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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. Session 6: 13 May 2021 to 8 April 2026
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Displaying 3919 contributions

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Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Richard Leonard

We might pose those questions to the Scottish Government and to FMPG representatives.

The framework agreement sets out portfolio accountable officer responsibilities. This goes to the point about governance arrangements that you have been addressing for much of this morning. The portfolio accountable officer in the Scottish Government is the director general economy. The framework agreement says that the company must

“conform to the requirements both of propriety and of good financial management.”

Do you have any reflections on whether those criteria have been met, and to what degree there is an element of responsibility for the accountable officer in the Scottish Government?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Richard Leonard

Thank you. Graham Simpson and Stuart McMillan have a final few short questions.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Richard Leonard

Agenda item 2 is consideration of the Auditor General for Scotland’s section 22 report on the 2023-24 audit of Ferguson Marine Port Glasgow (Holdings) Ltd.

Before we start, I remind everyone of my voluntary entry in the register of members’ interests in relation to trade union interests.

I welcome our witnesses. We are very pleased to be joined by Stephen Boyle, the Auditor General, alongside Dharshi Santhakumaran, senior manager, and John Boyd, audit director, at Audit Scotland.

We have quite a number of questions to put. Before we get to those, I invite the Auditor General to make an opening statement.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 16 January 2025

Richard Leonard

Thank you very much, indeed. We have a large number of questions, as I said, so I will immediately ask the deputy convener to put some questions to you.

Public Audit Committee

Interests

Meeting date: 9 January 2025

Richard Leonard

Good morning. I welcome everyone to the first meeting in 2025 of the Public Audit Committee. We have received apologies from the deputy convener, Jamie Greene.

James Dornan has stepped down from the committee. I place on the record my thanks for James’s useful contribution during the short time that he was on the committee. I am also pleased to welcome to the committee his replacement, Stuart McMillan. Stuart, you have been a member of the committee in times past, and your experience will be very helpful to us. You are very welcome to the committee.

For the formal part of the introduction, I ask whether you have any relevant interests that you wish to declare.

Public Audit Committee

Interests

Meeting date: 9 January 2025

Richard Leonard

Those issues arise quite regularly at this committee, so thank you very much for that. It is very useful to place that on the record.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Stuart McMillan has a question on this area, but I will ask him to ask it after I have asked my couple of questions, because then he will have the final block of questions.

I will go back and explore a little more the details of the former chief executive officer’s contractual arrangements.

In paragraph 18 of the report, you described that the former CEO was initially appointed in November 1999 as the water industry commissioner. I presume that there was then a reform of the structure, which led to the establishment of the Water Industry Commission, and he was appointed as the chief executive officer of that in 2005.

In the following paragraph, you talk about the CEO’s “initial contract”. Is the initial contract the one from 1999, or is it from 2005?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

As part of the audit, have you asked the Scottish Government why it did not take a more proactive approach?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

That is fine. That may be for others to answer.

My final question is one that you might be able to address. In March 2024, there was an amendment to the Scottish public finance manual regarding the treatment of settlement agreements when an accountable officer is the subject of a settlement agreement. Do you have a view on whether that amendment is sufficient to address such situations in the future?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Thank you. I am delighted to invite Stuart McMillan to put some questions to you. Over to you, Stuart.