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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 14 May 2025
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Displaying 1531 contributions

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Public Audit Committee

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

Meeting date: 19 February 2025

Jamie Greene

What is your opinion as a director general? Is it good practice to allow somebody who is at the top of an organisation that has just been issued a section 22 report from Audit Scotland to be allowed to simply walk away from the process before a public audit hearing?

Public Audit Committee

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

Meeting date: 19 February 2025

Jamie Greene

This question is aimed at whoever can best answer it. Did the former chair of WICS leave the organisation of his own accord or was he asked to leave and did he receive any financial settlement as a result of his departure?

Public Audit Committee

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

Meeting date: 19 February 2025

Jamie Greene

Okay, so he resigned or he retired. What was the circumstance?

Public Audit Committee

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

Meeting date: 19 February 2025

Jamie Greene

And that was accepted and hence the presence of Mr Hinds. Okay; that is understood.

Public Audit Committee

“Administration of Scottish income tax 2023/24”

Meeting date: 19 February 2025

Jamie Greene

I do, convener.

Good morning, gentlemen and lady. I want to cover a few areas. First, I draw your attention to figure 7 on page 21 of the HMRC report, which is probably one of the more helpful tables in what is quite a lengthy and detailed report. It is certainly more visual, from my point of view; I was wanting to get my head around the analysis that has been done on the Scottish tax base in general, and this table paints a picture that we can look at.

Just to make sure I am being accurate, can you tell me whether the table is saying that higher and top-rate taxpayers in Scotland accounted for 13.3 per cent of taxpayers in 2018-19, and that in 2022-23, the latest year we have available, that figure had risen to 18.1 per cent of the tax base? That is the percentage of the tax base, but alongside that—and what is more important—is the percentage of tax that they are paying, which for the same group has risen from 58.6 per cent to 64.2 per cent. Is such a shift normal? If the percentage of taxpayers in any tax band increases, does the amount of tax that they pay also increase proportionately and at a similar or the same rate?

Public Audit Committee

“Administration of Scottish income tax 2023/24”

Meeting date: 19 February 2025

Jamie Greene

Does that present any risk at all? For example, when we look at the top rate, we see that less than 1 per cent—0.8 per cent—of Scottish taxpayers paid 17.8 per cent of all tax. In other words, less than 1 per cent of taxpayers account for nearly a fifth of the Scottish tax base. Again, the relevance of this questioning will become clear in my later questions on tax behaviour. You have said that it is a UK-wide phenomenon, but irrespective of that, does that present any risk to any Government when it comes to trying to forecast how much revenue it will get in any given year from its tax income as opposed to from the block grant?

Public Audit Committee

“Administration of Scottish income tax 2023/24”

Meeting date: 19 February 2025

Jamie Greene

I picked that year, because in an exchange that I had about taxation with Alyson Stafford from the Scottish Government on 25 April last year—we were talking about inward migration to Scotland increasing tax revenues—she made the following statement. This is why it is important, I think, that we understand the numbers, because she said:

“In 2021-22, taxable income in Scotland increased by £200 million as a result of the positive inward migration of taxpayers.”—[Official Report, Public Audit Committee, 25 April 2024; c 7.]

Presumably, that £200 million is part of your £749 million in exhibit 3. If we use the 11 per cent calculation that I highlighted earlier, it would mean that that £200 million would result in only £20 million of net benefit to the Scottish budget. Is that assumption correct? I did not have this data to challenge what was being said at the time, but, nearly a year on, we now have the ability to look at these numbers and see what they mean in real terms to the Scottish Government’s budget.

Perhaps that is a question for the Auditor General.

Public Audit Committee

“Administration of Scottish income tax 2023/24”

Meeting date: 19 February 2025

Jamie Greene

I was just challenging you on this, because paragraph 60 of your own report makes quite a profound statement. In that paragraph, you talk about the net benefit of the devolution of tax being significantly less than the taxes that are paid, but then you state:

“This is due to the relatively slower economic growth in Scotland.”

It is important that you substantiate that claim, because, as you have said, we will be challenging ministers on that comment.

Thank you very much. I have no further questions.

Public Audit Committee

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

Meeting date: 19 February 2025

Jamie Greene

Thank you for your clarification.

Were you involved in any of the discussions at any point around the departure or performance of the former chief executive of WICS?

Public Audit Committee

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

Meeting date: 19 February 2025

Jamie Greene

Were you involved in the telephone call between Donald MacRae, the former chair of WICS, and a number of Government officials, about which he claims that, in that call, approval was given for the severance? He also states that that was confirmed in a second phone call on 20 December, and that the words that were used were “You can do this”. Were you involved in that?