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I am sorry, but the question was about how it is being set up, not about local government utilising it. It is being set up in a way that means that the levy itself incurs VAT. Are you happy with that?

I would have thought that that would have been run past your office, if it was being considered—but okay.

I will move on, as I am conscious of time. There has been a lot of focus on winter fuel payments, the decision by the UK Labour Government to means test and the implications for Scotland in relation to what is now a devolved benefit. Has the Scottish Government made a request to defer the block grant adjustment?

I appreciate that. I accept that, if the block grant adjustment were to be deferred, the funding would still have to be paid back. That has been established. However, you are suggesting that you have not made a decision. Is there a timescale within which you have to make that request?

That is helpful. You have not made a decision on it yet.

So money has already been spent and staff have already been taken on, although maybe not to the—

What were the estimated costs, and what has been spent already?

It is not being spent on what it was intended for. To be clear, that is a political decision by the Government to spend it.

I appreciate that. When you talk about the winter fuel payments being made this year, are you talking about the reduced means-tested amount?

So, not the full amount?

By putting it on the businesses rather than on the individuals to pay that tax, the problem is that the businesses will therefore be liable. That will push a number of them over the VAT threshold, as well as—as I said—taxing them twice on it.

You confirm that no consideration is being given to changing that at the moment.