Contents
- Portfolio Question Time
- Flooding (Support for Communities)
- Business Motions
- Parliamentary Bureau Motion
- Motion without Notice
- Decision Time
- Scottish Games Week 2023
Portfolio Question Time
Wellbeing Economy, Fair Work and Energy
Good afternoon. The first item of business is portfolio question time. To get in as many members as possible, I would be grateful for short and succinct questions and responses.
Minimum Wage (Devolution of Powers)
To ask the Scottish Government what assessment it has made of the potential impact that any future devolution of powers relating to the minimum wage to the Scottish Parliament would have on its fair work and wellbeing economy policies. (S6O-02648)
In “Building a New Scotland: A stronger economy with independence”, we propose setting a national minimum wage at a rate that better reflects the cost of living and doing business in Scotland. Responsibility for setting future rate increases could fall to a Scottish low pay commission, which could signal a new consensus-building approach to minimum wage setting.
While such key powers remain reserved to Westminster, we continue to promote our fair work agenda to deliver fairer working practices, including the payment of the real living wage, which is now set at £12 per hour for workers outside London who are aged 18 or over.
As we know, low pay is a prime driver of poverty, and control over the legally binding minimum wage is a key lever in tackling that. What level would the Scottish Government set a Scottish minimum wage at, if it had the power to do that?
I agree that low pay is a key driver of poverty. We propose establishing a fair minimum wage at a level that better reflects the cost of living in Scotland. That would be a single rate for all age groups, which would end the current approach of discriminating against young workers.
We continue to call for employment powers to be devolved to enable us to create fairer workplaces, enhance workers’ rights in Scotland, help to shift the curve on poverty and deliver a fairer, greener and growing economy and a more prosperous Scotland. In the meantime, we remain committed to promoting the real living wage as part of our fair work agenda.
Onshore Wind Farms (Approvals)
To ask the Scottish Government what proportion of onshore wind farms approved in the past year had majority support from the local community. (S6O-02649)
I refer members to my registered interest in relation to two 12kW domestic turbines.
The Scottish ministers determine applications for consent under section 36 of the Electricity Act 1989. The Scottish Government does not collect data on community support for applications that are determined under the Town and Country Planning (Scotland) Act 1997. Before deciding on an application, decision makers consider all relevant material that is available to them, including the application documentation, consultation responses, representations and other material information.
Last year, the Garbet wind farm, which borders my constituency, received consent from the Scottish Government despite overwhelming objection from the local community and Moray Council. Similarly, the Scottish Government approved the Meall Buidhe wind farm this summer despite more than 200 objections from residents and Highland Council.
There are now fears that approval for the proposed Dunecht Estates Hill of Fare wind farm, in my constituency, is a foregone conclusion despite just one in 10 residents supporting the plans. Will the minister back my call for communities to be given a statutory voice on applications for wind farms whose capacity exceeds 50MW?
It is interesting that Mr Burnett’s original question was about majority support, which suggests that he is calling for some kind of vote or recording of support from every person who is of voting age. I am not sure that we can ascertain from a consultation whether there is majority or minority support, because that is not how planning applications are done.
We have an onshore wind sector deal under which the Government committed to streamlining processes, which was what the industry asked us for. We have asked the industry and the sector to engage with communities at the earliest possible opportunity during the project development cycle in order to agree a community package that will meet or exceed the principles that have been set out in the good practice principles for community benefits. We want them to engage with communities on their plans as early as possible to see what would work where, and where the best compromises could be made.
The onshore wind sector deal that was signed last month at the Scottish Renewables onshore wind conference is very welcome. How will it ensure that local communities benefit fully and share in the rewards of onshore wind developments?
I alluded to that deal in my answer to Mr Burnett. I thank Mr Beattie for his warm words on it, as it is a significant milestone in ensuring that communities are fully engaged in and benefit from our green energy transition. The industry is committed to engaging with communities from the earliest possible opportunity in a project development cycle and it has agreed to a community benefits package that exceeds the good practice principles that have been set out. I have tasked it with making more meaningful offers in relation to what that might mean for communities. I have often made the point that a lot of rural communities that are the sites of onshore wind developments suffer from a great deal of fuel poverty. There may be something more constructive that can be done on that.
The industry has also committed to promoting supply chain opportunities, supporting increased local content of projects and providing an appropriate number of apprenticeships, training opportunities and skilled jobs across the sector and related industries for the lifetime of the sector deal. Those commitments demonstrate the importance that both the Scottish Government and the industry continue to place on good community engagement and the delivery of meaningful benefits.
