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All Official Reports of meetings in the Debating Chamber of the Scottish Parliament.
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Displaying 1275 contributions
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
Laura Parker can come in with those details.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
I do not have a specific set of numbers that I can share with you, but I anticipate that the successful outcome would, as you highlight, lead to a net gain for the Scottish economy and, indeed, the public finances. The exact timescales in which that will be delivered will, of course, be influenced by a number of factors, including individual commercial decisions and the overall macroeconomic environment in which we find ourselves. However, to come back again to the key point, I note that this is about seeking to incentivise investment that would otherwise not take place; clearly, economic benefit and gain would come from that. However, I am not in a position to give specific timescales or to forecast when we would get a return on the investment.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
You would expect me to say in answer that a priority for the Government is to ensure that our workforce is skilled and able to take up the new opportunities. There is broad recognition that we have a highly skilled workforce in Scotland, which is reflected in a range of metrics—not least of which is our consistent success in attracting foreign direct investment.
Laura Duffy might want to add something specifically on how that thinking will link up with green freeports and how the business cases have been taken forward.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
You must forgive me—I am here specifically to speak about green freeports. As I am not the lead minister on investment zones, I do not have the information in front of me. However, I would be more than happy to ask that a response be provided in writing to address any further points that you want to articulate on the matter.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
There is a range of avenues for providing resource. As I said, that can happen under the planning system, when there is justification in planning matters for resources to be accessed as part of a development that is taking place. There are public resources, such as the capital allocations to local government.
As always, we will continue to have dialogue with local government. More broadly, that has been taken to a new and strengthened level across Scotland following the Verity house agreement. Such discussions will continually take place. If particular areas of pressure are identified and we need to consider solutions that go beyond what an individual local authority or group of local authorities was capable of, we would have those discussions at that point, just as local authorities routinely raise a number of areas.
We recognise that what we are seeking with regard to the creation of jobs and the development of land presents a huge opportunity. We also recognise that significant economic development can be attended by a range of challenges, so we will continue to engage. We are not taking an approach of saying, “On you go,” and leaving local government and the areas to it. We will continue to engage, and we will look to understand any challenges that emerge and identify solutions in partnership.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
I am grateful for the committee’s scrutiny and have no further comments.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
The provisions around avoidance are general avoidance provisions. Laura Parker might want to come in and speak to those, because it is an important point in which the committee will be interested.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
As has been touched on, we are in a situation where, subject to the order being passed, we hope that tax site designation would take place between HMT and HMRC in the near future, which would allow for the next stage. We continue to have active dialogue and engagement, and there is joint decision making between Scottish and UK ministers. Laura Duffy, do you want to add to that?
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
Yes, of course. As I said, there is continued close dialogue and engagement, which will inform any decisions, and earlier we recognised the approach that we have taken from the outset with regard to parity.
Finance and Public Administration Committee
Meeting date: 12 September 2023
Tom Arthur
As you correctly identified, the SFC stated that the relief would be below the materiality threshold of £5 million. Given that such things are demand driven, it can be challenging to forecast with the degree of precision that we would like. However, there is an expectation that many of the transactions that would take place would be leases rather than conveyances. If we look at leases as a proportion of total LBTT revenue for Scotland in 2021-22, for example, they work out at about 3 per cent overall. Therefore, we are talking about relatively small sums of money, but such reliefs can be very meaningful and impactful with regard to decisions on whether individual transactions should take place. Of course, we should bear it in mind that we anticipate that the transactions would not take place were the relief not in place.