Chamber and committees

The Scottish Government has made no estimate of projected revenues in relation to concessionary fares.

However, it is important to note that the Northern Isles contract (Volume 1, Section C) includes a tightly defined payments mechanism which guards against any overpayment being made to the operator, Serco NorthLink. Each year, the operator will only be paid the fixed sum set down in the contract’s financial base case. Payment beyond the agreed base case level will only be made where the operator has recorded savings against certain costs.

This mechanism prevents overpayment to the operator and ensures best value for money for the public purse.

When tendering for the 2012-18 Northern Isles ferry services contract, a range of mandatory fare discounts and concessions were stipulated in the bid documentation. These were:

Islander Discount: a 30% discount on passenger and car fares for island residents.

National Concessions: a 10% concession to senior citizens with a National Entitlement Card, disabled passengers and those in full-time education.

ScotRail Travel Pass and Highland Rover tickets: a 20% discount on the seated passenger standard fare purchased on the day of sailing.

Blind Persons Concession: a 100% discount fares for blind people.

National Concession Travel: up to four single journeys each year for National Entitlement Card Holders resident in the Northern Isles.

As with our other ferry service contracts, there were no mandatory provisions required for fare discounts to school pupils. Nevertheless, this is a broader range of fare discounts than has been set down in any previous Scottish Government ferry services contract. In addition, in their bid, Serco NorthLink proposed operating additional discount schemes including the Sponsorship Scheme which is open to all schools and other community groups. Serco NorthLink have now allocated an annual budget of £100,000 per annum to their Sponsorship scheme.

Details of tender period discussions will not be made public.

Along with the other bidders for the Northern Isles ferry services contract, Serco NorthLink’s fares proposals were set down in their bid for the 2012-18 Northern Isles ferry services contract.

There have been no recent discussions with Serco NorthLink regarding fare discounts.

I refer the member to the answer to question S4W-16022 on 22 July 2013. All answers to written parliamentary questions are available on the Parliament’s website, the search facility for which can be found at:

http://www.scottish.parliament.uk/parliamentarybusiness/28877.aspx.

The court action being brought against Scottish Ministers by Shetland Line (1984) Ltd is a commercial action, rather than a petition for judicial review.

The next session in the Commercial Court is scheduled for 28 August 2013.

The previous Northern Isles ferry services contract operated from 2006 to 2012. While few concessions were specified in the contract, during that period the following fare concessions operated:

Islander discount a 30% discount on passenger and car fares for island residents.

National Concessions a 25% concession to senior citizens, disabled passengers and those in full-time education.

Schools and Community low season passenger fare discount all year round together with 25% discount on cabin accommodation.

Sponsorship programme for local community groups.

Blind Persons Concession: a 100% fare discount for blind people.

Whilst recent house building statistics are below the projections of household formation, the Scottish Government has put in place significant support to stimulate housebuilding activity across all tenures, including the private market. Nevertheless, operating conditions remain very challenging for Scotland’s house building industry.

The Scottish Government aims to deliver at least 20,000 social rented homes from within its five year target of 30,000 affordable homes during the lifetime of this parliament. Almost 12,900 affordable homes were completed to the end of March 2013, including 9,926 social homes, and we are on track to deliver a further 6,000 affordable homes in 2013-14.

Network Rail would require to be licensed to provide rail passenger services by the Office of Rail Regulation to enable it to bid to operate a rail franchise. The Scottish Government has no reason to expect that Network Rail will wish to bid for rail franchises in Scotland. Any such proposal would give rise to a very wide range of issues for consideration, as under existing legislation the operation of the GB rail network is fundamentally geared towards separation between infrastructure management and the operation of passenger services. This is also consistent with relevant developments in EU law.

The number of testing centres a local authority authorises for the testing of taxis and private hire cars is a matter for the local authority. They will consider what system best meets the needs of their local area, taking into consideration the requirements of the licensing regime.

There are no plans for the Scottish Government to review the number of testing centres licensing authorities must provide.