Hansard

The Convener SNP

Item 2 is to conclude the evidence taking on our Scottish variable rate inquiry. First, I welcome to the committee three former finance ministers: Andy Kerr ...

Jack McConnell (Motherwell and Wishaw) (Lab) Lab

I want to outline briefly, mostly from memory, what took place in summer 1999 when I was appointed as the first finance minister in the new Parliament and th...

Andy Kerr (East Kilbride) (Lab) Lab

My evidence will be brief. I refer members to the note of 7 July 2003 from Richard Dennis. Following the election in that year, I had a straightforward role,...

Tom McCabe (Hamilton South) (Lab) Lab

Good afternoon, everyone. Papers on the Scottish variable rate that the former finance ministers who are present today have requested and papers that the Sco...

The Convener SNP

The cabinet secretary will have the opportunity to respond when he appears before the committee.HM Revenue and Customs told the committee that it could“put t...

Jack McConnell Lab

I should probably answer that question, given that I presented to Parliament the bill to establish the budget cycle back in 1999, as you will remember. The b...

Tom McCabe Lab

I am sure that the committee understands the chronology, but it is probably important to clarify it. An incoming Administration may announce its intentions i...

Andy Kerr Lab

I have a fairly simple point to add. If a party campaigns to either increase or decrease taxation in Scotland, it will present a budget in some form that wou...

Jack McConnell Lab

I am sorry to come back in again, convener, but it is important to remember—I have always been keen to ensure that we are clear about this—that it is possibl...

The Convener SNP

Given the evidence that we heard from HMRC, it still bothers me that, time-wise, the bits do not quite fit.Given that it is for the Scottish Parliament to de...

Jack McConnell Lab

The arrangements comprise the following: the creation of the legislation, which happens in the cycle every autumn, as you say; the possibility or—in my view—...

The Convener SNP

I throw the questioning open to members.

Joe FitzPatrick (Dundee West) (SNP) SNP

I am looking back to 1999, so I think that my question is for Lord McConnell, but if I have got that wrong, the other former finance ministers might want to ...

Jack McConnell Lab

I will comment on what happened in the year before the Scottish election in May 1999. I do not have access to the papers on that, because the Parliament had ...

Joe FitzPatrick SNP

I want to widen the question and ask about the other money. I think that we reckoned that, over the piece, £25 million was spent on the SVR. When that money ...

Andy Kerr Lab

We should bear in mind what Lord McConnell said in response to your previous question about predicting the cost of information technology systems, which is a...

Tom McCabe Lab

As I said, I was aware that discussions were on-going. I was never under any illusion that if there was to be a substantial overhaul of the infrastructure fo...

Joe FitzPatrick SNP

That deals with the issue as far as the capital is concerned. At the end of the day, we had no assurances.As far as readiness is concerned, Sarah Walker told...

Jack McConnell Lab

Who is Sarah Walker?

Joe FitzPatrick SNP

She is from HMRC—she gave evidence two weeks ago.

Jack McConnell Lab

That is different from what the convener said. The convener said that HMRC’s evidence was that if a decision had been made in May or June 2007, it would have...

Tom McCabe Lab

I might be able to clarify that. As I said, the position was that the discussions were on-going. Officials were not in a position in which they felt that the...

The Convener SNP

Let me clarify something. Tom McCabe said to Sarah Walker:“But it was possible to implement the system in 2008—you could have done it.”Sarah Walker replied:“...

Tom McCabe Lab

If that is what she said, convener, she may have been confused. Her reply contradicts the ministerial briefing note that was given to incoming ministers on 1...

The Convener SNP

That will be noted in the Official Report.

Joe FitzPatrick SNP

I think that we are taking off, because that was not the point that I was trying to make. My question was whether given Sarah Walker’s evidence to the commit...

Jack McConnell Lab

Yes.

Andy Kerr Lab

Yes.

Tom McCabe Lab

Yes.

Joe FitzPatrick SNP

That is useful. What checks did the ministers make over the years when they were making payments to HMRC to ensure that there was 10-month functionality, giv...