Offshore Wind (Infrastructure) (Ports)
To ask the Scottish Government what assessment it has made of whether Scotland’s infrastructure is equipped to deliver the current offshore wind pipeline of up to 42GW, including in relation to port infrastructure. (S6O-02650)
Scotland’s natural resources, high wind speeds, skilled workforce, excellent port structure and strong innovation hubs make Scotland one of the best places in the world to develop offshore wind and its supply chain. My recent trade visit to Port Esbjerg in Denmark was an excellent working example of maximising port infrastructure and our strategic investment model alongside the recently announced £500 million of Scottish Government investment. I took with me a trade mission of people who represent ports including Forth Ports, the port of Leith and the Port of Aberdeen so that they could learn from Esbjerg. To fully maximise the benefits, however, we must continue to call on the United Kingdom Government to deliver an enhanced transmission grid infrastructure at pace, which would make all the difference.
It is important that we build consensus on the infrastructure investment that we need in order to realise our renewables potential. However, I wonder whether the minister read the recent Financial Times article that quoted the chief executive of Haventus, which is currently redeveloping the Ardersier port. He said:
“With current port capacity, it would take at least 50 years to achieve the 45GW that is already licensed for Scottish waters”.
That is in line with the view of the floating offshore wind task force, which has said that we need £4 billion of investment.
What steps is the Government taking to ensure that there is sufficient public and private investment so that we have the port infrastructure to realise our offshore renewables potential?
Daniel Johnson makes some really good points. I have not read the article that he mentioned, but I am familiar with the arguments in it.
We are doing a couple of things. The £500 million of investment is directed to port infrastructure because it is apparent that we need to beef that up in order to deliver on our ambition. We are working in collaboration with the public and private sectors to develop what is called the strategic investment model—or SIM—and move from project-led investment to sector-led investment that will better support growth in port and supply chain capacity and capability.
Government money cannot deliver on its own. There has to be public and private investment, which is why the First Minister announced the additional £500 million of investment. We are working with the ports as well as the offshore wind industry on what that money could be used for and where it can best be deployed, for the reasons that Daniel Johnson outlined.
The absence of offshore wind in the recent contracts for difference auction was extremely disappointing. It signals that the United Kingdom Government has failed to recognise the current market challenges that the sector faces. With that in mind, can the minister provide an update on Scottish Government investment that will help to deliver on the full economic potential of offshore renewables projects?
The results of allocation round 5 sent a shockwave through the industry. When they came through, I was on my visit to Esbjerg with quite a lot of partners, including people from Scottish Renewables, and there was great concern about the fact that nobody bid for those licences because the strike price was too low. I hope that the United Kingdom Government has heard the reaction to that from the sector and the Scottish Government, and will improve things for AR6.
However, we have recently announced £500 million of Scottish Government investment into that supply chain to help us to deliver for Scotland. That will stimulate and support private investment in infrastructure and manufacturing facilities that are critical to the growth of a world-leading offshore wind sector, as I mentioned to Daniel Johnson.
The UK Government must now address calls from the industry for the next round of contracts for difference allocations to deliver on those projects at scale, not just for Scotland but for the whole of the UK. Crucially—
Briefly, please, minister.
—it must also heed the calls for grid infrastructure to unlock the enormous potential that Scotland’s renewable energy transition holds.
We need to build confidence that the supply network is going to grow. One ScotWind project recently warned of significant unanticipated changes in the Scottish and UK offshore wind industries and of challenges regarding the availability and capacity of Scottish, UK and European supply chains. What early results can the minister secure in developing that supply chain so that we can build confidence and maximise the potential for Scotland?
I thank Willie Rennie for highlighting the supply chain. The strategic investment model that I mentioned—the SIM—is critically important in that regard. Applications to it closed in June, and it attracted a high level of interest. There were 44 applications, which involved an estimated total capital expenditure of more than £4 billion. Some 41 per cent of them are for port infrastructure projects, and the remainder are for other types of supply chain investment.
The SIM model is moving really fast. The industry asked us for that and we are delivering it. It looks like it is working. For the reasons that Willie Rennie outlined, we have to have collaboration with the industry and move on supply chain benefits as much as possible.
Hydrogen Production
To ask the Scottish Government what action it is taking to boost hydrogen production in Scotland. (S6O-02651)
The “Hydrogen Action Plan” confirms that the Scottish Government will support the hydrogen sector through a programme of capital funding to increase Scotland’s production capabilities. Earlier this year, we launched the hydrogen innovation scheme and offered over £7 million in grants to projects that will accelerate innovation in hydrogen production. Last month, we announced £200,000 of funding for the North Sea alliance research project, which will investigate pipeline infrastructure between Scotland and Germany and match Scottish hydrogen production to German hydrogen demand. The green hydrogen fund, which will launch later this year, will further boost hydrogen production in Scotland.
