Chamber and committees

The Scottish Government’s drive to boost productivity and innovation is set out in the third programme of the National Strategy for Economic Transformation (NSET) . Our approach to expanding international opportunities is set out in NSET’s fifth programme “New Markets”, which is in turn driven by our Trade and Investment plans, Shaping Scotland's Economy: inward investment plan and A Trading Nation: a plan for growing Scotland's exports .

The inward investment plan, which was published in October 2020, takes a targeted approach to attract high quality inward investment into nine opportunity areas where Scotland’s strengths meet international demand, that fall within the overarching areas of Net Zero, Digital and High Value Manufacturing. The export plan refocuses the enterprise agencies’ export support activities to the markets with the international opportunities that best match our strengths, and to support the companies most able to service these opportunities.

Evidence suggests that foreign owned firms make a disproportionate impact to our economic performance and productivity. Just 3% of business in Scotland are foreign owned but account for over a third of jobs, almost half of GVA, just under two thirds of business research & development spending and three quarters of exports.

Progress to date on both the export growth and inward investment plans was set out in detail in A Trading Nation: progress review 2022 and Shaping Scotland's Economy - progress report 2022 .

Investing in our innovative businesses is a key priority of the Scottish Government and we are committed to becoming a world leading, innovation nation, to increasing productivity, growing our economy and creating sustainable, green jobs.

That is why this winter we will publish a new National Innovation Strategy for Scotland, that will set out our 10 year vision for Scotland to become one of the most innovative small nations in the world by 2032.

As investing in our innovative businesses is key to productivity growth, the strategy will introduce a comprehensive and joined up package of investment support.

We will build on the support already available to businesses through our Enterprise Agencies, who since 2017 have distributed around £600m directly to businesses to build their capacity and capability to innovate, and initiatives such as the Digital Development Grant, which since September 2020 has invested almost £50m to over 5,600 SMEs to help them utilise digital technologies and enhance workforce skills.

This will ensure that all of our businesses, people and institutions are ready and able to meet the global economic challenges and opportunities we face over the next ten years.

We recently completed our second consultation on the New Build Heat Standard , which sets out our proposals for regulating direct emissions heating systems within new buildings, applying for a building warrant, from 1 April 2024.

An independent analysis of the responses received to the consultation is now underway, and this will inform the development of regulations prior to their laying in Parliament in Spring 2023.

The 433 additional properties to be connected in Dumfries and Galloway as a result of the £6.6 million extension to the R100 South contract are spread across the whole region. This extended build is also fully reflected on our online address checker where individuals can enter their address details to see what the R100 programme will deliver for their property.

The Financial Memorandum set out the range of possible costs for the NCS.

The NCS is being developed through a Co-Design approach. We are starting to work with the Lived Experience Experts Panel on larger scale co-design, and will continue to work with a range of organisations and individuals alongside the panel.

We will design and develop the NCS with the real experts, those who rely on social care, unpaid carers and the workforce.

The finances are being constantly monitored and reviewed as new information becomes available. Through the business case process we will continue to provide greater detail and clarity.

Parents and carers are encouraged to talk to their ELC setting about their child’s needs, and ELC practitioners will be able to discuss options for children who may benefit from an additional year of funded ELC. Local authorities are responsible for school enrolments in their area and this includes supporting parents and carers who cannot access online resources.

Local authorities are responsible for school enrolments in their area, including providing information for parents and carers who may wish to defer their child’s primary school start. We have written to local authorities to encourage them to update the communications they share with parents to reflect the change in legislation. The Scottish Government provides information about deferrals on the Parent Club website .

Zero Waste Scotland has calculated that 29 Scottish Local Authorities, including all Island Local Authorities, will incur a net financial benefit from the implementation of Scotland’s Deposit Return Scheme (DRS).

There will be an Early Learning and Childcare (ELC) census in September 2023 which, as in previous years, will collect information on the number of deferrals but not on the age of the children. The new individual level child census, due to take place for the first time in May 2024, will collect data on children registered for funded ELC, including the date of birth of the child. At that point it will be possible to identify how many children registered for funded ELC were eligible under the change in legislation on deferrals. Some local authorities already provide funded ELC for deferred children regardless of the child’s birthday, so we will not be able to identify if these children would have been registered for funded ELC if the legislation was not changed.

The Island Communities Impact Assessment ( Deposit return scheme for Scotland: islands communities impact assessment - gov.scot (www.gov.scot) ) that we published in March 2020 confirms that the introduction of the Deposit Return Scheme will not increase the amount of waste that will arise in island communities. Since most waste is currently transported off the islands it is unlikely that there will be any significant increase in number of journeys made by waste hauliers. No further modelling has been undertaken.