Scottish Parliament e-Brief

Issue 5, 7^th February 2000

SECTION 1 - BUSINESS THIS WEEK

THE CHAMBER

Wednesday 9^th February

• Statement on Public Appointments
• Debate on Knowledge Economy

Thursday 3^rd February

• Conservative lead debate on section 2A
• Debate on Stage 3 of the Budget (Scotland) Bill

For short briefings on these debates, see section 3..

COMMITTEE BUSINESS

Enterprise and Lifelong Learning

• Local Economic Development Enquiry (Executive action and Grampian Case Study).
• Standards in Scotland’s Schools etc Bill
• Petrol Price Enquiry

Equal Opportunities

• The Census (Scotland) Order 2000

European Affairs

• Terms of Reference for Reporters.
• Scrutiny of European Documentation
• Petitions Convener’s Report

Finance

• Written agreements with the Scottish Executive
• Inquiry into the Finance Functions of the Scottish Executive.

Justice and Home Affairs

• Adults with Incapacity (Scotland) Bill
• Petition on domestic violence
• Social Partnership Funding

Also Meeting: Social Inclusion, Housing & Voluntary Sector; Health & Community Care; Standards; Subordinate Legislation.

SECTION 2 - CURRENT ISSUES

1) THE BARNETT FORMULA – EXPLAINED!

The Barnett Formula is a way of calculating the amount of resources made available each year for the Scottish Budget.

From the moment it was established (in the late 1970’s) – there was a recognition that Scotland’s needs were greater than most places in the UK. This is because of our geography, levels of poverty and comparative poor health.

The formula distributes year-to-year changes making sure at all times Scots get at least the same amount of extra spending as everyone else in the UK.

2) COMPREHENSIVE SPENDING REVIEW

One of the biggest changes since Labour came to power in 1997 is the way spending is planned. No longer are there year to year inter-departmental battles. The Comprehensive Sending Review was announced in 1998 and allocates spending over a 3 year period.

The most recent CSR resulted in an additional £4 billion being allocated to Scotland:

• £1.3 billion more spent on education
• £1.8 billion more spent on health
• £300 million more spent on housing

SECTION 3 - NOTES ON THIS WEEK’S DEBATES

ECONOMIC DEBATES

The debates this week centre upon Economic and Budget issues. On Wednesday 9^th February there will be an Executive debate on the knowledge economy. On the afternoon of Thursday 10^th there is the stage three debate on the budget bill.

Main points:

• The economic backdrop provides the best platform for many years for business growth and job creations. We have low and falling unemployment, low and stable inflation and low interest rates.
• The Chancellor’s pre-budget report in November announced the reform of capital gains tax and new incentives for corporate venturing and share ownership. The Scottish Executive is equally committed to creating an environment that encourages investment and rewards risk taking.
• The nature of the world economy and the rate of technological change mean that successful economies will learn to adapt and change themselves quickly.
• Scotland will never be able to compete on the world stage on the basis of low wages – and nor should we. We cannot compete on the basis of labour costs against countries paying workers a hundredth of the rate we do.
• Low pay and low skills go together and are the hallmark of the old fashioned approach to job creation.
• The way forward is to compete on the basis of our high skills and the high quality that our workers produce.
• The Executive is whole-heartedly committed to life long learning and the creation of the knowledge economy . In terms of laying the foundations, it is currently consulting widely and working in partnership with business and industry.
• Henry McLeish announced at the beginning of December his intention to examine the responsiveness of the Enterprise Network.

SECTION 2A

The Scottish Executive is committed to the repeal of section 2A. This commitment is about creating a more tolerant society. Section 2A is a piece of legislation that may have legitimised intolerance and prejudice and has possibly constrained the ability of local authorities to develop best practise in the important areas of sex education and bullying. It is badly drafted and achieves nothing useful. The Executive has always made it clear that they intend to strengthen existing guidelines in light of repeal.

In recognising the concerns that some parents may feel over the proposals for repeal, Sam Galbraith announced last week the additional introduction of a package of safeguards. This package is:

• Strong and clear guidelines to educational authorities.
• Advance consultation with parents by individual schools.
• Simple direct procedures for parents to raise concerns.
• Review of curriculum advice and supporting materials for schools and teachers.
• As promised, the establishment of a working group to look at the range of material dealing with personal development issues. The working group will include parents and church representatives and their proposals will be available to MSPs before a vote is taken on the bill.

The Scottish Executive is committed to the provision of quality education for children in a safe and secure environment and takes the issue of bullying in schools very seriously.

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