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In line with the principle of producer responsibility, the operational costs to industry of discharging its obligations under the Regulations are not funded by the Scottish Government.

Annex F of the updated Business and Regulatory Impact Assessment (BRIA) for Scotland’s Deposit Return Scheme (DRS), which we published alongside the draft DRS Regulations on 15 December 2021, provides a sensitivity analysis of the economic case for DRS by analysing two assumptions for key scheme parameters raised by industry: a figure of 2.7bn containers per year placed on the market (compared to the 2.2bn originally modelled) and a figure of 37,000 return points (compared to the 17,000 originally modelled).

Although the original assumptions published in Table 3 of the same BRIA remain our final, and best, estimate of the costs and benefits associated with DRS, we analysed the impact on the 25-year net present value (NPV) based on these two figures suggested by industry.

Annex F, Table 2 sets out an overall NPV of £583m if the two industry assumptions are taken into account, and provides a breakdown of this figure by sector. The overall figure of £583m has been re-validated and is correct. However, a manual error was made in copying over some of the data cells in this table. The corrected figures are set out in the table below. It is important to note that the error does not affect the overall findings of the BRIA; nor does it change the overall net present value that was presented in Table 2, Annex F.

When we were notified of this error we immediately corrected it by writing to the Convener of the Net Zero, Energy, and Transport Committee. We have amended the published Business and Regulatory Impact Assessment on the Scottish Government website. To provide further reassurance following the detection of this error, all other data presented in the BRIA have been re-validated and confirmed to be correct.

A discount rate of 3.5% over a 25-year period was used to calculate the Net Present Value for Scotland’s Deposit Return Scheme.

The Scottish Government does not assess risk on a sector by sector basis as the risks of a significant number of people gathering together indoors is the same regardless of the activity that brings them together.  

For the purposes of the capacity limits on indoor gatherings the Scottish Government considers a live event to be something that brings together a significant number of people for communal participation in a leisure or entertainment activity.  

The Scottish Government carried out an impact assessment of the live event regulation and its impact on businesses which include, but is not confined to, Bingo halls. This has been published at the link below: The Health Protection (Coronavirus) (Requirements) (Scotland) Amendment (No. 6) Regulations 2021 (legislation.gov.uk).

As I noted in my previous response to the member, the indoor events capacity limits were introduced in regulations from 26 December 2021 in order to mitigate the greatly increased transmission rates of the omicron COVID-19 variant, recognising that large capacity events indoors pose a high risk of transmission of the virus. The capacity limits were removed from 24 January.   The Scottish Government does not assess risk on a sector by sector basis as the risks of a significant number of people gathering together indoors is the same regardless of the activity that brings them together.   For the purposes of the capacity limits on indoor gatherings the Scottish Government considers a live event to be something that brings together a significant number of people for communal participation in a leisure or entertainment activity.

The Hospitality Top Up Fund provides support to hospitality businesses that lost bookings during the festive trading period, including pubs, restaurants, cafes and nightclubs.

Bingo businesses are eligible for funding though the Hospitality and Leisure top-up fund which supports businesses impacted by the necessary public health restrictions introduced from 27 December 2021, including requirements for physical distancing and capacity limits.

The indoor events capacity limits were introduced in regulations from 26 December 2021 in order to mitigate the greatly increased transmission rates of the omicron COVID-19 variant, recognising that large capacity events indoors pose a high risk of transmission of the virus. The regulations apply the limits to an event which brings individuals together for the purpose of community, culture, sport, recreation, entertainment, art or business. The Scottish Government continues to engage with the bingo sector about these regulations and their impact.

Fair Start Scotland the national employability support service is available to support those who face the greatest challenges in finding fair and sustainable work. Key workers offer personalised, one to one support, tailored to individual circumstances. Pre-employment support can last up to 18 months depending on the specific needs of the individual and up to 12 months in work support is also available to ensure participants remain supported during employment. This will include referrals to specialist support for employment where this will benefit the individual.

(a) The Scottish Government is taking effective steps to meet the needs of an evolving labour market by promoting employer business models that commit to investing in evidence-based human resources development.

In September 2021, the Scottish Government established a short-life Business Purpose Commission for Scotland, to promote more purposeful businesses and better corporate governance. The Commission is tasked with examining issues related to that agenda, which includes business models, improving understanding of purpose as a way of retaining and attracting talent, and developing recommendations for how more purposeful businesses can be supported in Scotland. The Commission is currently in evidence gathering stage, with hundreds of businesses having already provided evidence via the business purpose question included in the Quarterly Fraser of Allander Scottish Business Monitor (Q3) and the Commission's call for evidence, which closed on 10 December 2021. Thematic workshops are also scheduled to take place in January 2022, to gather further evidence.

(b) The Scottish Government is likewise taking effective steps to meet the needs of an evolving labour market by ensuring that employability programmes focus on developing skills and providing quality work.

Through No One Left Behind, we are working with partners to implement an approach to employability that is person-centred, flexible and responsive to local labour market needs. We are working collaboratively across sectors to ensure our services contribute to tackling poverty and inequalities, and that people who want help to find and remain in work have access to the help and support they need. Our flagship employability service, Fair Start Scotland has supported over 13,000 people into work since launching in April 2018. We continue to focus on improving our services for those further from the labour market, offering 12-18 months of pre-employment support and a further 12 months of in-work support for participants and their employers to encourage sustained employment.

Unemployed individuals can also currently access key skills provision to support their return to work which is targeted at areas of growth or labour market and skills shortages. This includes the National Transition Training Fund for those aged 25 and over and – where applicable, Individual Training Accounts.

The ambition of the Young Person’s Guarantee is that every person aged between 16 and 24 will have the opportunity to study; take up an apprenticeship, job or work experience; or participate in formal volunteering. There are now 382 employers signed up to the Young Person's Guarantee, generating in excess of 7,400 additional opportunities. In 2020-22, we have provided additional funding of up to £130m with the aim of supporting over 24,000 new and enhanced employment, training and educational opportunities for young people, with a particular focus on supporting those who face additional challenges in participating in the labour market. A further £45m will be invested in 2022-23. Local Authority Employer Recruitment Incentives (ERIs) also remain in place to support young people into employment, including apprenticeships, particularly individuals who experience difficulties accessing the labour market.

The Scottish Government has enough testing stock to meet demand into next year and we are working with the UK Government on procuring additional stocks.