Chamber
Meeting of the Parliament 09 March 2011
09 Mar 2011 · S3 · Meeting of the Parliament
Item of business
“Report on preventative spending”
It is not often that I can follow Mr Kerr in a debate and agree heartily with many of the sentiments that he has expressed. I particularly agree with his starting point. Although we all agree, I think, that there will always be a demand for us to undertake more preventative spending, it is important that we recognise what we are currently doing and what has been done in the past.
That is why, in my opening speech, I acknowledged that this Administration has built on what we inherited from the two previous Administrations and, I dare say, from the Scottish Office in the old days—surely some good things must have come out of the Scottish Office. We have done that in recognition of the need to tackle the issues. In a sense, the argument that we are at a point when we must, for the first time, change how we allocate spending misses the point; over different periods of the political cycle there has been a genuine effort to tackle some of the long-term problems in Scottish society. I am confident that the approach will be sustained, whatever the composition of the Parliament after the election.
There have been a number of thoughtful and substantial contributions to the debate. I will concentrate on three areas that relate to how we take the agenda forward. The first is leadership and how that is expressed in this context. During the lifetime of the Parliament there has been a debate about that, in which Johann Lamont has actively participated. Is it about ring fencing, which was much utilised by previous Administrations, or is it about trying to create willing agreement, which has been very much the hallmark of the current Administration?
I think that members well know my feelings about ring fencing. However, we must be able to answer confidently the question that Johann Lamont put to us about how we establish a meaningful connection between framework and strategy and delivery. We must be able to demonstrate that the approaches that we take in the context of delivery and leadership address that point.
The second area is evaluation. Margaret Smith said that we must be much more assiduous in evaluating what works. The corollary of that must be that if something is not working we must stop funding it and change our priorities. That is not easy to do—we all know how difficult it is. However, if there can be acknowledgement that we should stop funding things that do not deliver the results that we think they should deliver and fund new priorities, we can have a model that will serve the Parliament well in the years to come, particularly given the financial times that we are entering.
The third area is how everything that I have talked about translates into the budget process. I appreciated, as I always do, the way in which Mr Finnie expressed himself in that regard, and I appreciated his beautiful explanation of opportunity costs, which brought back happy memories. He and Mr Brownlee asked, “How does all this appear in the budget process?” Having presided over four budgets that, by the nature of the process, have had to acquire support from other political parties, I can see how Parliament could be presented not only with the draft allocations that I present to it habitually in September but, earlier in the year, with some choices for different ways in which we could tackle particular problems.
Mr Brownlee said that that would add to civil servants’ workload. Well, they have the summer months and they must be kept busy during that period—they have certainly kept me busy in the summer months over the past four years. There are ways in which we could formulate propositions about choices and different ways of attaching greater or lesser significance to particular questions, which would come to Parliament for consideration, perhaps in the fashion that we are considering the report now. The point that Margaret Smith raised about being prepared to confront whether measures are working or not could manifest itself in such a process.
The measures that we have introduced, such as the early years fund that Mr Ingram announced yesterday or the change fund that the Deputy First Minister announced, are the latest efforts to change the focus within the balance of preventative spending to try to deliver better outcomes. Obviously, we will report to Parliament on those outcomes.
I will deal with another couple of specific points from the debate. Elaine Smith intervened on Mr Welsh about the health in pregnancy grant. I point out—I know that she knows this—that its abolition is one of the changes that the United Kingdom Government is making. Obviously, supporting mothers-to-be is a very important part of the support that we can put in place for the benefit and wellbeing of young people.
In her speech, Elaine Smith went on to make powerful points about breastfeeding, as she has done throughout her service in Parliament. I observe that the Government has concentrated on breastfeeding in some of its social marketing activity. Communication costs have been allocated to launching and running a TV and radio campaign to support the greater uptake of breastfeeding.
That is an example of how public information promoted by Government can have a pretty good and desirable impact. We get criticised, of course, for spending money on advertising and all that goes with it, but I hope that Parliament acknowledges that, sometimes, choices are made for the right reasons—namely, to try to structure different outcomes.
I hope that I have signalled the Government’s willingness to take a continuous approach to preventative spending. The report will certainly give the incoming Administration food for thought and I hope that I am part of that to take forward a positive response to the Finance Committee’s work.
I will make an observation on Johann Lamont’s point about some of the simple examples of preventative expenditure. She mentioned a lunch club for elderly people that might just keep them connected and out of hospital. I visited a lunch club in the village of Inchture the other day. It has nothing to with the public sector and everything to do with about three local people who make it their business to gather together 60 or so senior members of the community once a fortnight for a good meal and a good blether. The social interaction and benefit of that was obvious when I walked in the room. Even the smallest interventions of that type can have the most significant impact in our communities.
