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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 26 May 2025
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Displaying 3150 contributions

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Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

You refer in the report to the £60 million additional payout from the Crown Office and Procurator Fiscal Service as “unplanned costs”. Can you give us an idea of how £60 million compares with the annual budget of that public service?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

Thank you very much for your evidence. It has been a really useful session for us. I appreciate the input from each of you. We will want to follow up on things that came out of the questioning and some things that we did not get to in the time allocated this morning.

10:27 Meeting continued in private until 11:37.  

Public Audit Committee

Decision on Taking Business in Private

Meeting date: 19 January 2023

Richard Leonard

Good morning. I welcome everybody to the second meeting in 2023 of the Public Audit Committee. The first item on our agenda is consideration of taking agenda items 3 and 4 in private. Do we agree to take those items in private?

Members indicated agreement.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

Colin Beattie has some questions, but I know that he has to give a presentation to another committee. Do you want to ask your questions now, or do you want to leave it?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

That is absolutely fine.

Auditor General, I turn to what seems to be a recurring section of these reports, which is the financial position of the Crown Office and Procurator Fiscal Service. People will, no doubt, be aware of outstanding cases against the Lord Advocate in connection with the acquisition of Rangers Football Club. The report states that the cases that have been resolved total £35.5 million in costs up to March 2022,

“with a further £24.5 million provided in respect of cases still to be finalised.”

First, what does that mean for the overall financial position of the office? Secondly, can you update us on where those outstanding cases are? Are there further cases yet to be settled?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

Okay. Finally, I just want to touch on the situation with GFG Alliance. I welcome your commitment this morning, Auditor General, that this is an area of continuing interest to you. In the financial year covered by this report, the supply chain banker to GFG Alliance, Greensill Capital, has gone into administration. As Michael Oliphant mentioned, the Serious Fraud Office is looking at GFG Alliance around concerns over fraud and money laundering. Quite unusually, GFG Alliance’s own auditors resigned. I think that its finance director left. Its corporate structure has been described by another parliamentary committee as “opaque”. I understand that the most recent accounts for the Lochaber smelter are not going to be audited. Do you have a view about the overall risk that we now seem to be facing here?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

Thanks very much, Willie. We will turn to you again, because you have questions about the replacement for the European Union structural funds and how that will be audited and overseen.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

Are you aware of any instances, since the framework was published in March, where the Government has decided against making an investment according to those criteria?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

Thank you for your co-operation. We are against the clock. There are some areas that we will follow up on in writing for completeness, but we have questions on a couple of final areas that it would be useful to put to you this morning, so that that is on the record. Willie Coffey has questions about reporting on performance.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of the Scottish Government Consolidated Accounts”

Meeting date: 19 January 2023

Richard Leonard

I want to ask a final question about sponsorship arrangements—the relations between the Scottish Government and public bodies. In 2021, an external review was commissioned by the Government and produced 14 key recommendations. All 14 recommendations were accepted by the Scottish Government, and the permanent secretary gave an undertaking that all the recommendations would be implemented by the end of the 2022 calendar year. I know that we are only in mid-January 2023, but I reflect on the fact that, in your report that is before us, you went so far as to say that

“The Scottish Government has committed to improving its sponsoring arrangements of public bodies, but I remain concerned as to whether the timescales will be met and whether actions planned will fully address each recommendation.”

Where are we with that?