Committee
Public Audit Committee 16 December 2021
16 Dec 2021 · S6 · Public Audit Committee
Item of business
Section 22 Report: “The 2020/21 audit of the Crofting Commission”
The second item on our agenda is further evidence on the Audit Scotland report on the Crofting Commission. I am pleased to welcome our Scottish Government witnesses, who all join us online: Roy Brannen is the interim director general for net zero, Andrew Scott is the director for agriculture and rural economy, and John Kerr is the head of the agricultural policy division. To get us under way, I invite Mr Brannen to make a short opening statement.
In the same item of business
The Convener
Lab
The second item on our agenda is further evidence on the Audit Scotland report on the Crofting Commission. I am pleased to welcome our Scottish Government wi...
Roy Brannen (Scottish Government)
I am pleased to be here today, along with my colleagues, as the convener mentioned. I have recently taken on the role of DG net zero on an interim basis for ...
The Convener
Lab
Thank you. I remind witnesses and members that, if they wish to come in at any point, they should type R in the chat function. As Mr Brannen has just told u...
Roy Brannen
I do. When I came into the role, I did not have the background on the Crofting Commission, the Deloitte report or the section 22 report, but now, having revi...
The Convener
Lab
Thank you. We will dig a little deeper into some of those areas around governance, because it is an important concern that we have had in the light of the re...
Roy Brannen
I will bring in John Kerr and Andrew Scott, as these are historical issues that we are talking about. Having seen the report and having spoken to the indivi...
John Kerr (Scottish Government)
The points that are made in the report have definitely given us reason to reflect on the relationship at that time. The folk on my team—the sponsor team—cert...
The Convener
Lab
Did you want to come back in, Mr Brannen?
Roy Brannen
I just wanted to make one more point, convener. What I found really encouraging in my discussion with the convener and the chief executive was the fact that ...
The Convener
Lab
Other committee members will probe that matter later. Mr Brannen, you said that the framework document for the commission is with the cabinet secretary for ...
Roy Brannen
The board has agreed the framework document, which has now gone to the cabinet secretary for final oversight and sign-off. That happened this week.
The Convener
Lab
So, there was a board meeting this week at which the framework document was signed off.
Roy Brannen
That is correct.
The Convener
Lab
Thank you for clarifying that. On a number of occasions, our predecessor committee raised concerns about the adequacy of sponsorship arrangements between th...
Roy Brannen
I think that the arrangements did meet those requirements. As John Kerr has said, the lines had probably been blurred a bit, but all the key elements that ar...
The Convener
Lab
Mr Kerr has indicated that he wants to contribute.
John Kerr
I just want to clarify the process for agreeing the framework document, so that you do not have a false impression. In the past few days, we have worked with...
The Convener
Lab
Thank you for that helpful clarification, Mr Kerr. I realise that, in the tone of what has been said so far, there has been a sense that we are looking back...
Roy Brannen
I will bring in John Kerr and Andrew Scott, as I cannot comment on that particular circumstance. However, I will say that, as we move forward, the proper pro...
John Kerr
The circumstances were not reported in the Deloitte report as accurately as we would have liked. In fact, what the sponsor team did—correctly—was provide adv...
The Convener
Lab
Thanks, John. I think there will be a return to some of those areas in further questions from the committee. I wish to move on, and I invite Craig Hoy to as...
Craig Hoy (South Scotland) (Con)
Con
Good morning, Mr Brannen, Mr Kerr and Mr Scott. At the outset, and for the record, I wonder whether you would like to give us a flavour of the Scottish Gove...
Roy Brannen
In their evidence, Bill Barron and Malcolm Mathieson made it clear that, although Covid played a part in the issue, with the secondment of Bill to the Scotti...
John Kerr
The section 22 report clearly set out the reasons that were identified by the auditor as to why the relationships were not as good as they should have been. ...
Craig Hoy
Con
How did the Scottish Government respond to the vote of no confidence? What were your views at the time on the reasons why the board decided to pass that vote...
John Kerr
At the time, we responded by providing support to both Bill and the board. We also provided advice to the then cabinet secretary, Mr Ewing. We felt that the ...
Craig Hoy
Con
Thank you. Mr Brannen, it would be good to get your view, from a sponsoring and oversight perspective, on the action that has now been taken through the fram...
Roy Brannen
There are a couple of different tests. As the interim DG, I have portfolio accountability across not just this sponsored body but the other sponsored bodies ...
Craig Hoy
Con
Like you, I am new—I am a new member of this committee. One of my early impressions is that, when the full glare of the spotlight from the Auditor General an...
Roy Brannen
In the longer term, as portfolio accountable officer, the responsibility is for the sponsor teams that work for me, Andrew Scott, John Kerr and others to mak...