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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 22 August 2025
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Displaying 1714 contributions

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Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

But, at that point, the OBR was projecting a far higher figure than 3 per cent. The Scottish Fiscal Commission projected 4.5 per cent, because the Scottish Government refused to provide it with the public sector pay policy. After the committee put pressure on the Government to do so, it eventually published the public sector pay policy in May last year, and that showed that there was an assumption of 3 per cent. Was that assumption of 3 per cent not completely unrealistic?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

It is useful to have that comment.

Since then, there has been some evidence that, beyond its being seen as unrealistic now, it was known to be unrealistic at the time, because the external environment made that clear. One of the cabinet secretaries, in evidence to the Net Zero, Energy and Transport Committee on 14 January, talked about conversations being had in Cabinet about the challenges around public sector pay and their being recognised. Why would you, as the chief financial officer for the Scottish Government, believe that a public pay policy of 3 per cent—a policy whose bandwidth amounts to over 50 per cent of the entire £60 billion-odd budget—was a reasonable assumption at that point?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

Would you say that the risk is high?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

And has it increased in recent years?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

My final question is about a separate issue that you mentioned. On Ferguson Marine, did you advise ministers that a direct award of the small vessel replacement programme to a Scottish yard would not be legal?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

Thank you for that, but it sounded like there was clarity and certainty in the permanent secretary’s answer: he said that the advice to ministers was that a direct award would not be legal. When was that advice provided?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

Do you think that it was prior to June last year?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

Mr Irwin?

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

You understand where I am going with this. We have a nationalised yard, under the control of ministers, that produces a business plan that says that it will have a direct award, while the civil service is telling the Government that a direct award would be illegal. The Government has agreed both things simultaneously. That is the business plan that stands at the moment.

Finance and Public Administration Committee

Public Administration in the Scottish Government

Meeting date: 18 March 2025

Michael Marra

Thank you.