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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 5 May 2021
  6. Current session: 12 May 2021 to 16 June 2025
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Displaying 3214 contributions

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Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

Written authority.

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

I will move things along straight away and ask Colin Beattie to put some questions to you.

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

Briefly, Graham.

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

In the interests of time, I will go straight to the deputy convener.

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

We indeed have questions on the areas that you have outlined in your introductory remarks, director general, and we will get to those in due course. Before we get to some of those broader points, I invite Stuart McMillan to put a couple of general questions to you, after which I think that he wants to talk with you in some detail about the FMPG situation.

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

You mentioned FMI’s track record and its intellectual property rights. When it was commissioned to do that work, was it required to disclose who else it worked for?

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

No, I am not asking a legal question. I am asking whether FMI is subject to any risk if it is hired to carry out due diligence, for example, and things do not pan out according to its advice. Is there any clawback? What responsibility rests with it?

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

As the saying goes, the proof of the pudding will be in the eating.

I want to tie up a few loose ends before we finish the evidence session. First, on that last point, why on earth are there any commercial confidentiality issues around the terms of reference for the study by FMI?

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

The Public Audit Committee deals with optimism bias a lot of the time, but, this morning, I think that we are experiencing some pessimism bias. I do not think that it is unreasonable to expect that the objective terms of reference of a piece of work that has been commissioned by the Scottish Government should be in the public domain.

Public Audit Committee [Draft]

Scottish Government Strategic Commercial Assets Division

Meeting date: 21 May 2025

Richard Leonard

Again, we will view that in light of future experience.

I turn to the other issue that we have been looking at this morning, but have not significantly dwelt on. Again, I just want to run through this as a matter of record. One of the pieces of information that you disclosed to us in February, which was quite transparent and open of you, was the EY study into BiFab. At the end of that report, EY made a series of recommendations to the Scottish Government about how it might improve things in future cases.

As we have touched on already, the report spoke about identifying

“key sectors ... of strategic importance”

that the Government ought to identify. It also said that

“SCAD should ... engage with public sector agencies”.

We have heard a little about how that goes on, although I would be interested to know whether the Scottish National Investment Bank is part of that engagement process.

I turn to three particular recommendations in that report, and I will ask you, director general, whether you have implemented those recommendations.

One was a recommendation that the Scottish Government

“should establish a standardised triage process for intervention requests”

in order to establish a “go/no-go” decision framework. Have you done that?