Skip to main content
Loading…

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.  

Filter your results Hide all filters

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 22 November 2025
Select which types of business to include


Select level of detail in results

Displaying 1354 contributions

|

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

It is in that portfolio because that gives us flexibility. Things will happen. I mentioned year-end audit adjustments, which are an unknown number, so we do not know where they will land. That is the whole point of having a contingency. There can still be variation in demand-led schemes. There are other issues, such as the storms perhaps triggering Bellwin payments to local authorities. There are a number of known unknowns as we go through to the end of the year.

Having that £350 million held centrally allows us the flexibility to respond to issues and allocate funds, depending on where we see demand coming through as we get towards the end of the year. Of course, any money that is left unutilised moves forward and can be spent in next year’s budget.

The answer to your question is that the money is held there because it gives us more flexibility. Of course, we do not yet know what the year-end audit adjustments will be, which is the whole point of having that contingency.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

Sorry—when you said 84 per cent, did you mean 84 per cent of the total reduction?

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

Yes. I think that there have been some changes with regard to how that limit is treated.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

I suppose that the operator would need to have the capacity as well as the funding. If you need any more specific information, we will try to get the details.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

Absolutely. The nature of the programmes is that they are funded by the UK and Scottish Governments, so we need to work together on them. If there is slippage in those programmes, we work with the UK Government to reprofile that funding. Clearly, that funding is not coming in, because it is not going out to those projects as a result of slippage.

Scott, is there anything that you want to cover on the specifics of the question?

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

I move,

That the Finance and Public Administration Committee recommends that the Budget (Scotland) Act 2024 Amendment Regulations 2025 [draft] be approved.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

We shall supply those detailed numbers.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

We did not spend any ScotWind funds this year because we did not need to. We managed to balance the budget without doing that. That is positive, because it means that we will be able to use next year’s money for what it is intended to be used for: supporting capital and other investments that allow us to transition to a net zero economy.

A number of areas have already been identified, and the biggest part of that funding is going into offshore wind projects. Scott, do we have any specifics on when the projects will be delivered?

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

There are time lags in the data because it takes a few months for things such as job offers or decisions to wash through. The process is much tighter than it has been, but, to my mind, we need to take more steps to make it even tighter.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 4 March 2025

Ivan McKee

Good morning. As the committee will be aware, over the past year, persistent high inflation, the continued cost of living crisis, public sector pay deals and wider geopolitical events have created a challenging financial situation. Despite those challenges, the Scottish Government is once again on track to balance its budget. That balance has been achieved through savings and spend controls, improvements in block grant adjustments, a more favourable net tax position, incorporation of consequentials received in the United Kingdom autumn budget and other sources of funding.

The improved funding position has allowed us to remove all use of ScotWind revenues in 2024-25 to target those revenues on a range of projects that will be of longer-term benefit to Scotland. Resource borrowing has also been reduced to nil, while capital borrowing has been significantly reduced.

The spring budget revision, which sets out funding changes and final amendments to the budget for 2024-25, allocates almost £1 billion of additional funding to support our public services. It contains the usual four categories of changes. Net funding changes increase the budget by £971.3 million. Those changes include the provision of £688.5 million to health to support services and fund capital projects, £84 million to local government to fund pay deals for teaching and non-teaching staff, and additional funding for the increased Scottish welfare fund.

Alongside those allocations, £350 million of funding is being held in the finance and local government portfolio as contingency against year-end audit adjustments, movement in demand-led programmes and tax receipts, and a £60 million carry-forward to support the 2025-26 health budget. Including that funding in the Cabinet Secretary for Finance and Local Government’s portfolio, rather than leaving it unallocated, ensures that the amounts are reflected in the annual accounts, while we retain the ability to carry forward any underspend in full through the Scotland reserve. The technical, Whitehall and internal transfers are presented in the document in the usual way.

The supporting document to the spring budget revision and the finance update prepared by my officials provide further background on the net changes, as well as updates on information requested by the committee. I am happy to answer any questions.