Skip to main content

Language: English / Gàidhlig

Loading…

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.  

Criathragan Hide all filters

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 4 April 2025
Select which types of business to include


Select level of detail in results

Displaying 781 contributions

|

Finance and Public Administration Committee [Draft]

Subordinate Legislation

Meeting date: 4 March 2025

Craig Hoy

We discussed the money that is being held back in the local government portfolio and that is being rolled forward in the health portfolio. Through your conversations with local government and health boards, you will be aware that, this year, there is a real in-year problem in relation to integration joint boards, with some not making the cost savings that they anticipated, others potentially having to look at reserves and others scratching their heads in disbelief as to how they will roll the money forward into next year. Is there anything that you can do in year to look at the specific health boards, such as those in Aberdeenshire and Edinburgh, that seem to be grappling with a real issue in relation to their IJB liabilities?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

Okay—fine. One concern on that issue is that it would be quite easy to close the stable door after the horse has bolted, so it is probably one of those areas that the Government, through its strategy, should be more aware of.

Let us turn to national insurance. Cabinet secretary, you are on record as criticising the UK Government for giving you only a Barnettised sum in relation to employer national insurance contributions. Do you accept that your stated public policy of having a larger public sector with a heavier wage bill is the root cause of the fact that Labour’s jobs tax is now having a disproportionately negative effect on the Scottish public finances?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

But you would concede that you also have more senior civil servants now and that the number has grown significantly in the past two years.

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

I did not write down the numbers that you mentioned in talking about the Treasury figures and your estimate, but you said that approximately 40 per cent of the ENICs liabilities will have to be met from within portfolios. How achievable is that, and what sorts of measures will the departments take to meet those costs?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

A criticism of the budget and of the Government’s approach and strategy is that we are hearing a lot of warm words—we heard a lot of warm words yesterday about the summit—but we are not seeing hard numbers. I question the scale of the ambition around public sector pay and public sector reform. Audit Scotland referred to your concept of “rightsizing” the workforce, which is something that you talk about often. However, as I suspect would be the case in the private sector, for that to be meaningful and to deliver best value, you will have to put numbers to it. In percentage terms, how much smaller do you anticipate the public sector workforce being in future years? In monetary terms, how much are you targeting to save?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

Good morning, cabinet secretary. I want to start my questions by looking at tax. It has been confirmed that there will be no change to income tax rates in the budget, although it will freeze the upper rate thresholds, which is effectively a tax rise for many Scots. Why, at this point in time, has the Government decided not to raise tax rates, which, to a greater or lesser extent, has been your policy in recent budgets?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

Do you consider that a more complex system has higher compliance costs and that those are passed on to businesses and individual taxpayers?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

In the past, HMRC has expressed concern in relation to your policy and whether people are trying to find legitimate ways to reduce their tax bill, including individuals incorporating. The Chartered Institute of Taxation’s Scottish technical committee has said that the problem could become more acute as a result of the national insurance increases that have been levied on employers in the recent UK budget, which could lead to false self-employment and employers trying to get people off their books or out of PAYE, which could result in more people incorporating. In those circumstances, the Scottish Government loses that tax revenue. How concerned are you that the combination of the national insurance increase and your legacy tax policies could result in the Government losing revenues through personal incorporation, for example?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

You referred to the sum of £30 million for the invest to save fund. Do you have a target for the savings that you hope that that will bring in? Is it a factor of five or something like that?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

You have not set a target for what the £30 million fund will bring in.