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Chamber

Meeting of the Parliament 11 June 2026 [Last updated 19:16]

11 Jun 2026 · S7 · Meeting of the Parliament
Item of business
Public Service Reform (Staff, Service Users and Local Communities)

Of course, the response to that is that Scotland spends £117 billion but raises £87 billion in taxes, so there is a £30 billion structural deficit that is paid for by the UK Treasury. We can take that comparison either way.

I suggest to the cabinet secretary that what he has outlined on artificial intelligence, digital improvement and so on should be considered the ordinary course of business. That is how any department should be running; it should be running to maximise its efficiency on any budget. That should not be considered groundbreaking or revolutionary.

I encourage the cabinet secretary to start looking immediately at where we are wasting money, where there is duplication of money and where we are not getting value for money.

I will give three quick examples of that. As referred to by Michael Marra, we have the 132 quangos, which are spending £6 billion. We can talk about the money all day long, but what is interesting is the democratic deficit in how the country is run, with ministers not being able to control spending because it is at arm’s length. To come to Willie Rennie’s point, I saw that at first hand when I was a minister in the Department for Business and Trade and I was given the brief of trying to deal with the compensation for Post Office workers.

What I saw over the past 20 years, when I unravelled it, was a complete disconnect in the lines of authority between ministers and an arm’s-length body that behaved on its own account and did its own thing. The result was that the postmistresses and masters could not get accountability. There was no point in firing the minister, Ed Davey, because he was not in control of it in the first place. Quite apart from the money, can we please bring services back into our control under Ivan McKee, so that he can see the value for money, and so that when he pulls a lever, he can see where the money comes from?

Secondly, we know that energy is reserved to Westminster, so why does the Scottish Government spend £5 billion on net zero? Again, we cannot find that line. We cannot push a button in the public accounts of Scotland and get that number to spit out. We have to do a lot of work and go through many places, but we find that, in the current 2026-27 financial year, the Scottish budget commits more than £5 billion, which is described as record investment, to climate action and net zero measures. In the context of the £72 billion budget, that is approaching 8 per cent. I direct the cabinet secretary to that area as well.

The third area to which I would direct him is welfare. We all in the chamber believe in the welfare state to help people, as a safety net, as they move through life. In particular, we need to do a lot more to help people who have fallen out of the way of work to get back into work. I want to hear a lot more about the effort that we put into helping our colleagues and fellow citizens back into work.

The issue with welfare is that, over the past 10 years, the choices made by the SNP Government—particularly under Nicola Sturgeon, when she created a welfare economy—meant that 15 per cent, which was the biggest spend, was allocated to welfare, versus 3 per cent to education. The welfare budget is out of control. We are heading towards having a million Scots of working age who are not working, which is a national disaster for us all. That is the third area to which I would point Ivan McKee.

At the end of the day, the cabinet secretary has been in business, which is a good thing. We need more people in the chamber who have worked in business. He will know that any business can save 5 per cent of its costs without directly impacting its top line: 5 per cent of £72 billion is £3.5 billion. That would go a long way to fixing his budget, and he would be commended by the Scottish people for that.

I move amendment S7M-00309.4, to leave out from “welcomes” to end and insert:

“believes that public money is limited, whereas demand is infinite; further believes that meaningful reform starts in its chamber by using the time available to reach meaningful and defined decisions; believes that using parliamentary time to debate a motion that lacks any substantive action, and therefore leads to no definitive change, undermines the Parliament’s expressed desire for reform; recognises that emphasis on public service provision should be focused on outcomes and not inputs; believes that the recipients of public services are the most important people in this process and must be the focus of the Parliament’s attention; looks forward to co-operation with staff and legitimate representative groups to raise standards and improve provision, and calls on the Scottish Government to publish a programme of concrete action.”

15:40

References in this contribution

Motions, questions or amendments mentioned by their reference code.

