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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 5 May 2021
  6. Current session: 12 May 2021 to 25 November 2024
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Displaying 1736 contributions

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Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

AECS will continue until such point as we have the future tiers of the framework in place.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

As I have just outlined in my response to Kate Forbes, there will be changes to the budget lines that have been set out to show the overall switch, but this does not change the envelope. We had had the £15 million confirmed at the time the budget was published, but it was included as resource funding rather than capital. That is what I outlined to Kate Forbes. I can outline exactly in which budget lines you would expect to see changes.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

Sorry, I—[Interruption.]

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

To clarify the point about the £61 million, the deferred funding is not a saving from 2024-25. That was from 2022-23 and 2023-24. If you remember back to when John Swinney was the finance secretary and he made the emergency budget review, that was when £33 million was announced, which was savings that had been taken. In her announcement in November, I think, the Deputy First Minister talked about the savings and the path to balance that we had to reach this year. We are waiting for that £61 million in savings to be returned to the portfolio; £15 million of it has been returned this year, but that leaves £46 million. As I said in my response to Kate Forbes, it has been confirmed that that is coming back to the portfolio, but the sequencing of that and when it happens is still to be discussed with the Deputy First Minister.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

The fine that was paid initially came from our budget, as far as I am aware. I do not know whether George Burgess or Karen Morley would have the information as to specifically where it came from.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

Yes, I would be happy to. As I touched on in my response to Jim Fairlie’s question about business development support, the remainder of that budget is for the crofting agricultural grant scheme. We are also continuing with the croft house grants, which I believe fall under the crofting assistance budget line. I know how important those budgets are for some of the most rural parts of Scotland, particularly our island communities, and that is why we have made it a priority within the budget to maintain that support.

10:45  

The crofting agricultural grant scheme is a demand-led project. We have about 900 applications to that every year, so, of course, ensuring that we are continuing that support going forward was critical. Alongside that, we have the funding for the Crofting Commission, which we have been able to maintain to a similar level as in the previous financial year. Again, maintaining that funding has been critical so that we see continued improvement. When it comes to the Crofting Commission and the work that it is enabling here and taking forward, that support in its entirety is vital for our island communities.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

First, I completely understand your point about the importance of the rural land-use partnerships. You will be aware that we have a number already established across Scotland and have been looking at how the development of them has been going. That falls under a different line in the budget as it is presented and it falls under the land reform element of that as well. We provided funding of up to around £400,000 a year for the RLUPs themselves, so they are continuing on at the moment, but we, of course, want to carefully evaluate how they have been performing so far to determine how we take that work forward.

You have mentioned community-led local development and the funding that we have available for that. Again, I will provide the committee with the breakdown of the £15 million and where that has been allocated. Some of it has been allocated to community-led local development to ensure that we have a capital element of funding in there. That has funded vital work across the country and, of course, is the legacy to the LEADER scheme that we had previously. It is about development in our rural and island areas. The local action groups across Scotland are the delivery bodies for that.

In my constituency, we have the Angus Rural Partnership. It has become a charity to enable it to drive forward work with the funding that it receives. I know how critical that is for our local areas and rural communities in particular, which again is why we have prioritised that in the budget and have ensured that there is funding there going forward.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

The marine directorate’s income streams come from commercial science—which brings in, I think, more than £3 million—and marine licensing fees. I think that there is another income stream that I am missing. I will hand over to Dave Signorini, who will be able to give a bit more detail on the level of funding that we receive through those streams and how some of those areas will grow in the future as a result of offshore wind developments.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

I would disagree with you to a certain extent. I do not think that there is much about putting a positive spin on things. The fact is that we have had one of the worst settlements that we have seen since devolution. While we were members of the EU, we would receive a mixture of resource and capital funding. Now we are getting replacement funding only as resource, so our capital resource has been falling. As a whole, we are seeing our capital resource fall by around 10 per cent. What we have seen in the overall settlement to the Scottish Government is a real-terms cut to the budget of 1.2 per cent.

09:45  

I do not think that you will find any cabinet secretary appearing in front of a committee giving evidence on their budget and ultimately being happy about the settlement that they have. It is a very difficult settlement for the Scottish Government as a whole. We have all had to take difficult decisions and make very difficult choices within that, which is why I am here to address the committee and answer your questions.

One thing that I am pleased that we have been able to do is protect funding where it is needed most. When you look direct payments—the funding that goes directly to our farmers, our crofters and our land managers—you see that we have been able to protect those levels of funding. I know that that cash injection is vital for our rural communities.

If you look at our wider investments across the piece, you see that, in some areas, that funding has increased. The funding that we are providing in our food and drink industry, in community-led local development and in all the different areas where we have kept and maintained vital funding streams shows where our priorities have been. We continue to invest in our rural, coastal and island communities and maintain important funds, such as the marine fund Scotland, as I mentioned in my opening remarks.

Rural Affairs and Islands Committee

Budget Scrutiny 2024-25

Meeting date: 17 January 2024

Mairi Gougeon

We have to make sure that we get the addressing depopulation action plan right, that it is in as strong a place as it can be and that we have the right actions within it. I am happy to write to update the committee on the timeframes for when it will be published. Again, I hope that it will be published shortly.