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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 4 May 2021
  6. Current session: 13 May 2021 to 28 March 2026
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Displaying 1202 contributions

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Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27

Meeting date: 20 January 2026

Craig Hoy

Could the Government not simply build in more headroom year on year in the way that it approaches its budget, for example by using the reserve? Would that not be a more prudent way to approach the issue? A moment ago, my colleague said that the UK Government has hardly got a good reputation when it comes to its borrowing levels, either, but the Treasury borrows on behalf of the whole of the UK. In some tough years, some of the real-terms increases in the Scottish budget have emanated from increased borrowing at Treasury level.

12:45

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27

Meeting date: 20 January 2026

Craig Hoy

In the same way that you would get a bad credit rating if you were to fully utilise all your credit cards, so, too, would the Scottish Government if it were to fully utilise its borrowing powers or pull the Scottish money down—well, I will not get into the credit rating argument.

I will turn to local government. Last week, the Cabinet Secretary for Finance and Local Government said that, budget to budget, she is delivering a 2 per cent real-terms increase to local government. She described that as

“a settlement that is fair, and which recognises the important role of local government”.

She said that that is “a reasonable deal” given cost of living pressures and urged

“local authorities to translate the settlement into reasonable decisions on council tax.”—[Official Report, 13 January 2026; c 16.]

Having been able to interrogate those numbers further, do you think that that is a reasonable deal for Scottish local government? Should it mitigate above-inflation increases in council tax, if councils are to meet their statutory obligations?

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27 (United Kingdom Context)

Meeting date: 13 January 2026

Craig Hoy

One of the dominant themes running through the Scottish budget and the UK budget is the on-going issue of the cost of living. In paragraph 1.9 in the “Economic and fiscal outlook”, you say:

“Growth in real household disposable income per person is projected to fall from 3 per cent in 2024-25 to around ¼ per cent a year over the forecast”.

Given that many households still feel that there is more month than money, is that a reality check to the effect that people are not going to feel better off for the foreseeable future?

Finance and Public Administration Committee [Draft]

National Performing Companies (Economic Impact)

Meeting date: 13 January 2026

Craig Hoy

That takes me neatly to my next question. One of the recommendations in your report is for more regular meetings with ministers. Do you feel that, although you have access to, say, the culture minister, in all those other areas where you could be having a positive economic or social impact you are not necessarily enjoying the same access to public policy makers and decision makers?

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27 (United Kingdom Context)

Meeting date: 13 January 2026

Craig Hoy

Thank you for coming north to cheer us all up.

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27 (United Kingdom Context)

Meeting date: 13 January 2026

Craig Hoy

You said that the number of applicants might be being driven partly by cost of living pressures. Are there people who would have qualified for the benefit before who now feel the need to apply because they need more income? Is that what is happening?

Finance and Public Administration Committee [Draft]

National Performing Companies (Economic Impact)

Meeting date: 13 January 2026

Craig Hoy

I have some follow-up questions, so I will jump around a little. Gavin Reid, on the subject of social prescribing, I recently visited Borders general hospital and talked to the allied health professionals there. The hospital has a full-time music therapist. How much more could be done through social and health wellbeing to embed something like music therapy in the NHS, and is the Scottish Government receptive to that at a senior level? Could what is happening in Borders general hospital be replicated by other health boards?

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27 (United Kingdom Context)

Meeting date: 13 January 2026

Craig Hoy

It strikes me that we are doing a lot of research into behavioural change around tax. Is there more that we could be doing in relation to behavioural change around the benefits system and whether it incentivises, encourages or discourages people to go into work?

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27 (United Kingdom Context)

Meeting date: 13 January 2026

Craig Hoy

It is very gloomy. In paragraph 1.4, you say that you

“expect quarterly growth to pick up only gradually in the near term as geopolitical uncertainty persists and domestic business and consumer confidence remains subdued, including in anticipation of further tax rises.”

Do you have any assessment as to what the scale of those potential tax rises would be and upon whom they might fall?

Finance and Public Administration Committee [Draft]

Budget Scrutiny 2026-27 (United Kingdom Context)

Meeting date: 13 January 2026

Craig Hoy

You examine various issues in paragraph 1.13 of the “Economic and fiscal outlook”, including increased

“projected spending on welfare by £8 billion by 2029-30”

in England. Over the same period in Scotland, there is a projected increase in welfare spending of £4 billion, which is almost half the number for the whole of the rest of the UK. What are the risks to the Scottish budget of per capita welfare spending continuing to increase at a far higher rate here in Scotland than in the rest of the UK? What impact will it have on the Scottish budget, Scottish productivity and Scottish growth if the Scottish Government continues that trend?