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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 4 March 2026
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Displaying 3854 contributions

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Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

I was referring to the line in your report that states that FMPG considers there to be

“limited shipbuilding skills available in Scotland and that, to date, it has been unable to compete effectively with the private sector for skilled staff.”

Do you want to address that point?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

Auditor General, you couched the situation in terms of there being a tension between the fact that Ferguson Marine is a company limited by guarantee and that some of its governance is dictated by the Scottish public finance manual. There was a report in a national newspaper today about the commissioning of some consultancy work to scope what needs to be put in place for the company to thrive in the future. The article suggests that the organisation that is carrying out that work—First Marine International—requested a non-disclosure agreement on its report. Initially, the Scottish Government said that there was no NDA, but it has now accepted that one is in place, and there is talk about commercial sensitivity.

We all understand that there will be some commercial sensitivity, but there is also a public interest, and there must be a way through that that would allow as much as possible of the report to be in the public domain and subject to scrutiny. Are you aware of that and do you have any reflections on it?

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

Thank you. That is a very clear message.

Craig Hoy wants to bring up further related matters.

Public Audit Committee

Decision on Taking Business in Private

Meeting date: 27 April 2023

Richard Leonard

We have received apologies from Colin Beattie. I welcome Bill Kidd to the committee.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

We might return to some of those questions in the course of the next hour.

Sharon Dowey has a series of questions to put.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

Our principal item of business is consideration of the 2021-22 audit of Ferguson Marine Port Glasgow (Holdings) Ltd. I am pleased to welcome our witnesses. The Auditor General, Stephen Boyle, is joined by Mark Taylor, who is an audit director at Audit Scotland, and Joanne Brown, who is a partner at Grant Thornton UK LLP.

We have quite a number of questions to put to our witnesses this morning. Before we get to those, I ask the Auditor General to make a short opening statement.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

I invite Bill Kidd to ask a couple of final questions.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

For us, as the Public Audit Committee, the question is not just about the fact that those things happened but that they were allowed to happen. Where was the sponsorship team and where was the Government’s oversight? To me, that seems to be a fundamentally important question.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

I invite Willie Coffey to put some questions to you.

Public Audit Committee

Section 22 Report: “The 2021/22 audit of Ferguson Marine Port Glasgow (Holdings) Limited”

Meeting date: 27 April 2023

Richard Leonard

So there is a possibility that there could have been a pre-emptive strike. The 2021-22 Scottish Government pay policy guidelines stipulated a minimum 2 per cent pay increase for public sector workers who were earning between £25,000 and £40,000, and it was 1 per cent for those who were earning between £40,000 and £80,000. The payment of a 17.5 per cent bonus was therefore, in anybody’s terms, a significant deviation from the Government’s pay policy.