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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 5 November 2025
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Displaying 1001 contributions

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Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

That is a helpful clarification.

Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

You went quiet there, but that is fine. I will ask a further question.

We recently had an interesting—it was certainly interesting for us—conference on taxation, which was held at the Royal Society of Edinburgh. If we are going to reform council tax and non-domestic rates, I would want them to be reformed hand in hand. They are both property-based taxes, but they have diverged significantly and council tax was only ever a temporary fix. Would you want to reform them hand in hand? Would they both need to be based on the same underlying principles—that is, if you went for a land value tax for one, you would do the same for the other—or could you have a property-based tax for residential taxation and a land value tax for commercial? Does it need to be done in the round and do we need a consistent approach to commercial and residential taxation?

Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

I want to follow up on the convener’s question about the interaction between public sector pay policy and social security. The point around pay was clear.

To what degree do you model the long-term economic impacts of social security spend? That is not pure cost; it can stimulate demand. Indeed, unemployment benefits are referred to as stabilisers. We need to look at the increased proportion of spend on social security. To what degree is that—I apologise if I am getting my economics terminology wrong—wider or external economic impact modelled in your work?

Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

That takes us into the overall points about transparency. It strikes me that, having highlighted the £1.5 billion medium-term shortfall, the key question is what the overall balance of spend should be. Over the medium term, we are talking about a reduction in the share that local government gets and an increase in the share for health. Where in that blend does social security fit in? Should the Government be looking explicitly at that balance and stating clearly what it is? To what degree should that feed into the budget process?

Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

You say that, but the Scottish child payment is flat from last year. It is not being increased—in fact, there will be a real-terms decrease, will there not?

Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

That was last year.

Finance and Public Administration Committee

Budget Scrutiny 2023-24

Meeting date: 20 December 2022

Daniel Johnson

I have a final question. One of the things that might make a significant difference to this year’s budget and to budgets in future years is the spending on the creation of a national care service. However, none of us can identify whether such spending is included in this budget. There is a broad statement and narrative about support being provided. Should the Government provide that clarity?

Does that not also highlight a broader issue relating to transparency? Do the witnesses agree with the Scottish Fiscal Commission that the budget should be stated according to classification of the functions of government—COFOG—principles? Audit Scotland has also made the point that policy commitments should be made much clearer in the budget. What are the witnesses’ reactions to those observations?

Meeting of the Commission

Audit Scotland Budget Proposal 2023-24

Meeting date: 14 December 2022

Daniel Johnson

I have just one final question and I am afraid that it is a bit of a cheeky one, to be honest. I could not help but note on page 22 what looks awfully like a rate card to me. What is your target number of chargeable hours per year for a chargeable person, for a whole-time equivalent? I know that, even if it is not expressed in those terms, that issue will be at the forefront of your minds when you are constructing rate cards.

Meeting of the Commission

Audit Scotland Budget Proposal 2023-24

Meeting date: 14 December 2022

Daniel Johnson

My question is not about individual firms and your comparison to them, but to the profession as a whole. Given that it is a regulated profession and that there are industry bodies, I assume that industry-wide salary surveys are carried out. Do you use those and do you undertake a formal benchmarking process? If so, could you set out how that operates?

Meeting of the Commission

Audit Scotland Budget Proposal 2023-24

Meeting date: 14 December 2022

Daniel Johnson

There are obviously benchmarks. I could not find the most recent figures, but the previous year that Hays produced was, I think, 3 per cent. It would be useful to understand where Audit Scotland stands on that and, indeed, your rationale for when you step away, which is ultimately the purpose of a benchmarking exercise.