In the same item of business

The Deputy Presiding Officer (Katy Clark) Lab
The next item of business is a debate on motion S7M-00309, in the name of Ivan McKee, on public service reform: empowering staff, service users and local com...
The Cabinet Secretary for Public Service Reform (Ivan McKee) SNP
I am delighted to open this afternoon’s debate on public service reform, which I believe will be the defining task of this session of Parliament.Public servi...
Andrew Baxter (Skye, Lochaber and Badenoch) (LD) LD
I am glad that the cabinet secretary has got on to talking about prevention, which was a central tenet of the Christie commission report. I listened to the c...
Ivan McKee SNP
I will talk more about that in the course of my remarks, but, briefly, prevention is one of the four core principles of the Christie commission. When we publ...
Meghan Gallacher (Central Scotland and Lothians West) (Con) Con
The Christie commission was established in 2011. We are talking about prevention, which was mentioned then, and about joined-up working, which was also menti...
Ivan McKee SNP
I do not know whether the member came into the debate late, but she should have heard the first part of my speech in which I listed a whole page of things th...
Willie Rennie (Fife North East) (LD) LD
I agree with all of that, but it sounds as if the cabinet secretary is trying to run the whole of Government by himself. Can he give us an idea of how he is ...
Ivan McKee SNP
I thank the member for his comments. He can rest assured that all my Cabinet colleagues are 100 per cent on board with this important agenda and the First Mi...
Michael Marra (North East Scotland) (Lab) Lab
I am pleased to speak to the amendment in my name, in which we set out very clearly, as we did in the election campaign just a few short weeks ago, that Labo...
Michael Marra Lab
If the cabinet secretary wants to tell me that vision, I will gladly hear it right now.
Ivan McKee SNP
Michael Marra talks about fiscal sustainability being the driver. That is one aspect, of course; however, as I articulated in my opening remarks, the driver ...
Michael Marra Lab
I will say two things in response to that. First, I am sure that the cabinet secretary is a keen advocate for that, but I would believe him a bit more if we ...
Malcolm Offord (West Scotland) (Reform) Reform
I congratulate Ivan McKee on his appointment. His role could be the most interesting in the Parliament in the next five years; if he delivers on the targets ...
Willie Rennie LD
What Malcom Offord says is interesting. From his extensive experience as a Conservative minister in the UK Government, what can he teach members about reform...
Malcolm Offord Reform
I will be delighted to cover that, because there are some insights that I was able to glean when I was a minister in the UK Government. Those are part of the...
Ivan McKee SNP
The New Zealand example is instructive. The big difference is that, as a country of 5 million people, New Zealand is a normal independent country. It does no...
Malcolm Offord Reform
Of course, the response to that is that Scotland spends £117 billion but raises £87 billion in taxes, so there is a £30 billion structural deficit that is pa...
Lorna Slater (Edinburgh Central) (Green) Green
Reforming our public services means making sure that they are sustainable for the long term. It also means ensuring that they are delivering what we need the...
Michael Marra Lab
It strikes me that that is precisely what Scottish Labour’s amendment describes. We must understand the shape of those public bodies, decide where there is d...
Lorna Slater Green
The Labour amendment specifically talks about cutting public bodies, but not about making sure that their remits do not overlap, which would involve changing...
The Deputy Presiding Officer (Clare Adamson) SNP
I call Murdo Fraser, who joins us online.15:47
Murdo Fraser (Mid Scotland and Fife) (Con) Con
I should explain that I am having to contribute remotely today due to a family issue; otherwise, I would be in the chamber.I welcome Ivan McKee to his new ro...
Ivan McKee SNP
I have been through this a number of times with Mr Fraser, but we will go back through it again for his benefit.First, what he calls the black hole is a proj...
Murdo Fraser Con
We will come on to waste in a moment—I have some suggestions to make in that regard—but I refer Mr McKee to today’s Accounts Commission report on local gover...
Ivan McKee SNP
Made a request to intervene.
Murdo Fraser Con
I will happily give way again if I get the time back.
The Deputy Presiding Officer (Clare Adamson) SNP
Cabinet secretary, I am afraid that Mr Fraser is in his last minute or so.
Murdo Fraser Con
Perhaps the cabinet secretary could respond to that point in his winding-up speech. I will cover a couple of other points quickly.Fourthly, we need to focus ...
The Deputy Presiding Officer (Clare Adamson) SNP
You must wind up, Mr Fraser.
Murdo Fraser Con
We want to see that black hole in the public finances closed. It needs to close. We need to hear the meat of the Government’s argument on what public service...