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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
  7. Current session: 14 May 2026 to 29 September 2026
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Displaying 54 contributions

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Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

I am grateful for that information. Sticking with the constitution of the tax base that you have just outlined—you talked about the older demographic, for example—I note that the Office for National Statistics has said that 45 per cent of workers earning £50,000 or more are engaged in hybrid or remote working. The ONS contrasts that with 8 per cent of those earning under £20,000, so it concludes that managerial—and professorial—occupations are most likely to engage in hybrid working. If that is correct, is there any risk that those who have a Scottish job and earn more are more likely to live and pay tax elsewhere in the UK?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

I do not question that at all, other than to note that there is a report this week that, across seven Scottish health boards, the number of staff who are registered at addresses outside Scotland has risen by 56 per cent in the past three years. Is there any evidence that that is connected to the tax rate?

In conclusion, given what you have said about the lack of evidence, is that something that the Scottish Government ought to be investigating alongside the growth of remote working and the impact of fiscal drag? Should the 2027-28 budget accommodate those facts?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

A suggestion that has been made to support public investment is to issue bonds. Professor Bell highlighted that that would not be free money and that it would eventually need to be paid back. The IFS went on to say that issuing Scottish bonds could actually cost more than borrowing from the UK’s national loans fund. To be fair, the Scottish Government analysis suggests that it is the other way round. Dr Sousa, can you explain why Scotland might nevertheless prefer bonds? What evidence would allow you to say that they represent value for money?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

I am grateful for that. I would like a quick clarification, for my own purposes. How does the Scottish Government set the yield on the bonds such that they are more attractive than the interest rate on the national loans fund? Can it set that at whatever rate it wants to make it attractive to subscribe?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

We have talked about services, the size of the workforce and cuts. The previous UK Government had a public sector productivity programme which put, I think, £800 million into delivering £1.8 billion of savings by 2029, especially by using things such as technology and artificial intelligence. Is there any evidence of the Scottish Government doing any similar thinking around productivity, especially in relation to technology?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

I understand. I have a related question. Between 2022 and 2024, UK Government departments saved about £300 million in cost efficiencies for running properties. It did co-location, set up Government hubs and that sort of thing. Is there any evidence that the Scottish Government is looking at the same sorts of things to mitigate reductions in front-line services?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2027-28

Meeting date: 9 September 2026

Liam Kerr

I understand—I am grateful for that information.

Finance and Public Administration Committee [Draft]

Scottish Fiscal Commission (Publications)

Meeting date: 2 September 2026

Liam Kerr

Precisely. I will press you on that, if you do not mind. In your January 2026 report, you describe the Crown Estate revenues as:

“a limited—and largely a one-off—source of revenue”.

You warn in that report about using

“non-recurring … funding”

for

“recurring day-to-day spending”.

If the Government were to decide to use that money in 2027-28 to support its resource budget, what implication would that have for the underlying fiscal position in future years? Is there any opportunity cost of using that finite money for day-to-day spending rather than investment?

Finance and Public Administration Committee [Draft]

Scottish Fiscal Commission (Publications)

Meeting date: 2 September 2026

Liam Kerr

Data has been mentioned several times. Your statement of data needs sets out 24 recommendations, the first of which is that the Government should baseline routine budget transfers between portfolios, so that the money shows up in the portfolio in which it will be spent. I am new to the committee, but I understand that the predecessor committee considered the issue several times and made similar recommendations. To help the committee’s understanding, will you set out the main barriers to achieving what has been recommended? Are you hopeful that progress will be made in this parliamentary session?

Finance and Public Administration Committee [Draft]

Scottish Fiscal Commission (Publications)

Meeting date: 2 September 2026

Liam Kerr

Good morning. Professor Roy, you have mentioned Crown Estate revenues a few times. Your submission says that the SFC estimates that there might be £859 million more available than expected in 2026-27, but that it will be more constrained in 2027-28. The suggestion on Crown Estate revenues is that, rather than drawing down an anticipated £80 million this year, the Scottish Government could hold that and use it in future years.

First, could you help me to understand how much of the planned Crown Estate revenues are attributable to ScotWind? When does that money become available, and are there any restrictions on using it, or is the main limitation simply that it is a finite supply?