Committee
Local Government Committee, 03 May 2000
03 May 2000 · S1 · Local Government Committee
Item of business
Budget Process
We took evidence from the Scottish Executive last week; the Official Report was published only this morning, so you will not have had the chance to see it. I raised an issue that you have touched on—section 94 consents. I said:
"COSLA has raised the issue of section 94 consents. Public expenditure appears to be counted twice".
You will be able to read the full details of the reply of the official from the Scottish Executive development department, but part of it was:
"Although COSLA has raised the issue, it is inaccurate to say that section 94 leads to public expenditure being counted twice".
Then, at the end of a reasonably lengthy answer, the official said:
"I would be very surprised if the answer that you receive did not reflect that in some way."—[Official Report, Local Government Committee, 25 April 2000; c 810-11.]
I had asked the same question two months ago; I received the answer just the other day. The answer that I received did not reflect the official's answer. The answer that I got from the Scottish Executive said that if it was to alter the system so that public expenditure was counted only once, the assigned block would be reduced by the equivalent amount. Therefore, in effect, the amount available to the Scottish Executive would be reduced by about £350 million.
Does COSLA have any plans to sit down with the Scottish Executive and its technical advisers to achieve a final resolution? The Executive is saying that COSLA is wrong, and you are saying that the Executive is wrong. To avoid further confusion, it is important that we sort this out to find out who is right and who is perhaps mistaken.
"COSLA has raised the issue of section 94 consents. Public expenditure appears to be counted twice".
You will be able to read the full details of the reply of the official from the Scottish Executive development department, but part of it was:
"Although COSLA has raised the issue, it is inaccurate to say that section 94 leads to public expenditure being counted twice".
Then, at the end of a reasonably lengthy answer, the official said:
"I would be very surprised if the answer that you receive did not reflect that in some way."—[Official Report, Local Government Committee, 25 April 2000; c 810-11.]
I had asked the same question two months ago; I received the answer just the other day. The answer that I received did not reflect the official's answer. The answer that I got from the Scottish Executive said that if it was to alter the system so that public expenditure was counted only once, the assigned block would be reduced by the equivalent amount. Therefore, in effect, the amount available to the Scottish Executive would be reduced by about £350 million.
Does COSLA have any plans to sit down with the Scottish Executive and its technical advisers to achieve a final resolution? The Executive is saying that COSLA is wrong, and you are saying that the Executive is wrong. To avoid further confusion, it is important that we sort this out to find out who is right and who is perhaps mistaken.
In the same item of business
The Convener (Trish Godman):
Lab
Good morning, comrades.If the SNP and Johann Lamont stop talking, we can start.
Mr Kenneth Gibson (Glasgow) (SNP):
SNP
Does Colin Campbell speak for all of us?
The Convener:
Lab
Yes, he speaks for all of you.
Colin Campbell (West of Scotland) (SNP):
SNP
What did I say?
The Convener:
Lab
We will take evidence this morning from the Convention of Scottish Local Authorities. We have with us Councillor Craig Roberton, who is the COSLA spokesman o...
Councillor Craig Roberton (Convention of Scottish Local Authorities):
Thank you very much.We are pleased to be here today and welcome your invitation. We have circulated a paper, which gives some detail on the case that we will...
The Convener:
Lab
Thank you. As you know, the Executive has considered some of the things that you mentioned, such as the possibility of three-year funding. This committee has...
Mr Jamie Stone (Caithness, Sutherland and Easter Ross) (LD):
LD
I would like to ask you about two things, one of which you have touched on and one of which you have not. Many of us who were councillors in the past had con...
Councillor Roberton:
It would be difficult to give you a figure for charges now. We could provide figures for the overall increase in charges, but its implications for services a...
Mr Stone:
LD
Do not the witnesses agree that there is a potential problem because that arrangement is based on a gentlemen's agreement, which means that the members of th...
Councillor Roberton:
I am not certain that a police board or a fire board would act in unison in that respect. They would find it difficult to reach consensus on an increase—ther...
Norie Williamson (Convention of Scottish Local Authorities):
I would like to make a couple of comments.When local government was reorganised, it was recognised that there might be a problem with—if I may say this—peopl...
The Convener:
Lab
Before Kenny Gibson asks his questions, I would like to say that community councils and other such groups that are concerned about crime in their areas are a...
Mr Gibson:
SNP
Thank you for your excellent document and presentation; I wish that the Scottish Executive produced such clear-sighted documents.
The Convener:
Lab
Just ignore him.
Colin Campbell:
SNP
He will not go away, however.
Councillor Roberton:
Perhaps we have better officers than the Executive does.
Mr Gibson:
SNP
We took evidence from the Scottish Executive last week; the Official Report was published only this morning, so you will not have had the chance to see it. I...
Councillor Roberton:
To someone of your political viewpoint, it is of interest that these rules are Treasury rules. There seems to be a contradiction in the responses that you ha...
Norie Williamson:
Annexe A of our submission is a straight copy of the statement made by the Minister for Finance last October. The top two lines of the table are of special s...
Mr Gibson:
SNP
It depends on whether a common view can be reached on that.
Norie Williamson:
It was interesting that down south there was a joint approach by the Department of the Environment, Transport and the Regions and the Local Government Associ...
Mr Gibson:
SNP
I have a supplementary question on the amount of money that is raised by council tax. In his presentation last week, Professor Midwinter said that the propor...
Councillor Roberton:
Council tax is only one of the three elements of local government funding. Council tax replaced the poll tax, which replaced the rating system. Historically,...
Mr Gibson:
SNP
But you think that the—
The Convener:
Lab
Kenny, I have to stop you. Six other members want to speak. If there is time at the end, you can come back in.
Donald Gorrie (Central Scotland) (LD):
LD
I would like to pursue the same line of questioning. There seems to be a serious disagreement between the Executive's civil servants and people in local gove...
Councillor Roberton:
I agree wholeheartedly with all those points, Donald. If you look at annexe A, which gives the expenditure that was provided by the Scottish Executive—they a...
Bristow Muldoon (Livingston) (Lab):
Lab
You raised the issue of business rates, which many local authorities have raised with us in the past. You will be aware that the Executive is reluctant to go...
Councillor Roberton:
Much would depend on the way in which the matter was handled. Businesses are generally fearful of the idea of business rates being returned to the control of...