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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 1 May 2025
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Displaying 800 contributions

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Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

It appears that there is a debate within your party and the parties that are supporting the budget—I do not think that it will be a surprise when I say for the record that the Conservatives will not support the budget—about what happens next on tax, particularly for higher earners. In determining not to raise tax rates, what modelling analysis did the Scottish Government undertake in order to come to that position? Will you share that analysis with the committee?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 18 February 2025

Craig Hoy

As part of your strategy, will you take cognisance of comments from organisations such as Scottish Financial Enterprise, which have real concerns about the direction of travel and, in particular, the behavioural responses to the tax measures that you have introduced in recent years? What further investigations and work will you do on behavioural responses through the tax strategy?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

Fine. Another labour-related cost is the unexpected—I think that that is probably the best description—national insurance increase that has been imposed by the Labour Government, which appears to be costing the Parliament £2 million this year. The issue is playing out throughout the public and private sectors and is a considerable concern to both. How concerned are you that the increase is adding significant costs to the budget for the forthcoming year? Are there are ways in which you can make further savings—in relation to labour or, more broadly, throughout the rest of the Parliament—to make up for that unexpected expenditure?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

You mentioned the different situation in the Welsh Senedd. In the Scottish local government arena, the Scottish local authority remuneration committee is looking at potentially raising councillors’ salaries. Anybody who has been a councillor will realise that it is a very tough job and that the remuneration is perhaps not sufficient. That means that council leaders in some local authorities in Scotland will be earning the same as ˿. The differentials seem to be quite a contentious issue throughout the public and private sectors. Do you anticipate that the closing of the salary gap with councillors will have consequences for on-going discussions about MSP pay?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

Let us turn to business taxation. In its submission, the Scottish Retail Consortium is critical of what you have described as the prospect that councils will be given more revenue-generating powers and wealth taxation. Indeed, the SRC says that that is “somewhat ominous”. Can you give some indication of what those additional revenue-generating powers and wealth taxation might be?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

It is more to do with the principle in the sense that it makes it more difficult for independent analysts and Parliament to examine the Government’s public spending priorities when the figures continue to change throughout the year.

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

I am sure, however, that you would concede that setting things out in that way makes year-on-year comparisons tricky.

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

Okay. Time is tight, so I will turn to tax. You chose to increase the basic and intermediate thresholds. Why did you choose not to increase the higher-rate tax threshold?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

Good morning. In headline terms, the indicative budget for 2026-27 shows an increase in the cost of the Parliament to nearly £150 million from £100 million at the start of this parliamentary session, which is a significant rise. Is that rise justifiable to taxpayers?

Finance and Public Administration Committee

Budget Scrutiny 2025-26

Meeting date: 14 January 2025

Craig Hoy

One area where you have not listened relates to hospitality. You and I have discussed at length the rates relief policy that you have adopted. This year, you have maintained 100 per cent relief for hospitality businesses in island and remote areas but have passed only 40 per cent on to hospitality businesses with a rateable value below £51,000. Why does a remote pub qualify for 100 per cent rates relief when a rural pub that might be experiencing exactly the same challenges qualifies for only 40 per cent? Why is a pub with a rateable value of £50,000 different from a pub with a rateable value of, let us say, £70,000? Have the whole policy and support mechanisms not become intensely arbitrary?