I welcome the minister’s recent announcement in Aberdeen of funding for that hydrogen pipeline research, which is really important. What are the Government’s intentions with regard to reviewing regulatory and planning guidance to aid hydrogen production in Scotland?
Kevin Stewart raises an important point about why it is critically important that ministers work together. I am absolutely mindful of the fact that I need to work with my ministerial colleagues in planning to look at what can be done to accelerate the regulatory and planning processes so that we keep ahead of innovation in this space.
Innovation in renewable energy, and particularly in hydrogen, is happening really fast. Aberdeen is leading the way in that, with the collaboration between Aberdeen City Council and BP on plans to set up yet another hydrogen hub. It is important that we look at the learning that is happening in Aberdeen and make sure that other places around Scotland can learn from that.
I give Mr Stewart my word that I will speak to my planning colleagues about the issues that he has raised, and I am happy to have further conversations with him about that.
It is good to hear the minister confirm that the green hydrogen fund will launch this year. Will she confirm how quickly the Scottish Government intends to allocate the £90 million that it has committed, so that we can see the investment that is needed to boost green hydrogen production and, critically, to help to decarbonise transport and industry?
I will give Ms Boyack some information. In addition to the £90 million for renewable hydrogen projects through the green hydrogen fund, we have already invested £15 million in the early stages of the Aberdeen Hydrogen Hub, which I mentioned. We are working with other regions that have similar ambitions to co-ordinate local hydrogen projects and production activity. Those things are happening even before the deployment of the £90 million.
Things are happening at pace. We are looking at all the projects that have made applications to the innovation fund. We will look at the projects that we think will accelerate the hydrogen production that Sarah Boyack mentioned, and I will keep her up to date on that as much as possible.
Scottish Cluster (Financial Support)
To ask the Scottish Government when it will outline details of its £80 million of financial support for the Scottish Cluster carbon capture project, which it announced in January 2022. (S6O-02652)
As Mr Lumsden is aware, the United Kingdom Government has not yet provided a timeline for the Scottish Cluster’s deployment, and it has not provided a concrete timeline for the deployment of the Acorn project at St Fergus. In the absence of that vital information, it is not possible at present to establish how the Scottish Government can best tailor our support for the Scottish Cluster, but the £80 million that we promised to the Scottish Cluster will be deployed in collaboration with it as the project develops. It is important to say that we will take the lead from the Scottish Cluster on how that £80 million will be deployed.
The UK Government has selected the Acorn project at St Fergus near Peterhead for funding as part of the £20 billion carbon capture and storage investment package. Acorn is expected to support around 21,000 jobs at its peak. The Scottish Government promised £80 million to go towards that vital project, but then snatched the money away. When will that money be reallocated, or is that another broken promise to the north-east of Scotland?
I am glad that I finally have the opportunity to rebut Mr Lumsden on that. I have heard Mr Lumsden attempt to deploy a complete misrepresentation of the £80 million funding. That £80 million funding is still there—it is available, and it will be deployed in a manner that suits the multiple partners in the Scottish Cluster. Frankly, Mr Lumsden needs to stop that misrepresentation. Carbon capture, utilisation and storage—CCUS—is a good news story for both the Scottish Government and the UK Government.
That is betraying the north-east.
Mr Lumsden.
CCUS could show what can be done when we work together and take the politics out of this. The £80 million is there, and it will be deployed as the Scottish Cluster wants it to be deployed.
The UK Government’s recognition of the enormous potential of the Acorn project and the Scottish Cluster was long overdue. However, it is concerning that the UK Government has committed only to setting out details for the next critical steps in the process in due course.
Can the minister provide an update on any recent engagement with the UK Government that seeks to avoid further delay? Will she join me in urging the UK Government to work at pace with the Acorn project?
The Scottish Government is in regular contact with the UK Government, and our officials regularly engage with Department for Energy Security and Net Zero counterparts.
In September, Mr Gray wrote to the UK Government to urge it to do exactly what Kevin Stewart said—to avoid further delays and to work at pace to secure the fastest possible deployment for Acorn and the Scottish Cluster. I join Kevin Stewart in urging the UK Government to show that ambition and to publish the concrete timeline for the delivery of Acorn that the sector is looking for. Acorn is vital for a just transition that supports the decarbonisation ambition for the range of Scotland’s key strategic and economically significant industries.
