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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 14 May 2025
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Displaying 979 contributions

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Economy and Fair Work Committee

Budget Scrutiny 2024-25

Meeting date: 31 January 2024

Colin Smyth

I think that we will see more investment, and what we will certainly see from a UK Labour Government is growth, which we have not seen from the Scottish Government.

Sticking with the issue of financial transactions that you mentioned, cabinet secretary, what progress do you expect on SNIB’s ability to access existing capital beyond them? One of the issues raised with the committee by the chair of SNIB was securing the regulatory permissions necessary to manage third-party capital. What progress do you see taking place in the forthcoming year to enable the bank to do that and to access other forms of funding?

Economy and Fair Work Committee

Budget Scrutiny 2024-25

Meeting date: 31 January 2024

Colin Smyth

Just give me an idea of the timescale.

Economy and Fair Work Committee

Budget Scrutiny 2024-25

Meeting date: 31 January 2024

Colin Smyth

We are seeing those opportunities; as the minister knows, the south of Scotland has the highest number of wind farms in Scotland. So far, though, we have seen very few of those renewables jobs, and I hope that that will change.

As well as the cuts to enterprise agencies, the Scottish National Investment Bank is seeing its budget being cut by a third, to the lowest level since it began to operate, despite the fact that the chair of the bank says that the planned £2 billion public capitalisation will not be sufficient to meet the bank’s mission. Why is that cut so large, and is the Scottish Government still on track to provide the £2 billion that is committed to SNIB? Do you still expect, for example, the bank to be self-financing by 2025?

Economy and Fair Work Committee

Budget Scrutiny 2024-25

Meeting date: 31 January 2024

Colin Smyth

Is there a timescale for that yet?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Colin Smyth

So, the idea of using turnover should continue. If you were to reduce the poundage—

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Colin Smyth

Good morning, panel. To follow on from Murdo Fraser’s question, the impact of the budget was hugely deflating for many businesses in the south of Scotland. Hospitality businesses were looking for that additional rates relief. The concerns over that are obviously well documented. What may not be as well documented, though, are the wider issues around business rates, which I know that you have strong views on. Leon Thompson touched on that at the beginning when he said that turnover has risen among a lot of businesses, which is positive, but not to the same scale as costs—energy costs, staff costs and everything else—have risen, so profit margins have fallen. Obviously, that has a big impact on business rates, given that we calculate business rates for hospitality on the basis of turnover. Given those issues, can you say a little bit more about what the sector is looking for from the wider reform of business rates?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Colin Smyth

That is helpful. The convener will not let me carry out a full review of business rates at the moment, but, Colin, you have lots of ideas, according to Leon—[Laughter.]—about how we can change things. Do you want to share some of them?

Economy and Fair Work Committee

Budget Scrutiny 2024-25 (Tourism and Hospitality)

Meeting date: 24 January 2024

Colin Smyth

That is a very interesting point. A business across from my office showed me its accounts. Its turnover was going like that, and profits were going like this, but business rates were also going like that. Sorry, you will not be able to show that in the Official Report—[Laughter.] For the record, I was making signs with my hands to show that turnover was rising and profit was going down but business rates were rising. There is clearly something wrong with the way in which we calculate them. I do not know whether Marc Crothall wants to add anything to that from around the sector.

You mentioned that you feel that there is a lack of respect from Government. The one chink of light in the budget may well have been a commitment to review how we calculate business rates for hospitality. Have you been contacted by the Government on that review? Do you know what the timescale is, given the urgency of the issue? You may want to come back on that one. Marc, is there anything that you want to add about other parts of the tourism sector?

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 17 January 2024

Colin Smyth

Thank you for that, minister.

One of the challenges that the committee has had is in fully assessing the likely impact on jobs should the refinery close in spring 2025. It has been suggested that there will be a net loss of 400 direct jobs, but it is clear that the potential job losses will include indirect, supply chain jobs, particularly in the local area. Does the UK Government have clear figures for how many direct jobs and, crucially, indirect jobs are likely to be lost if the refinery closes in spring 2025?

10:15  

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 17 January 2024

Colin Smyth

Crucially, many of the opportunities that you talk about are in offshore wind, for example. You talked about Robert Gordon University in the north-east of Scotland. What is the UK Government able to do to ensure that those opportunities in the Grangemouth area exist for the workforce, particularly the supply chain workers in the local community? With the best will in the world, a transition should not be about workers having to leave their communities to find opportunities. We should be trying to create those opportunities in their local communities.