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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 4 May 2021
  6. Current session: 13 May 2021 to 8 April 2026
  7. Session 6: 13 May 2021 to 8 April 2026
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Displaying 1413 contributions

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Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

Indeed—I am rehearsing my lines for next week.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

The total budget across that area was just above £300 million, if you add up all the various schemes that are in play and the funds that are operated. The underspend is about £18 million, so, in the scheme of the £300 million and given that it is a demand-led service, that reflects the fact that 90 or 95 per cent was delivered.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

As I said, the targets in relation to the corporate cost savings, which is one part of it, are clear. They have been allocated across the piece. In you look at, for example, the health portfolio through the portfolio lens, you will see that there will be more doctors, more nurses and more spend on various parts of the service, including social care. However, you will also see that the corporate costs are being reduced. Where that sits in the profile of the portfolio at the top level—level 2 or whatever—will depend on the amounts of corporate costs that are in each portfolio; however, there is a very clear focus on the corporate costs and the reductions in each portfolio, and on how they impact the overall budget.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

It changes week on week.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

That is the policy that we are working to.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

First, regarding the underspend, we are confusing a number of different issues. The bulk of the underspend was due to the final phase of the winding down of European structural funds. That addresses that point.

We are now moving into the budget-setting process for next year and I can give an absolute guarantee that economic growth is central to the Government’s mission. It is one of the First Minister’s four priorities and we absolutely recognise the centrality of skills provision in that agenda to enable us to drive growth across the economy. That will absolutely be given its place in any discussion about the allocation of funds in the budget process.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

Exactly.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

Let us explore that issue, because it is important. Let us look at the health and social care budget, which involves the biggest transfer. When it comes to the health and social care environment, the whole thesis is that it is cheaper, more cost effective, better for the individual and better for outcomes for people to be moved through the system into social care. To some extent, the reason that that does not happen is that the funding is not there for that. If we look at the health and social care budget in the round, we can see that it is more cost effective to have that money in the social care environment than it is to have it in the health environment. In order to recognise that balance, the funding is in the same portfolio.

However, the reason for the transfer is that the delivery of social care takes place in the local government portfolio. Part of the issue is that, if we were to keep those aspects of spend completely separate, that would create restrictions on spending on social care, which would affect our ability to invest to the extent that we need to in order to free up beds in acute hospitals. That is a concrete example of the policy being in one place and the delivery being somewhere else, and the need for the relevant budgets to reflect that.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

Yes—if we spread things out over 365 days, it represents about three days.

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 11 November 2025

Ivan McKee

That is what the policy is based on. Negotiations with each of the unions take place in that context. You need to reflect the fact that inflation will be higher in some years, and it will not necessarily be 3 per cent each year.