Yesterday, I was at an Aberdeen and Grampian Chamber of Commerce round-table meeting on energy with people from the region. They made exactly the same points. They need clarity and an expedited timeline as soon as possible.
“Initial Plan Framework Sectoral Marine Plan for Offshore Wind for Innovation and Targeted Oil and Gas Decarbonisation (INTOG)”
I apologise for my late arrival in the chamber.
To ask the Scottish Government when it anticipates that the sectoral marine plan for offshore wind for innovation and targeted oil and gas decarbonisation will be formally adopted. (S6O-02653)
Our aim is to adopt the plan in 2024. We are aware of developers’ interest in the sectoral marine plan and the impact on delivery of projects, and we are working hard to streamline the process to address their needs.
I recently met stakeholders in the Salamander offshore wind project. In further correspondence, I was informed that they have concerns about resource funding for statutory bodies that are involved in the consenting process. As an example, I was informed that NatureScot has concerns with its levels of core grant funding. That was highlighted by its director, Nick Halfhide, at a recent Net Zero, Energy and Transport Committee meeting.
What engagement is the Scottish Government having with statutory bodies such as NatureScot to ensure that they have the support that is required to continue their work in that important process?
I thank Audrey Nicoll for her work in that area of crucial importance.
Our Government officials are aware of the resource challenges that NatureScot is facing, and we are liaising with it to ensure that the required support is in place for the timely planning, licensing and consenting of offshore energy projects and related infrastructure. I would be more than happy to write to Audrey Nicoll with further detail on that.
The newly approved Rosebank field will emit around 12kg of carbon dioxide per barrel of oil produced, but if electrified pursuant to INTOG or an equivalent scheme, that would fall to 3kg. Given that imported liquefied natural gas emits on average around 79kg of carbon dioxide per barrel, does the cabinet secretary agree that swift approval and deployment of INTOG will help to make the already strong environmental case for on-going production from the North Sea incontrovertible?
Obviously, we want to see the decarbonisation of North Sea production, which is why we are supporting the INTOG process. However, Mr Kerr will be aware that the import of oil products in particular will need to continue, as we cannot fully utilise all that is produced in the North Sea in our domestic production. However, our decarbonisation of oil and gas will continue through INTOG.
Brexit and the Covid-19 Pandemic (Labour Shortages and Skills Gaps)
To ask the Scottish Government how it is addressing any labour shortages or skills gaps affecting the economy as a result of Brexit and the Covid-19 pandemic. (S6O-02654)
Labour and skills shortages are complex and, for some sectors, they are the result of a combination of factors, including the United Kingdom Government’s immigration policies, Brexit, the pandemic and systemic issues within the sector.
The national strategy for economic transformation skilled workforce programme sets out actions that we are taking to work with employers to address labour and skills gaps, including better aligning the education and skills system with the needs of employers, promoting lifelong learning and expanding our available talent pool.
We are also in the process of introducing a talent attraction and migration service, which we hope will assist.
Will the cabinet secretary outline how the Scottish Government is working with the UK Government and other devolved Governments to ensure that the immigration system is flexible and responsive to the needs of Scotland’s economy and society?
All sectors of the Scottish economy are experiencing labour shortages as a direct consequence of Brexit and the ending of the freedom of movement. Scottish ministers have written to the UK Government on several occasions to outline their concerns and those of employers across Scotland.
The UK Government’s immigration system is not designed to meet our needs. It is having a damaging effect on Scotland’s economy and communities. We have proposed amendments and improvements, such as a rural visa pilot, but those have not been taken up as yet.
We are working productively with businesses and acting in areas that are within our responsibilities, including promoting fair work practices and the provision of upskilling and retraining opportunities that are aimed at the hardest-hit sectors. However, it goes without saying that having a damaging migration service is not helping.
I do not understand the obsession of members on the Scottish National Party benches with Brexit. Legal migration into the United Kingdom has doubled since Brexit and is today at record levels. The real question is, why does Scotland not attract our population share of migrants compared with other parts of the United Kingdom? Why does the cabinet secretary think that Scotland is such an unattractive place for migrants to come to, and what is he doing to try to turn that around?
I thank Murdo Fraser for coming back to a question that he has posed to me previously. For every year since 2001-02, inward migration from the rest of the UK to Scotland has been greater than outward migration from Scotland to the rest of the UK. [Interruption.]
Members.
If Murdo Fraser thinks that it just happens to be the Scottish Government that has an obsession with Brexit and its impact on our economy, he just needs to talk to our stakeholders in the business community, who will tell him very clearly the impact that it is having on their trading environment, their access to labour and the Scottish economy.
