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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 4 May 2021
  6. Current session: 13 May 2021 to 3 November 2025
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Displaying 3846 contributions

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Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

When you say “considerable impact”, do you mean a positive or negative impact?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

Frankly, there is a fear of the unknown in many organisations. They think, “We’re going to have to adopt this, but do we have to do it this week?” or, “What’s the implication going to be for the workforce and the whole structure.” I led the first debate on AI in the Parliament, way back in 2018, and the information that we had then about the impact on employment was completely different from the information now. At that time, the sectors that we were told would be most adversely affected and those that would be boosted were completely different from the scenario now. That issue is still being grappled with.

I will move on to capital investments in a couple of minutes, because a few people mentioned that in their written submissions, but a couple of folk want to come in at the moment.

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

I am sorry; I thought that you wanted to come in on the back of John Mason’s question.

I want to move on to the issue of capital. We are about an hour in, we have another half hour to go, and I want to move on if we can. Everybody will have an opportunity to sum up at the end of the meeting. So, if we have missed anything or you feel we have not covered something, we can touch on it then.

Elaine Morrison, in your submission, you state that

“A low level of capital to support workers is a key cause of the UK’s relatively low labour productivity”,

and you go on to say that

“it would take almost a century to catch up with the capital intensity of higher productivity peer countries”.

That is quite a depressing prospect. You also say that it would take that long

“Even if the UK was able to increase its investment rate by about 4%-points”.

You go on to say:

“The UK has firm-level barriers including risk-aversion, investment constraints and cultural issues”.

What are those constraints, and how do we overcome them?

10:30  

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

No, I am asking what you think the Scottish Government should do with the resources that it has. I am not asking—

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

I was going to come to you next anyway, Stacey, because you wanted to come in anyway—you can come in on whatever you wish. You said that you are keen to see an increased share of public contracts being awarded to small local firms. Your submission says that you have found that

“while some barriers had been removed following the introduction of the Procurement Reform (Scotland) Act 2014, others persisted.”

What are those barriers?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

You have said that you would support

“the introduction of statutory targets on how much is spent by public bodies with small businesses each year.”

How would that work practically? A small business may not produce a specific product that a public body might require. In general, how would setting statutory targets align with the aim to make Scotland more competitive?

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

My area, North Ayrshire, has done similarly.

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

I will let Lesley in to respond to that, but then I will go to Tom Ockendon because his is the only paper that I have not referenced yet and I want to ask him about it. Michelle Thomson will be the last member to contribute. After that, we will have to go to wind-up points, because time is against us—we are already just about out of time. I will give all five of our guests an opportunity to make any final points that they might wish to make. Andy Witty will be the last to speak, because he was the first to speak at the start of the meeting.

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

Right, so you are just putting down a marker and expressing concern about that.

Finance and Public Administration Committee [Draft]

Pre-budget Scrutiny 2026-27

Meeting date: 16 September 2025

Kenneth Gibson

You touched on adaptations earlier, and the fact is that small investments there can make a big difference.