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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 17 June 2025
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Displaying 1189 contributions

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Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 22 April 2025

Liz Smith

Thank you for your evidence so far. I want to ask about a specific issue. Although you are obviously not responsible for policy making, you have to respond to it. In recent times, at the UK and Scottish levels, we have seen some very late adjustments. At the time of the spring budget statement in the UK, the OBR stated that the welfare reforms would not deliver as much money as the Government had previously estimated, and so last-minute adjustments had to be made.

In Scotland, the Scottish Government was very late in announcing its mitigation of the two-child cap, and it did not provide enough information in time for the SFC to build that into a forecast. To what extent do such adjustments present a problem with forecasting? I know that you cannot set the policy in any sense, but does it create considerable difficulties when Governments make changes to their policy proposals that are a bit late for forecasting?

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 22 April 2025

Liz Smith

Is it your view that we are getting better at forecasting over the short, medium and longer terms?

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 22 April 2025

Liz Smith

Thank you for the excellent evidence that you have provided for us. I will concentrate on scrutiny by Parliament. Professor Bell, I noticed your interesting comment about the role of committees and why the committee system might not lead to the most effective scrutiny. Professor Spowage has made clear some of the issues with Parliament itself.

If we wanted to improve parliamentary scrutiny, would we need to make structural changes to the scrutiny process during the next session of Parliament, or is it a question of improving the culture within Government and the relationship between Government and Parliament regarding how scrutiny takes place?

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 22 April 2025

Liz Smith

What would be the difference between what we have, which, I would agree, is not particularly cutting edge, and something like the arrangement that Finland has? You mentioned that it has a discreet body that has been set up to do that work. What is different about those two options that makes Finland a bit better?

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 1 April 2025

Liz Smith

Would it help the pursuit of getting the right evidence? It would increase the scrutiny.

Finance and Public Administration Committee [Draft]

Scottish Fiscal Commission

Meeting date: 1 April 2025

Liz Smith

Paragraph 1.2 of the OECD report is titled “The SFC has strengthened relationships with key stakeholders”, and you mentioned some of those stakeholders. Why do you think that your relationships have improved? Is it because your personal contacts are very strong, or is it because you have a greater understanding of those stakeholders and more data on what they are doing?

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 1 April 2025

Liz Smith

Those are policy choices—they are not for you but for politicians. We cannot make effective, evidence-based decisions about public spending priorities until we know what the good-quality data is and what the effects of decisions are. That is basically what we are after. It has been a past concern of the Auditor General, as well as yourself, that we need to do more on that basis.

We have discussed twice before the possibility of having a finance bill, which I think could help us, but you are not going to answer that question. However, do you feel that a fiscal framework between central Government and local government could help that process?

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 1 April 2025

Liz Smith

The Parliament is in need of processes that make it easier to understand where we have spent money well and where we have had issues. That is the crux of the matter.

I will come back to other matters later.

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 1 April 2025

Liz Smith

That is helpful. Thank you.

Finance and Public Administration Committee [Draft]

Scottish Budget Process in Practice

Meeting date: 1 April 2025

Liz Smith

In your answer to the first question this morning, Professor Roy, you set out where you felt there had been improvement in data availability. You then raised some issues about areas in which you thought we could still make improvements. Will you do the same in relation to how effective we are in scrutinising public expenditure? Will you tell us where you think that the data is improving and where you think that we need more data in order to decide how effective we are being in scrutinising public expenditure?