Skills Gaps (Long-term Labour Market Strategy)
To ask the Scottish Government, regarding its long-term labour market strategy, what steps it is taking to address any skills shortages affecting the economy. (S6O-02655)
As I have just set out in my response to Rona Mackay’s question, we are taking a range of actions to address labour market and skills shortages, including better aligning the education and skills system with the needs of employers and the economy, as outlined in the national strategy for economic transformation.
Through the publication of the initial priorities of purpose and principles, the Scottish Government has committed to taking responsibility for skills planning at national level, working with partners to set clear priorities against future skills needs and supported by a regional approach.
On that regional approach, the skills shortage that is highlighted in the Withers report and by others is particularly acute in my region. Regional employment has grown by only 0.6 per cent over the past decade, compared with a nationwide average of 4 per cent. Furthermore, according to figures from Skills Development Scotland, productivity is well below the national average. Indeed, we have had proper challenges in West Scotland, with large employers leaving the region. Just in the past few weeks, we have heard about uncertainty over jobs at Rolls-Royce in Renfrewshire.
What is the cabinet secretary doing across Government to tackle the shortages in the skills base, to ensure that we retain businesses that are badly in need of skills?
It is about both those things. I very much recognise the situation that Paul O’Kane has set out. I have been working with some of the employers in the west of Scotland who have been looking at either reducing their workforce or moving out, to try to support those businesses to remain, as he would expect.
On the skills front, we will be coming forward with our response to the Withers review. In addition, in terms of our work on the green industrial strategy, it is critical to ensure that we have a skills system that is aligned to the forthcoming green energy revolution.
I am more than happy to collaborate with Paul O’Kane in the areas that he has an interest in to ensure that we are getting this right.
Finance and Parliamentary Business
Local Authorities (Sport and Leisure Facilities Funding)
To ask the Scottish Government what plans it has to allocate more funding to local authorities in its 2024-25 budget to enable them to maintain and invest in local services, including sport and leisure facilities. (S6O-02656)
Decisions on future local government budget allocations are subject to negotiations with the Convention of Scottish Local Authorities and the results will be confirmed as part of the Scottish budget on 19 December.
The minister will be aware that, just a few weeks ago, my constituents in Coatbridge and Chryston, along with people across North Lanarkshire, heard the devastating news that the Labour-run North Lanarkshire Council had decided to close 39 leisure centres, swimming pools, community hubs and town halls, many of which are integral to our communities. Thanks to hard-fought campaigning by individuals, groups and politicians across the area, the council eventually made a U-turn on that decision.
How can the Scottish Government support local authorities and impress on them the incredible importance of those community facilities, to ensure that they are not making such flippant and politically driven decisions in the future?
The Scottish Government places great importance on sport and leisure facilities, which are vital in supporting the physical and mental health of the nation. Sportscotland, our national agency for sport, is working with local and national partners to help it to assess the impact of any potential facility closures, and those discussions will continue over the coming weeks and months.
Mr MacGregor highlighted the local campaigns that encouraged North Lanarkshire Council to change its decision. Although it is for democratically elected councils to make decisions on the priorities for their local areas, it is always good to see communities influencing those decisions.
Considering the widening deficit in local authorities’ funding, can the Scottish Government confirm what efforts are being made to raise funds for local services?
The member will be aware that there is a joint approach with COSLA to look at various means of raising money for local government, which is headed up by my colleague Tom Arthur.
A number of streams of work are under way. One recent stream of work is the proposal to allow local authorities to raise 100 per cent additional council tax from second homes.
The First Minister’s announcement of a council tax freeze without consulting councils will have a detrimental effect on local services if it is not fully funded. Last week, West Dunbartonshire Council warned that it faces a funding gap of £17.3 million next year. Will the Scottish Government provide a fair funding settlement for all councils, including West Dunbartonshire, so that local services such as sport and leisure facilities are protected?
The council tax freeze will be fully funded. It is important that, at this time of pressure on family budgets and other financial burdens, we are able to remove that uncertainty. It took two weeks, but it is pleasing that the Labour Party now appears to support the council tax freeze. I do not know the Conservative Party’s position on the council tax freeze, but it is important that, at a time when family and household budgets are so pressed, we do everything in our powers to support people, and that is what we are doing. I am pleased that we have Labour’s support.
