Chamber and committees

The Scottish Business Pledge is a commitment made voluntarily by firms in recognition of shared values and ambition to boost productivity and competitiveness through innovation, internationalisation and progressive workplace practices. Information on the Pledge elements met by businesses is given in the quarterly “Business Pledge – Statistical overview” which is placed in the Scottish Parliament’s Reference Centre. Formal evaluation of the Business Pledge, scheduled for 2017, will provide further evidence of company behaviours.

As of 3 November there are 296 Scottish Business Pledge companies.

There is no legislative requirement that would prevent a college from bidding for and being awarded a contract by a local authority because the college was in deficit.

Source: Scottish Funding Council, October 2016

EU

SFC match

Ayrshire College

£640,000

£426,624

£213,376

Glasgow College Region

£6,123,802

£4,082,126

£2,041,676

Lanarkshire College Region

£3,891,238

£2,593,899

£1,297,339

West College Scotland

£2,451,097

£1,633,901

£817,196

Total funding under YEI

£13,106,137

£8,736,551

£4,369,586

ESF - Developing Scotland's Workforce

Lowlands & Uplands Scotland

Borders College

£210,642

£84,257

£126,385

Dundee and Angus College

£2,362,999

£945,200

£1,417,799

Fife College

£1,014,702

£405,881

£608,821

Forth Valley College

£656,981

£262,792

£394,189

North East Scotland College

£1,004,495

£401,798

£602,697

West Lothian College

£318,283

£127,313

£190,970

SRUC

£149,210

£59,684

£89,526

Total funding under DSW (LUPS)

£5,717,312

£2,286,925

£3,430,387

Highlands & Island

UHI partner colleges (including Perth)

£1,610,029

£805,015

£805,015

Total funding under DSW (H&I)

£1,610,029

£805,015

£805,015

OVERALL TOTAL FUNDING ALLOCATED THROUGH ESF PROGRAMMES

£20,433,478

£11,828,490

£8,604,988

Source: Scottish Funding Council, October 2016

The audited accounts of incorporated colleges for the year ended 31 July 2016 are not due to be received by the Scottish Funding Council until the end of December 2016.

The financial health of the college sector in 2014-15 is reported in paragraphs 59-62 of the Audit Scotland report Scotland’s colleges 2016 , which is at http://www.audit-scotland.gov.uk/uploads/docs/report/2016/nr_160825_scotlands_colleges.pdf

Exhibit 10 of the report indicates that while the sector reported an overall deficit of £28 million in 2014-15, after taking account of adjustments (including technical accounting adjustments), the deficit decreases to £3 million, representing less than one per cent of income.

We welcomed the Audit Scotland report Supporting Scotland’s Economic Growth: The role of the Scottish Government and its Economic Development Agencies’, which formed part of the evidence base considered during phase 1 of the Enterprise and Skills review.

The Enterprise and Skills Review Phase 1 Report, published on 25 October encapsulates actions against the findings and recommendations raised in the Audit Scotland report. In addition, Phase 2 will take forward these issues over the course of its deliberations.

The information requested is already in the public domain.

Information on the Pledge elements met by businesses is given in the table entitled “Business Pledge – Statistical overview – August 2016”, a copy of which has been placed in the Scottish Parliament’s Reference Centre (Bib number 57653). This material is updated and published on a quarterly basis. https://scottishbusinesspledge.scot/.

There are currently 296 Scottish Business Pledge companies.

Scotland’s Economic Strategy (SES) is directed towards achieving the Scottish Government’s central Purpose of creating a more successful country, with opportunities for all of Scotland to flourish, through increasing sustainable economic growth.

The SES sets out four priority areas for supporting sustainable economic growth:

Investing in our people and our infrastructure in a sustainable way;

Fostering a culture of innovation and research and development;

Promoting inclusive growth and creating opportunity through a fair and inclusive jobs market and regional cohesion; and,

Promoting Scotland on the international stage to boost our trade and investment, influence and networks.

Details of specific policies and initiatives that underpin these priorities are set out in Chapter two of the SES, which is available at the following address:

http://www.gov.scot/Publications/2015/03/5984/5

The Programme for Government, published on 6 September 2016, sets out the policies, actions and legislation that the Scottish Government will take forward to deliver these priorities. The Programme for Government is available at the following address: http://www.gov.scot/programme2016

This is an operational matter for Scottish Enterprise (SE) and Highlands and Islands Enterprise (HIE). I have asked the Chief Executives of both SE and HIE to contact you with the information you have requested and my understanding is that this will be with you soon.

Detailed work is being undertaken to ensure that additional resources deliver maximum benefit for Scotland. Additional funding will be provided to reflect this.