16:29
That is why, in my opening speech, I acknowledged that this Administration has built on what we inherited from the two previous Administrations and, I dare say, from the Scottish Office in the old days—surely some good things must have come out of the Scottish Office. We have done that in recognition of the need to tackle the issues. In a sense, the argument that we are at a point when we must, for the first time, change how we allocate spending misses the point; over different periods of the political cycle there has been a genuine effort to tackle some of the long-term problems in Scottish society. I am confident that the approach will be sustained, whatever the composition of the Parliament after the election.
There have been a number of thoughtful and substantial contributions to the debate. I will concentrate on three areas that relate to how we take the agenda forward. The first is leadership and how that is expressed in this context. During the lifetime of the Parliament there has been a debate about that, in which Johann Lamont has actively participated. Is it about ring fencing, which was much utilised by previous Administrations, or is it about trying to create willing agreement, which has been very much the hallmark of the current Administration?
I think that members well know my feelings about ring fencing. However, we must be able to answer confidently the question that Johann Lamont put to us about how we establish a meaningful connection between framework and strategy and delivery. We must be able to demonstrate that the approaches that we take in the context of delivery and leadership address that point.
The second area is evaluation. Margaret Smith said that we must be much more assiduous in evaluating what works. The corollary of that must be that if something is not working we must stop funding it and change our priorities. That is not easy to do—we all know how difficult it is. However, if there can be acknowledgement that we should stop funding things that do not deliver the results that we think they should deliver and fund new priorities, we can have a model that will serve the Parliament well in the years to come, particularly given the financial times that we are entering.
The third area is how everything that I have talked about translates into the budget process. I appreciated, as I always do, the way in which Mr Finnie expressed himself in that regard, and I appreciated his beautiful explanation of opportunity costs, which brought back happy memories. He and Mr Brownlee asked, “How does all this appear in the budget process?” Having presided over four budgets that, by the nature of the process, have had to acquire support from other political parties, I can see how Parliament could be presented not only with the draft allocations that I present to it habitually in September but, earlier in the year, with some choices for different ways in which we could tackle particular problems.
Mr Brownlee said that that would add to civil servants’ workload. Well, they have the summer months and they must be kept busy during that period—they have certainly kept me busy in the summer months over the past four years. There are ways in which we could formulate propositions about choices and different ways of attaching greater or lesser significance to particular questions, which would come to Parliament for consideration, perhaps in the fashion that we are considering the report now. The point that Margaret Smith raised about being prepared to confront whether measures are working or not could manifest itself in such a process.
The measures that we have introduced, such as the early years fund that Mr Ingram announced yesterday or the change fund that the Deputy First Minister announced, are the latest efforts to change the focus within the balance of preventative spending to try to deliver better outcomes. Obviously, we will report to Parliament on those outcomes.
I will deal with another couple of specific points from the debate. Elaine Smith intervened on Mr Welsh about the health in pregnancy grant. I point out—I know that she knows this—that its abolition is one of the changes that the United Kingdom Government is making. Obviously, supporting mothers-to-be is a very important part of the support that we can put in place for the benefit and wellbeing of young people.
In her speech, Elaine Smith went on to make powerful points about breastfeeding, as she has done throughout her service in Parliament. I observe that the Government has concentrated on breastfeeding in some of its social marketing activity. Communication costs have been allocated to launching and running a TV and radio campaign to support the greater uptake of breastfeeding.
That is an example of how public information promoted by Government can have a pretty good and desirable impact. We get criticised, of course, for spending money on advertising and all that goes with it, but I hope that Parliament acknowledges that, sometimes, choices are made for the right reasons—namely, to try to structure different outcomes.
I hope that I have signalled the Government’s willingness to take a continuous approach to preventative spending. The report will certainly give the incoming Administration food for thought and I hope that I am part of that to take forward a positive response to the Finance Committee’s work.
I will make an observation on Johann Lamont’s point about some of the simple examples of preventative expenditure. She mentioned a lunch club for elderly people that might just keep them connected and out of hospital. I visited a lunch club in the village of Inchture the other day. It has nothing to with the public sector and everything to do with about three local people who make it their business to gather together 60 or so senior members of the community once a fortnight for a good meal and a good blether. The social interaction and benefit of that was obvious when I walked in the room. Even the smallest interventions of that type can have the most significant impact in our communities.