Financial Memorandums (Monitoring)
To ask the Scottish Government how it monitors the overall effectiveness of financial memorandums. (S6O-02657)
In preparing financial memorandums, the Scottish Government always learns from and applies any comments or recommendations that the Finance and Public Administration Committee has made on previous memorandums. In order to ensure that memorandums are effective in informing Parliament of the financial impact of proposed legislation, they are subjected to a high level of scrutiny and review. Scrutiny is carried out by finance officials, the Parliament’s legislation team and, finally, the Finance and Public Administration Committee.
Significant changes in projected spend, such as the 50 per cent uplift for the Children (Care and Justice) (Scotland) Bill and the Victims, Witnesses, and Justice Reform (Scotland) Bill, indicate too little up-front detailed policy analysis. The large ranges in estimates also indicate considerable uncertainty.
Speaking as a member of the Finance and Public Administration Committee, I am concerned about the general quality of the FMs that are being presented to us. In an extremely tight fiscal environment, that suggests the need for more rather than less up-front planning. Is it time to look again at the guidance that is being offered to ministers?
Michelle Thomson makes some fair comments. As I said, we are committed to maintaining the effectiveness of financial memorandums and ensuring that they remain fit for purpose. I would be happy to engage with the committee on its concerns and to consider how guidance could be improved, in the spirit of consensus.
Michelle Thomson is absolutely right. With the Government making increasing use of the co-design principle, which is important in the Government’s relationship with stakeholders, one of the key issues is that, if we get the financial memorandum ahead of the final co-design process being completed, the Finance and Public Administration Committee is in serious difficulty because we cannot scrutinise the memorandum properly. What can the cabinet secretary do about that?
Again, in the spirit of consensus, Liz Smith also makes some valid points. As I said to Michelle Thomson, I am happy to engage with the committee on the issues that might be limiting its scope for scrutiny. Liz Smith outlined one way to try to improve matters, so, in the spirit of consensus and co-operation, I suggest that we look at how we can take that forward.
Question number 3 was not lodged.
Council Tax Freeze (Cost)
To ask the Scottish Government what it estimates the financial cost will be of its recently announced council tax freeze policy. (S6O-02659)
We have committed to working with the Convention of Scottish Local Authorities on the detail of the implementation of the council tax freeze over the coming weeks. The quantum will be discussed and agreed in partnership with local government, and that will form part of the broader funding decisions that will be made in the context of the Scottish budget for 2024-25.
For the policy to be credible, the Government must set out how much it has set aside to cover it. Although households will welcome any freeze in their bills right now, they will want to know that it is fully funded. Can the Government give a guarantee that the freeze will not lead to any redundancies, reductions in services or increases in other council charges?
As my colleague Joe FitzPatrick said earlier, we have made a commitment to fully fund the council tax freeze. That will be done by negotiation, because there are various ways in which the final quantum could be calculated, and there might be various opinions about that in local government. It is important that we do that in partnership with local government in order that we reach a common agreement on the quantum.
I say to Mark Griffin that it has taken two weeks for his leader to come to a conclusion about whether he and the Labour Party support the principle of the council tax freeze. I assume that, now that they do, they will support the council tax freeze as part of the budget-setting process. We look forward to working with them on that.
Labour has spent a fortnight protesting about the Government introducing a council tax freeze, yet the Saturday before the Rutherglen and Hamilton West by-election, Labour distributed a leaflet that said:
“Vote to stop the SNP making you pay more council tax”.
There was no mention of a freeze or of it being fully funded. Does the cabinet secretary agree that Labour’s contortions on the issue betray the blatant cynicism of a party that will say anything for perceived political advantage?
Please answer on the substantive related point, cabinet secretary.
Kenny Gibson is absolutely right: Labour has been all over the place on the issue. However, as I said, in the spirit of consensus, it is now good to see that Labour is supporting the freeze. I very much look forward to the budget to see whether Labour votes for the freeze to help hard-pressed households. If Labour changes its mind again in that vote, the public will judge it on that.
The freeze will provide much-needed financial relief, particularly to vulnerable households. With household bills rising, the freeze will give some certainty to households for next year. We look forward to seeing how other parties vote in the chamber.
Councils are responsible for provision of community assets such as swimming pools and other sports facilities, youth clubs and art and drama classes. Does not the cabinet secretary recognise that starving councils of funds is a false economy and that taking those funds out of one page of the ledger means that they will appear on other pages, such as those on health, welfare, justice and education, and with some interest?
The tone of that question suggests that Brian Whittle is saying that the Conservatives will not support a council tax freeze as part of the budget. That is a very interesting position for the Tories to take. [Interruption.]
