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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 22 July 2025
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Displaying 3298 contributions

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Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Obviously, you are the principal accountable officer in the Government. Is it your view that the Government’s policy objectives are affordable and sustainable?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

We are a little bit against the clock, but we want to ask you about a couple of other areas. Before we move on, permanent secretary, what is your view of the fact that the written authority that was sought this year was the first one since 2007?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Let me move on to another industrial intervention that is contained in the report, which is the Lochaber aluminium smelter. That brings us into the relationship between the Scottish Government and the GFG Alliance. The Auditor General’s words are again pretty clear this year. Not only has he chosen to include that in his section 22 report on the Scottish Government’s consolidated accounts, but he says:

“There continues to be uncertainty regarding the financial stability of GFG Alliance”.

He goes on to point out that the potential liability to the public purse has increased by £21 million since last year to an exposure of £135 million. How are you managing that? What is your response to that? Is it not looking increasingly likely that this whole investment could run into difficulty?

It was reported at the weekend that the former chief executive of Wyelands Bank, which was part of the GFG Alliance, was fined £110,000 by the Bank of England’s prudential regulation authority. There are Serious Fraud Office investigations into the GFG Alliance. Various House of Commons select committees have cast doubt on the business model of the GFG Alliance. The last time that we took evidence from you, we heard that the group had failed to submit audited accounts. Where is your relationship with the GFG Alliance, and what is the current position, as you understand it, given that risk and uncertainty identified by the Auditor General?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

You said that you met representatives of the GFG Alliance. When was the last time that the Scottish Government or one of its representatives met Sanjeev Gupta?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Is that the company name?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

May I pick you up on your language? You describe it as “rightsizing”, but, in the case of Scottish Enterprise, is it not downsizing?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Yes. Right.

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Forgive me, but my reading of what you are saying is that reform equals contraction and rightsizing equals downsizing.

Before I bring in Graham Simpson, I have just one question that I hope is straightforward and which will elicit a quick answer. Currently, there are no public sector pay guidelines. They were not part and parcel of the fabric of the budget presented to Parliament. Can we expect to see public sector pay guidelines being issued?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Thank you. That would be helpful.

I will take us back to the substantive report that we are discussing, which is the Auditor General’s section 22 report. I want to get your position on the record, permanent secretary. Paragraphs 95 and 96 are the conclusion of the report. Paragraph 96 carries a series of five clear recommendations from the Auditor General about a change of approach and development of approach, and so on, with regard to accessibility and transparency; governance and assurance arrangements; the public sector estate; a road map of what the design and delivery of public services, which we have already spoken about this morning, looks like and how you will advance that; and a timetable for completion, as a matter of urgency, of the whole-of-Government accounts, which we will get to shortly.

Do you accept the conclusions and recommendations in that paragraph of the report?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Richard Leonard

Okay. I will move on to another quick question about the strategic commercial assets division. Do you consider the Petroineos oil refinery at Grangemouth to be a strategic commercial asset?