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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 4 May 2021
  6. Current session: 13 May 2021 to 8 November 2025
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Displaying 3464 contributions

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Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Thank you very much. I will begin by speaking about key message number 1, which is that

“The appointed auditor issued a qualified regularity opinion on the 2023/24 audit”.

How many public bodies do you audit, and how often do you issue that kind of qualification?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

In the past 12 months, for example, how many qualifications have you considered it necessary to issue?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Perhaps it would be interesting to look at the contractual terms of other CEOs in non-departmental public bodies to see whether that is the norm and what its genesis was. As we discussed in the evidence sessions on last year’s section 22 report, so many aspects of the operations of WICS appear to be counterintuitive. They appear to be the wrong way round. This strikes me as another example of that.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

By my calculation, it was concluded within 17 days over the Christmas and new year period, so it was, as you say, rapid. You make the point in the report that much more consideration could have been given to other options. The legal advisers could have been asked for an opinion on the revelation that the 2007 contract had not been signed and what its status therefore was. That is the one that provided for three months’ notice pay, rather than six months’ notice pay, under such circumstances.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Okay. I have a couple more questions. One that you may not be able to answer is: do you know the reason why the 2007 contract was not signed by the former chief executive officer?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Well, that is very interesting. We might return to some of that, but I now ask Colin Beattie to put some questions to you.

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

Graham Simpson will drill into those areas in a little more detail, but just for clarity, are you saying that all that type of activity—that non-compliant activity—stopped on 31 December?

Public Audit Committee

Section 22 Report: “The 2023/24 audit of the Water Industry Commission for Scotland”

Meeting date: 9 January 2025

Richard Leonard

I will now bring in Graham Simpson, who has questions on those areas of non-compliance.

Public Audit Committee

Interests

Meeting date: 9 January 2025

Richard Leonard

Good morning. I welcome everyone to the first meeting in 2025 of the Public Audit Committee. We have received apologies from the deputy convener, Jamie Greene.

James Dornan has stepped down from the committee. I place on the record my thanks for James’s useful contribution during the short time that he was on the committee. I am also pleased to welcome to the committee his replacement, Stuart McMillan. Stuart, you have been a member of the committee in times past, and your experience will be very helpful to us. You are very welcome to the committee.

For the formal part of the introduction, I ask whether you have any relevant interests that you wish to declare.

Public Audit Committee

Interests

Meeting date: 9 January 2025

Richard Leonard

Those issues arise quite regularly at this committee, so thank you very much for that. It is very useful to place that on the record.