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Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
We are the Public Audit Committee and we are not talking here about an ideal world; we are talking about a world where there is some accountability. Even your own document, the June 2021 UHI Perth financial regulations, which I presume was signed off by the board, says that the very first responsibility of the finance director—it is bullet point 1—is
“preparing annual budgets and financial plans”.
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
Thank you very much. We have heard quite a lot of useful evidence this morning and I think that you have been given an opportunity to put on the record some things that I know you feel inject some more balance into our committee considerations. As the deputy convener said, we very much appreciate you taking the time to come in and give us the benefit of your experience and your perspective on the Auditor General’s report.
As I said at the outset, in January 2026, I think, we are due to take evidence from some of the people who have taken your previous positions, as well as from the Scottish Funding Council and the wider University of the Highlands and Islands. That will give us an opportunity to put to them some of the things that you have said to us. You may wish to follow that with some interest.
Mr Watson, I think that you agreed to share with us the December 2024 letter. If any of you, on reflection after today, have anything else that you want to supply to us, we are quite happy to accept a note after today’s oral evidence session to help us prepare for the next round of evidence that we will take. Dr Cook, Mr Wishart and Mr Watson, thank you for coming in and for the evidence that you have presented to us this morning.
I move the committee into private session.
12:20 Meeting continued in private until 12:52.Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
Thank you for that introduction. I will go straight to the deputy convener to kick off the questioning.
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
I will move on to an area that is highlighted in your report in exhibit 1, which is titled, “Progress on implementing devolved taxes in Scotland has been slower than planned”. That might be a bit of an understatement. For example, you refer to the devolved air departure tax, which was expected to be introduced on 1 April 2018. You refer to the assignment of VAT receipts, which was supposed to be sorted out with a transition year in 2019 and implemented by 2020. We are talking about seven and five years ago and neither of those taxes has been implemented. Could you shed some light on why there have been those delays, what the problems are, and who, if anybody, is to blame?
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
Good morning. I welcome everyone to the 32nd meeting in 2025 of the Public Audit Committee.
Under agenda item 1, does the committee agree to take agenda items 4 to 8 in private?
Members indicated agreement.
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
Agenda item 2 is consideration of the Auditor General for Scotland’s report, “Financial sustainability and taxes”.
I am pleased to welcome to the committee the Auditor General for Scotland, Stephen Boyle. Alongside the Auditor General, we have Richard Robinson, senior manager, and Thomas Charman, senior auditor, both from Audit Scotland. We have quite a number of questions to put to you this morning on the report, Auditor General, but before we get to those, I invite you to make an opening statement.
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
Thank you very much indeed. I am now going to turn to Colin Beattie, who has some questions for you.
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
That ends this very useful session. I take the opportunity to thank you again, Auditor General, for presenting that evidence and producing the report. I also take the opportunity to thank Thomas Charman and Richard Robinson for their evidence this morning. We need to consider what our next steps are, and we will take a bit of time to look at that.
I will suspend the meeting to allow for a changeover of witnesses.
10:47 Meeting suspended.Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
You have not read all of it. Which bits have you read?
Public Audit Committee [Draft]
Meeting date: 3 December 2025
Richard Leonard
That is fine. It is just that, in the course of this morning, we may turn to things that the Auditor General said.
Mr Watson, do you want to say anything at the outset?