We have increased resources to local government by more than £793 million, which represents an increase of 3 per cent in real terms. Of course, that is an increase beyond the flat-cash position that was set out in the 2022 resource spending review. [Interruption.] Given the position of local authorities in England—where Brian Whittle’s party is in charge—with some going into administration and going broke, I do not think that any Conservative member of this Parliament is in a position to come and lecture the Scottish Government about support for local government finance. [Interruption.] We will get on with supporting local government and discussing the quantum of support as we take forward the budget this year. We will just leave the Tories to snipe from the sidelines, as normal.
I would be grateful if members could avoid giving a running commentary, because it makes it difficult for all members to hear.
Electoral Reform (Improved Voter Participation)
To ask the Scottish Government how its proposed electoral reform bill will seek to improve voter participation within the electoral process. (S6O-02660)
The Scottish Government is committed to ensuring that everyone who is eligible to vote can do so. We will seek to improve the electoral process through the reform bill later in the session. The proposals are likely to include ways to increase registration among underrepresented groups, and to make voting more accessible for those who face barriers, such as people with sight loss. As always, I remain open to suggestions from others with regard to improvements.
Votes must not only be cast; they must also count. I have met the minister about my concern that, at the 2022 council elections, the Canal ward, which is in my constituency, had the highest rate of spoiled papers in Scotland—three times the national average—as a result of voter error. The minister was receptive to my suggestion about placing on the Electoral Commission a statutory duty to carry out on-going work with communities in order to reduce the number of votes that are inadvertently spoiled. Will the minister update me on Scottish Government work in the area and say whether the proposed electoral reform bill can help to deliver that aim?
Mr Doris is correct that we had further discussions at that meeting. At the 2022 local elections, 1.85 per cent of ballots were rejected. Although the overall number of spoiled ballots at those elections was down slightly, I recognise that in some areas—such as the Canal ward, which Mr Doris cited—the numbers remained too high.
I agree that more must be done to ensure that no one loses their vote, so I am interested in any proposals that could help to achieve that. I am fully committed to working with Mr Doris on the issue, as work on the proposed electoral reform bill progresses. His specific suggestion that the Electoral Commission be given a more formal role will be given full consideration.
Public Procurement (Circular Economy) (Discussions)
To ask the Scottish Government whether it will provide an update on what discussions the Minister for Public Finance, Planning and Community Wealth has had with ministerial colleagues regarding efforts to ensure that circular economy practices are embedded in public procurement. (S6O-02661)
Tom Arthur, the Minister for Community Wealth and Public Finance, is on an international engagement in the United States during which he will speak at a plenary session at the Obama Foundation leaders event in Chicago. He will hear at first hand experiences of best practice relating to community wealth building initiatives in the United States of America.
The minister has regular discussions with ministerial colleagues on a range of matters, including the circular economy and procurement. The Scottish Government is committed to using public procurement to contribute to the strategic priority of a transition to a more resource-efficient and low-carbon economy.
I wish the minister well on his low-carbon trip to the United States of America.
The public sector spends more than £14 billion a year on goods and services, so making that spend more circular could lead to enormous environmental and social benefits. Given that just 1.3 per cent of Scotland’s economy is circular, it is worrying that circularity has not been appropriately embedded in public procurement.
Does the minister agree that circular economy principles should be built into all appropriate contracts, in relation not only to goods and services that are bought but the scoring matrix for contract awards? If so, how does he intend to progress that agenda?
I know that Maurice Golden takes the matter very seriously, despite the cheap political point he made at the start of his comments, so I will answer the question on that basis.
Maurice Golden is absolutely right about the importance of moving to a more circular economy in relation to procurement. Our sustainable procurement tools include circular economy e-learning that helps public bodies to take account of the climate and the circular economy in their procurement activity. There is also guidance on materials and waste that is aimed at making best use of resources, including by using circular economy principles. [Interruption.]
We will promote the updated guidance on procuring for repair, reuse and remanufacturing from Zero Waste Scotland once—
Members, let us remember the requirement to treat one another with courtesy and respect and to listen to one another.
A number of tools are in place. Clearly, we are not yet where we want to get to, which is why we are working really hard to get there. I know that ministerial colleagues engage with Mr Golden regularly on this really important issue and that he wants to work to help the Government and the Parliament to get this right.
Non-domestic Rates
To ask the Scottish Government what its response is to reports of a potential £200 million rise in non-domestic rates. (S6O-02662)
The Scottish budget delivers the lowest poundage in the United Kingdom for the fifth year in a row, and the package of reliefs for 2023-24 is estimated to be worth £749 million. Decisions on non-domestic rates for 2024-25 will be made in the context of the Scottish budget, which will be published on 19 December.
