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Displaying 3032 contributions
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
It is a bit alarming that the SFC’s funding has gone up during the period that we are looking at, from 75 per cent in 2017-18 to 79 per cent now. That was never intended. It was intended that colleges should generate some of their own income—and they do, but not at the level that was anticipated prior to Covid.
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
Let us look again at exhibit 1, which shows that the SFC is forecasting the adjusted operating position of colleges. It shows a deficit of £5.6 million in 2021-22 and a projected deficit in 2022-23; the figure then moves into surplus in 2023-24. That seems positive, but how realistic is it? Is that achievable?
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
Back in 2014, when ALFs were formed—we were probably optimistic in those days—the theory was that commercial income would be parked in them and drawn down against specific contracts as time went on. There does not seem to be much evidence that that has been a terribly successful strategy. It seems to me—but please confirm this or otherwise—that ALFs are a dying breed and that, as the funding that they received in 2014 dies, there will be no support for the colleges.
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
Why is it that two thirds of the money in ALFs relate to the three Glasgow colleges? Is that just historical or is there something behind it? Why are they more successful?
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
I have a final area to cover. Staff costs are shown as 71 per cent of the total expenditure in 2020-21. That is high, but it is, of course, very much a staff-driven environment. People have to be able to present courses and so on. Therefore, although 71 per cent is high compared with the figures in other sectors, it is possibly justified. However, that means that there is very limited manoeuvrability to save money elsewhere. Staff numbers fell by 1.2 per cent in 2020-21. How sustainable are those staff numbers, given the financial pressures that colleges face? Colleges really have only staff numbers to play with to save money.
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
We have talked about shared resources for as long as I remember, but I am not sure about the extent to which that has been successful. Are you aware of any examples of colleges that have found alternative ways to reduce costs or increase income? Is there a success story out there that could lead other colleges?
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
Previously, the financial situation among colleges varied widely. There were particular issues around the Highland ones and some of the Glasgow ones. Does that situation prevail, without much change? In other words, if we looked at 2018-19 and backwards, and looked at the position now, would we see the same pattern with the same colleges, or has there been any significant improvement for any of them?
Public Audit Committee
Meeting date: 22 September 2022
Colin Beattie
Auditor General, the question of sustainability in the college sector goes back a long way. There have been various iterations of it over the years, particularly since 2014. There has been much discussion of Covid-related funding, which masks some of the financial problems. Are you able to quantify what the impact has been? I am trying to get to the underlying financial situation, as opposed to the impact of the Covid funding.
Public Audit Committee
Meeting date: 8 September 2022
Colin Beattie
Good morning. A lot has been made of the possible relationship between Mr McColl and the Government because of his alleged political views. To what extent are contractors’ political views taken into account when allocating contracts?
Public Audit Committee
Meeting date: 8 September 2022
Colin Beattie
Are there robust processes to ensure that that does not take place?