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Ministers regarded the choice of date for introducing the smoking restrictions as a matter for them and consequently the Executive did not seek the views of members of the National Smoke-free Areas Implementation Group on this issue. The start of British Summer Time had tentatively been mooted for some time as a possible date for the law to take effect, drawing on the positive experiences of a similar start time for smoke-free legislation in both Ireland and New York.

The Executive considered a range of dates and subsequently selected 26 March 2006 for the introduction of the relevant provisions of the Smoking, Health and Social Care (Scotland) Act 2005.

I refer the member to the answer to question S2W-18709 on 22 September 2005. All answers to written parliamentary questions are available on the Parliament’s website, the search facility for which can be found at: http://www.scottish.parliament.uk/webapp/wa.search.

In 1993, the then Scottish Office commissioned a Shipping Subsidies Review to find a longer term solution to the financial viability of ferry services to Orkney and Shetland. That review concluded that Tariff Rebate Subsidy (TRS), the mechanism then used to support P&O Scottish Ferries’ Northern Isles operations, was no longer an adequate subsidy system for the support of shipping.  The main reasons were that: TRS failed to provide for the replacement of vessels, as it could not guarantee the profitability required for such major investments or the security needed to attract a long-term commitment to the routes; TRS encouraged excess capacity and competition, particularly from freight-only competitors, that depressed profitability, threatening the long-term viability of all shipping operations; TRS could not compensate for any fall in traffic revenues, and, as PO Scottish Ferries’ revenues from freight carryings fell due to competition, so did its overall profitability to the point that it was no longer commercially viable.

The Shipping Subsidies Review Report recommended that The Scottish Office should introduce new arrangements based on a block grant set to reflect estimated volumes, revenues and costs.  Scottish Office Ministers announced in October 1994 their decision to award a block grant for the period 1997-2002 and an open competitive tendering exercise began in June 1995. Three bids were received and after thorough consideration, Scottish Office Ministers concluded that the bid from P&O Scottish Ferries offered the best value for money. Scottish Office Ministers subsequently agreed that P&O Scottish Ferries should be paid a basic annual block grant, subject to clawback arrangements should the company’s profits exceed forecasts.

The Scottish Executive will undertake a range of activities to help to build compliance in the run up to the introduction of the smoke-free legislation in March 2006. This will include an advertising campaign, a mail drop to every household in Scotland, and guidance to businesses and organisations on how to comply with the new law.

It is currently estimated that these activities will cost in the region of £1.5 million.

The Executive did not consult on the specific issue of the date of implementation.

Scottish Executive officials and staff from Consolidated Communications, the company handling smoke-free PR for the Executive, attended the regular meetings of the Scotland CAN Communications Group. No financial support was provided.

The level of funding is still under negotiation. The Minister of Health and Community Care is meeting the President of COSLA at the end of the month to discuss a range of implementation issues, including funding for enforcement.

The Scottish Executive appointed Consolidated Communications from its roster of PR agencies to undertake a range of PR activities in support of the smoke-free legislation. The cost for the period April 2005 to March 2006 is £169,000 (net).

The core work on the current Northern Isles ferry tendering process is being carried out by a team based in the Transport Group of the Scottish Executive Enterprise, Transport and Lifelong Learning Department. However, inputs to the work are being made by senior officials in Transport Group and by staff in a range of policy and professional divisions across the Scottish Executive. It is not possible to quantify the staff costs incurred on this work by such officials as work on the tendering exercise represents only one element of their duties. On similar grounds, it is not possible to cost the ministerial involvement in the process. However, on the basis of the staff costs of the core team (without any allowance for general Scottish Executive overheads relating, for example, to accommodation costs), it is estimated that a total of £242,100 (in outturn prices) has been spent on the exercise up to 31 July 2005 broken down as follows:

Staff Costs - £84,000

Travel and Subsistence - £2,700

Consultation - £400

External Advice - £145,000

Advertising - £10,000.