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Seòmar agus comataidhean

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 18 December 2025
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Displaying 2831 contributions

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Public Audit Committee [Draft]

“Financial sustainability and taxes”

Meeting date: 3 December 2025

Colin Beattie

Is it doable?

Public Audit Committee [Draft]

“The 2023/24 audit of UHI Perth”

Meeting date: 3 December 2025

Colin Beattie

Will you describe that a bit more for me? I would have thought that you needed a budget to understand what your deficit would be and to determine how to plug that gap.

Public Audit Committee [Draft]

“The 2023/24 audit of UHI Perth”

Meeting date: 3 December 2025

Colin Beattie

But surely the board would have been apprised of the situation, because a budget is quite an important thing. Surely it would have wanted to be informed and briefed about it, and papers would have been minuted. Did that happen? The Auditor General says that it did not.

11:15  

Public Audit Committee [Draft]

“The 2023/24 audit of UHI Perth”

Meeting date: 3 December 2025

Colin Beattie

Did the board make a decision to defer the budget?

Public Audit Committee [Draft]

“Financial sustainability and taxes”

Meeting date: 3 December 2025

Colin Beattie

The question of whether behaviour has changed has been considerably explored over a number of years. The last time we spoke to HMRC, it indicated that there was some sign of behavioural change. Here we are looking at something rather more concrete. In 2023-24, the increase in the additional rate and the lowering of the threshold was expected to raise £65 million but, due to behavioural responses, only £11 million was raised, and in 2024-25 the increase to the top rate was intended to raise £53 million but raised only £8 million. Both cases represented a more than 80 per cent divergence in the amount of tax received. Are we getting to the point where we bring out the old Laffer curve and say that tax rises are no longer effective?

Public Audit Committee [Draft]

“Financial sustainability and taxes”

Meeting date: 3 December 2025

Colin Beattie

If we look at those two issues, which are the only ones that we have any detail on, does the calculation of how much was raised depend purely on income tax or does it take into account the knock-on effect of a reduction in expenditure, which would lead to a drop in VAT income?

Public Audit Committee [Draft]

“Financial sustainability and taxes”

Meeting date: 3 December 2025

Colin Beattie

Scotland is not the first country to be wrestling with its taxation policy and how to raise sufficient revenue to do what it needs to do. Are there any other countries that have handled it better? Have any other countries had better outcomes than we have?

Public Audit Committee [Draft]

“The 2023/24 audit of UHI Perth”

Meeting date: 3 December 2025

Colin Beattie

Obviously, I am going to ask about the absence of a 2023-24 budget. Paragraph 10 of the Auditor General’s report says:

“Some initial work began in February 2023 to gather information for the budget. College management asked budget-holders to supply information to inform the preparation of a draft budget. The college is unable to explain what happened to that information and there is no evidence of it being collated or summarised.”

I am not sure who might want to comment on that.

Public Audit Committee [Draft]

“The 2023/24 audit of UHI Perth”

Meeting date: 3 December 2025

Colin Beattie

I have been involved in many budget processes. The process of putting the budget together and of individuals who hold part of that budget putting in their input sometimes throws out unexpected things that can be incorporated into the budget. You see what your bottom line will be and you determine what you need to do to adjust that to where you need to be.

Public Audit Committee [Draft]

“The 2023/24 audit of UHI Perth”

Meeting date: 3 December 2025

Colin Beattie

Another quite important point in the Auditor General’s report is where it states:

“The board’s view on the absence of a budget is not documented in the minutes of relevant meetings.”

Is that correct?