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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 23 August 2025
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Displaying 2215 contributions

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Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Graham Simpson

What is the answer?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Graham Simpson

In the interests of time, I will go back to the Prestwick airport situation. I am trying to understand the process. What happens when somebody approaches the airport with an expression of interest in buying it? First, it goes to the board, and the board should then tell you that there has been an expression of interest. What happens after that?

Public Audit Committee

Section 22 report: “The 2022/23 audit of the Scottish Government Consolidated Accounts”

Meeting date: 18 January 2024

Graham Simpson

Is it the case that you take your main advice from the board, or is it actually your decision? If the board said, “Actually, we don’t really want to sell,” which is my impression of the board, could you potentially take a different view and say to the board, “Well, no, this actually looks okay to us.”?

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

I did not think that you would tell me, but I had to ask. I want to pursue the point, however, because it is a really serious issue. If those four colleges do not get the extra money that they need, are they at risk of closing?

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

Thanks very much, convener. I will ask about that report but, initially, I have a question for Karen Watt to help me to understand the Funding Council’s role in respect of individual colleges. How involved are you at that level? Do you, for example, attend board meetings?

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

That is good. Some good has come of that session, so I am glad that you watched it.

The report that you referred to, which has just come out, made for an interesting read. It is gloomy reading, to be frank. In it, you say:

“The financial position of”

ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s

“colleges is deteriorating.”

You have said that already. You also say that their position is—this is an interesting phrase—“extremely fluid”. What did you mean by that?

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

I looked at the table that you refer to, which seems to list every college in Scotland. It demonstrates that, sometimes, colleges can make forecasts that do not quite turn out to be accurate at the end of the day. The committee members can look at the report for themselves, but I have had the benefit of seeing it. It is gloomy. On the financial health of the sector, it says:

“Colleges ... operate in an extremely tight fiscal environment”.

It also says:

“The sector is forecasting an … operating deficit”

and that

“The financial position of colleges is deteriorating.”

In the next section, the report goes on to outline the risks to colleges’ financial health. Staff costs are one of those, and that has come out in evidence as a big risk. There is a whole list of risks, so I will not go through them, but the forecast is pretty dire, is it not?

Maybe that is a question for Mr Rennick rather than Karen Watt.

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

One section of the report, which we have referred to already, is on staffing. The report says that there is an expected reduction of around 2,300 full-time equivalent staff in the college sector, which is one in five staff. How will colleges be able to continue with that reduced level of staffing?

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

You are saying that four colleges have significant issues. I do not want to put words in your mouth but, to summarise, the Government might have to bail them out through the SFC.

Public Audit Committee

“ł§ł¦´ÇłŮ±ô˛ą˛Ô»ĺ’s colleges 2023”

Meeting date: 11 January 2024

Graham Simpson

Okay. I want to ask quickly about arm’s-length foundations. Indeed, this point is mentioned in the recent report. It is really a question for you again, Karen Watt. In a previous evidence session, I mentioned the fact that we saw quite a large transfer of money to the arm’s-length foundation in South Lanarkshire in 2022. It was half a million pounds; it was extremely unusual. I do not really want to ask about that particular college, but what can those funds be used for and what can they not be used for?