16:29
In the same item of business
The Deputy Presiding Officer (Alasdair Morgan)
SNP
The next item of business is a debate on motion S3M-7994, in the name of Andrew Welsh, on the Finance Committee’s “Report on preventative spending”. I call A...
Andrew Welsh (Angus) (SNP)
SNP
This will be one of the last speeches that I will make as an MSP, and it is my final scheduled contribution as convener of the Parliament’s Finance Committee...
Elaine Smith (Coatbridge and Chryston) (Lab)
Lab
I know that the debate is supposed to be consensual, but will Andrew Welsh comment on the abolition of the health in pregnancy grant?
Andrew Welsh
SNP
Such questions are better posed elsewhere. I am relaying to Parliament a positive report, rather than the usual negativity that is produced in debates. I say...
The Cabinet Secretary for Finance and Sustainable Growth (John Swinney)
SNP
Mr Welsh said that this was his last scheduled appearance in a parliamentary debate as convener of the Finance Committee. As finance secretary, I am always a...
Jeremy Purvis (Tweeddale, Ettrick and Lauderdale) (LD)
LD
I heartily endorse the cabinet secretary’s comments, but does he recognise that the committee found it difficult to establish what baseline information on ou...
John Swinney
SNP
Mr Purvis goes on to fascinating and complex ground in all of these areas. With Scotland performs, we have tried to identify a set of indicators that will pr...
David Whitton (Strathkelvin and Bearsden) (Lab)
Lab
I am pleased to speak for Labour in support of the Finance Committee’s report. I associate myself with the remarks of the cabinet secretary on our convener, ...
Derek Brownlee (South of Scotland) (Con)
Con
I thank the committee clerks, and the witnesses who gave evidence to the inquiry. I also thank Andrew Welsh for his time as convener of the Finance Committee...
Jeremy Purvis (Tweeddale, Ettrick and Lauderdale) (LD)
LD
This is an important debate, which is why I am particularly sorry that I will have to leave before the end of it, as I have a meeting regarding my constituen...
Linda Fabiani (Central Scotland) (SNP)
SNP
As a member of the Finance Committee, I, too, was very pleased to take evidence in the inquiry into preventative spend and to help to compile the report.Ther...
Malcolm Chisholm (Edinburgh North and Leith) (Lab)
Lab
I start by paying tribute to Andrew Welsh for chairing the Finance Committee in a model, non-partisan way for the past four years, and for the contribution t...
Joe FitzPatrick (Dundee West) (SNP)
SNP
I associate myself with the words of tribute for our convener, Andrew Welsh. As Malcolm Chisholm said, Andrew has always convened the finance committee in an...
Johann Lamont (Glasgow Pollok) (Lab)
Lab
I trust that I will not change the tone of the debate too much.I am grateful to have the opportunity to contribute to the debate. As the first person to spea...
Margaret Smith (Edinburgh West) (LD)
LD
As a non-member of the Finance Committee, I thank Andrew Welsh for his contribution to the Parliament, and the committee for its very useful report.The commi...
Jamie Hepburn (Central Scotland) (SNP)
SNP
I congratulate the committee on its work on this report. I am not on the committee and have not been intimately involved in the process, but even a rudimenta...
Linda Fabiani
SNP
Not that many.
Jamie Hepburn
SNP
It seems plenty to me. I also gently point out that Mr Welsh had represented Angus for five years before I was born, although I am not sure whether he will t...
Elaine Smith (Coatbridge and Chryston) (Lab)
Lab
I do not often get excited by the work of the Finance Committee, important though it is. However, its report on preventative spending is excellent, and I com...
Ross Finnie (West of Scotland) (LD)
LD
The debate has been interesting and, by and large, consensual. Like several members who have spoken, but not the majority, I do not serve on the Finance Comm...
Derek Brownlee
Con
Ross Finnie raised an important point about the outcome basis. Although there has been a shift in rhetoric in Parliament about moving towards an outcome basi...
Andy Kerr (East Kilbride) (Lab)
Lab
I place on record my thanks to Andrew Welsh for his contribution to the Parliament and its workings. I also thank the Finance Committee for its report.Having...
John Swinney
SNP
It is not often that I can follow Mr Kerr in a debate and agree heartily with many of the sentiments that he has expressed. I particularly agree with his sta...
Tom McCabe (Hamilton South) (Lab)
Lab
As others have done, I acknowledge Andrew Welsh’s service. I will not repeat all the plaudits. I simply say to him that he should be proud of his public serv...