in Scotland”.

The Auditor General also stated that the severity of the financial challenge was “unprecedented” and warned that the board was relying on “overly optimistic” savings plans that might not be achievable.

What can the cabinet secretary do, given that the position seems unsustainable, and what further support can the Scottish Government give, given the huge concern about the current situation?

I welcome the Scottish Government’s political support for community wealth building through the introduction of its bill. Community wealth building offers an economic approach that can help local economies to create well-paid, secure jobs, promote fair work principles and meet the needs of local communities.

I pay tribute to Councillor Joe Cullinane and the then Labour administration in North Ayrshire for their pioneering work on community wealth building. As the first council in Scotland to launch a community wealth building strategy, North Ayrshire rejected the failed economic model that has increased inequality, hoarded wealth in the hands of a few and hollowed out public services. Instead, the council’s strategy prioritised a different approach, which used its economic levers for the benefit of local people. Indeed, the council used its existing levers, such as procurement, local spend, and land and assets, to deliver on community wealth building. The council also brought together various local bodies, such as Ayrshire College and NHS Ayrshire and Arran, to help to make community wealth building a success.

It is clear that community wealth building has been a success in North Ayrshire. I could list many examples, but I will just give a few: 26 per cent of North Ayrshire Council’s total procurement spend now goes to local businesses; the council’s community benefits wish list has ensured that public sector contractors deliver on the needs of local communities, such as the transformation of a former army barracks into a thriving community centre in Barrmill; the skills for life vocational programme for parents delivered more than 130 placements with the council and 45 placements with wider public and third sector organisations between 2017 and 2022; a former steelworks site has been developed into the Lochshore park hub; the construction of three solar farms has been supported to meet local energy needs; and Kilwinning-based Shuttle Buses has been transitioned to employee ownership, empowering all 70 members of staff in the process.

North Ayrshire demonstrates that community wealth building can be successful, which is why it is important that we get the bill right. However, as it stands, the bill lacks ambition and scope. I agree with the points that Richard Leonard and Lorna Slater made. I also agree with the points made by members from various political parties—Kevin Stewart, Maurice Golden and Jamie Greene—about the need to seriously consider procurement and local spending.

The bill provides a framework that requires ministers to publish a statement, but there is no detail on what that statement should entail in resourcing and other support from the Scottish Government to make community wealth building a reality. Although the bill requires local authorities and relevant public bodies to publish their action plans, it contains no specific requirements for what should be included in those plans.

I reiterate the concern that, without proper resourcing and support from the Scottish Government, and with no clear action plan requirements, community wealth building will be implemented inconsistently across the country. The bill also fails to deliver further economic levers for local authorities to ensure ambitious and wide-reaching community wealth building approaches.

I hope that the minister will reflect on the issues that have been raised in the debate and that, at stage 2, we can be more ambitious with a clearer bill that can deliver community wealth building for communities throughout Scotland.

Minister, you said that this is a difficult issue. Do you agree that, for a long time, the issue has been put in a box that is labelled “too difficult”? You said that you agree with the general terms of the legislation that is before the Parliament and the general principles of its various provisions, but that you believe that amendments are necessary because there are significant concerns about the drafting of the bill. Do you agree that it is our responsibility to work on the bill to get the drafting in the right place?

So, the issue is about checks—you think that that aspect needs further exploration and discussion.

That is part of the bill. Do you have a position on it?

It is a policy position.

Yes, I understand that—

Thank you.

That might be the case, and the Government might want to introduce further legislation in due course. However, you said that the Scottish Government supports the creation of a criminal offence that would prohibit paying for sex. Are you suggesting that something has happened to change that view?