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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 15 May 2025
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Displaying 1276 contributions

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Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

Let us take the last example that you gave, about the transfer of assets and staffing from local government, which is one of the things that some folk have cottoned on to. We have taken no decisions about the transfer of assets or the transfer of staffing. That will all form part of the co-design. I have gone on record on a number of occasions saying that there is already good delivery of high-quality care in many places by local government, so why would we need the transfer of those staff to take place? That is part of the co-design process.

Among the other areas that you touched on, VAT is an area that we are exploring in great depth. We have sought independent professional advice on the VAT implications of the options that are available for the structural set-up of the national care service. Of course, as you would expect, we are actively engaging with the Treasury to make early progress with obtaining a VAT-neutral position. It would chuff me to bits if we could get a prompt response from the Treasury on those kinds of issues. However, as the committee is aware, the Treasury sometimes takes some time to come to decisions about such things.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

Decisions on funding are still to be determined. However, the intention is for there to be no detriment to local government finances. Any funding that is transferred would be directly associated with a similar transfer of costs to ensure an overall neutral impact.

We recognise that, in establishing a national care service, including any transfer of accountabilities and associated financial resources from local authorities, we must take into consideration the impact on those local authorities and on their ability to resource and deliver other public services.

As you rightly point out, convener, those scenarios might be more challenging for smaller authorities, such as Clackmannanshire, and for island authorities, so we will continue to engage and have those discussions. However, we want the impact to be neutral overall. As I said at the very beginning, decisions about funding have yet to be made.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

I will go first and then bring in Ms Bennett.

I think that you will understand that there are various unknowns that could result in large cost differentials, including the transfer of staff and their associated pay terms and conditions and other things such as the digital improvements that we might need. At all times we have tried to be as transparent as we can in our approach and to highlight the potential costs that might be incurred if the bill were to be passed, so as not to either underestimate or overestimate the reality of the situation.

As I have stated throughout, these estimates will have to be refined, because times have changed since the financial memorandum was written. We will provide updates on all of that as soon as we can, and will do so again if there is any other material change.

There are some assumptions that I do not think we can make. If we make assumptions around some of the areas of work that are subject to the co-design process, folks will think that we have already made up our minds about how we should move forward. I do not want that to be the case, because I need everybody at the table with open minds, and, obviously, there will be parameters around the co-design. In those circumstances, I again pledge to the committee and to Parliament that, as we develop all of that, we will be open and transparent about the expected financial costs of all of that work.

Ms Bennett is the expert on the financial memorandum. She wrote it, and she is probably sick of and fed up with my questioning on all of this. However, I ask her to cover some of the other aspects around this, some of which is in the FM itself.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

You have understood the situation correctly. For me, one of the main frustrations has been collecting data to ensure that we can design services correctly not only for today but for tomorrow. It can be frustrating just to get even basic information, and we need to turn that situation around dramatically to ensure that we have services that are fit for the future. The length of time that it takes to get certain basic information in order to make key decisions is frustrating, too.

Those frustrations are felt not only by Government but by stakeholders. For those folks whom Mr Gibson mentioned and who feel that it might take them a little bit more time to do some of this data collection work, it might be better if we were able to get all of that data, as that would prevent them from having to do their own research.

Donna Bell might want to add to that.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

Often, some of the third sector partners that work across local authorities offer very specialised services that have very few clients, but some of the bureaucracy involved causes them a lot of grief and costs them a lot of time and resource. That is money that the partners would rather spend on helping folks. A refinement is without a doubt required there.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

Absolutely.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

I do not think that the bill should be paused. I know that some folks are opposed to the change that we are trying to make. There are concerns. We will talk to and listen to folk about their concerns and will work our way through those with them.

I come back to a point that I made before. You have heard it in evidence here and other committees have heard the same. Folks want answers to some of the questions on aspects that we have said will be subject to co-design. I cannot, at the moment, make assumptions about that or we will lose the confidence of those folks who want to help us to co-design services as we move forward.

I come back to the point that we want to ensure that we have good law and good implementation, and that we bridge the implementation gap. The only way that we can do that well is by having the voices of lived experience—and of other stakeholders who have not previously been involved to this degree in the shaping of services—at the table. As we move forward with that work, we will ensure that the business cases are there and that they can be fully scrutinised by all. I want to be as transparent as possible in this whole process, but I am not able to answer questions now about certain aspects of it, because if I did that, the co-design would be said by many to be a sham.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

The rephasing that Ms Bell has outlined is to ensure that we have the right skills in place as we move forward. We will continue to ensure that we have the resource to allow for meaningful engagement with people with lived and living experience and other stakeholders. However, we will give the committee more detail on that issue, too.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

You are trying to paint me into a corner. That is part of the co-design process. We must discuss with folks how they see the future. I would not paint myself into a corner by saying that the minimum would be eight or nine or the maximum would be 32. A fair number of ideas and suggestions will come out during the co-design work. I have heard a lot of ideas and suggestions myself, but I will leave others to bring those to the table when it comes to co-design.

Finance and Public Administration Committee

National Care Service (Scotland) Bill: Financial Memorandum

Meeting date: 8 November 2022

Kevin Stewart

Is that helpful?