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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 5 May 2021
  6. Current session: 12 May 2021 to 14 August 2025
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Displaying 2597 contributions

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Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

I want to turn to a specific area—that of the milestone payments that totalled about £83.25 million. Paragraph 160 of the report that the Rural Economy and Connectivity Committee published back in December 2020 says:

“there is strong evidence that the contractor deliberately proceeded to construct specific sections of the vessel either out of sequence or not according to the proper specification purely as a means of triggering milestone payments on the contract.”

Paragraph 157 talks about

“the contractor progressing certain work on the vessels either incorrectly or out of sequence purely in order to trigger payments against the contract”.

10:15  

Commodore Luke van Beek also gave evidence to the committee that Ferguson’s deliberately slowed down some of the subcontracting. I am a layman, so I do not understand naval contracts, but if there are milestones at A, B and C, and the work between A and B has not been carried out and only the work at the milestone has been done in order to trigger a payment, that does not seem to me to be right.

Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

Given your statement that the milestone payments were payments for large equipment and so on, for example—

Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

That is not evidenced by the value at the point of nationalisation.

Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

What I am saying is that, from the committee’s point of view, we can only look at evidence that we receive that we are able to scrutinise.

Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

Obviously, the dispute between FMEL and CMAL was significant. Was FMEL advised by the CMAL board at any point that it would resign if there was any intervention in the dispute? If so, who advised that?

Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

Yes, I mentioned the figure of £128.25 million.

FMEL accepted £45 million from the Scottish Government, but it said that it did not want the loans.

Public Audit Committee

Section 23 Report: “New vessels for the Clyde and Hebrides: Arrangements to deliver vessels 801 and 802”

Meeting date: 16 June 2022

Colin Beattie

So why did you accept them?

Economy and Fair Work Committee

Town Centres and Retail

Meeting date: 15 June 2022

Colin Beattie

I recognise the complexity of non-domestic rates and the calls, from a wide range of sectors, for relief from them. However, if we are aiming to rejuvenate town centres, looking at such rates would seem to be a very high priority. I simply ask you to take that into consideration when the various reports come back.

Economy and Fair Work Committee

Town Centres and Retail

Meeting date: 15 June 2022

Colin Beattie

Minister, I would like to develop a couple of points with you. The first concerns business rates. In the evidence that we have received, we have heard a lot about how they are a disincentive for town centre regeneration because rates are higher in town centres than they are in out-of-town sites. Do you agree that there should be wholesale reform in order to link value that is holding back investment with the tax regime, thereby supporting positive outcomes for town centres and the environment?