Given that business investment delays are one of the main contributors to Scotland’s weak growth, does the cabinet secretary agree that reducing business rates would provide much-needed relief to the sector?
We have been working with business, and the new deal for business established a consultative sub-group to advise on the non-domestic rates system, which Tom Arthur chairs. The group provides an important opportunity for discussion on further enhancements to the operation and administration of non-domestic rates following the implementation of the Barclay review’s recommendations. We will look at how we take forward the group’s recommendations after it publishes its plan on 19 October.
I make this point: in 30 minutes of parliamentary business this afternoon, the Tories have asked for more money for local government and more money for business, at a time when the United Kingdom Government is likely to deliver a real-terms cut to our resource and capital budget for 2024-25—[Interruption.]
We know about our priorities—[Interruption.]
Members!
We are very clear about our priorities—[Interruption.]
Cabinet secretary! Cabinet secretary!
Members will have different views on a whole range of issues. That does not mean that they need to join in from their seats when it is not their opportunity either to put or to answer a question.
I think that the panto season has started early for the Scottish Conservatives.
The Conservatives—from a sedentary position, as always—were barking about priorities. This Government is very clear on our priorities of tackling child poverty, net zero and delivering strong public services and a growing economy. What we hear from the Conservatives in the chamber is a scattergun approach of more money for everything, with absolutely no credible propositions or ideas about how to fund it, with a budget cut—[Interruption.]
Members!
—from their Tory masters at Westminster. We need to see some credibility from members on the Tory benches. I will not hold my breath, though.
It is welcome that the Scottish Government continues to deliver the lowest rate poundage in the UK. Can the cabinet secretary provide an update on how much that is expected to save ratepayers this year?
I heard Tory groans about having the lowest poundage in the UK. Do they not want us to have the lowest poundage in the UK for the fifth year in a row to support business?
The freeze in the poundage for 2023-24 was businesses’ biggest ask on non-domestic rates, and it is expected to save ratepayers £305 million this year, compared with an inflationary increase. I know that business welcomes that; it is just a pity that some members in the chamber cannot bring themselves to welcome it.
Budget 2024-25 (Priorities)
To ask the Scottish Government what its priorities are for its 2024-25 budget. (S6O-02663)
We are clear on what our priorities are. The Scottish Government is committed to delivering on the priorities that were set out in the First Minister’s policy prospectus and in the programme for government in September. The three missions of equality, opportunity and community will guide us, and I will lay out the tax-and-spending plans to Parliament on 19 December. This will be a budget of difficult choices, as the economic conditions are set to remain challenging—we all know the reasons for that—with inflationary pressures continuing to impact on households, businesses and public services.
The Government announced that it wanted to freeze the council tax for the upcoming budget at the Scottish National Party conference. We know that the Convention of Scottish Local Authorities and the Scottish Greens were not consulted on that beforehand. The Government has failed today to give us any sort of figure for how much the policy will cost. Will the cabinet secretary confirm whether civil servants were involved in helping to develop and formulate the proposal prior to its announcement?
Yes, we were given advice from civil servants in the normal manner. However, I am beginning to get confused about Labour’s position on the council tax. One minute Labour is against it; the next minute it is for it; and then it seems to be against it again. The member needs to read the comments from his leader, who said that Labour would back it.
This is a budget of difficult choices, and we have to balance the difficult choices on household finances and the cost of living crisis caused by the Conservative Government with the need to invest in public services. We will bring forward proposals that do that, but we need to see from Labour any alternative, costed, credible policies. I will wait to see what those policies are. All the policies that we will lay out on 19 December will be costed, and I look forward to seeing Labour’s alternatives to them.
As we look beyond the upcoming budget, what assessment has the Scottish Government made of the challenges that Scotland’s ageing population will pose to the funding of public services? Will the Deputy First Minister comment on whether the challenge has been exacerbated by a hostile Westminster migration system, which Scottish Labour also continues to back?
The Tories do not like to hear the truth, because it is uncomfortable for them. The challenges of an ageing population are considered when planning our budget. As Karen Adam said, it is clear that the UK Government’s immigration policies are not meeting the needs of Scotland’s communities, especially those in rural and island areas.
We are unable to set our own immigration policies. We have given solutions, such as the rural visa pilot proposal, yet the UK Government’s focus is on restricting migration and putting barriers in place for those who might seek to come here to build a new life, which is completely wrong headed.
That concludes portfolio questions. I will allow a moment for the front benches to organise before we move on.
Air adhart
Flooding (Support for Communities)