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Eu/S3/10/16/A European and External Relations EU/S3/10/16/A EUROPEAN AND EXTERNAL RELATIONS COMMITTEE AGENDA 16th Meeting, 2010 (Session 3) Tuesday 7 December 2010 The Committee will meet at 10.30 am in Committee Room 1. 1. Decision on taking business in private: The Committee will decide whether to take item 5 in private. 2. Scrutiny of Scottish Government Budget: The Committee will take evidence from— Fiona Hyslop MSP, Minister for Culture and External Affairs, Scottish Government. 3. International Engagement inquiry: The Committee will take evidence from— Fiona Hyslop MSP, Minister for Culture and External Affairs, Scottish Government. 4. UK European Union Bill: The Committee will consider a paper. 5. Scrutiny of the Scottish Government Budget: The Committee will consider the keys points raised during the earlier evidence session. 6. International Engagement inquiry (in private): The Committee will consider the key points raised during the earlier evidence session. Lynn Tullis / Simon Watkins Clerks to the European and External Relations Committee Room TG.01 The Scottish Parliament Edinburgh Tel: 0131 348 5234 Email: [email protected]; [email protected] EU/S3/10/16/A The papers for this meeting are as follows— Agenda item 2 Paper from the Clerk EU/S3/10/16/1 Agenda item 3 Paper from the Clerk EU/S3/10/16/2 Agenda item 4 Paper from the Clerk EU/S3/10/16/3 EU/S3/10/16/1 European and External Relations Committee 16th Meeting, 2010 (Session 3), Tuesday, 7 December 2010 Scottish Government Draft Budget 2011-12 Background 1. The Committee has agreed to scrutinise the Europe and External Affairs portfolio of the Scottish Government’s Draft Budget 2011-12. At its last meeting, the Committee heard evidence from Scottish stakeholders on the key budget lines in the portfolio, international development and the promotion of Scotland. 2. Following evidence from the Minister, the Committee will consider a draft report on 14 December. This report, along with other committees’ reports, will be incorporated into the Finance Committee report on the Draft Budget. It is expected that the Finance Committee will report to the Parliament in mid- January. Subsequently, in late January/February, the Budget Bill will be considered in the Chamber. 3. Neither this Committee nor any of its predecessors has undertaken scrutiny of the Scottish Government budget before. On this basis, the Committee’s approach may be used as a model for future scrutiny of the Europe and External Affairs portfolio. Draft Budget 2011-12 Introduction 4. The Scottish Government’s spending review and Draft Budget 2011-12 responds to the UK Government’s Comprehensive Spending Review (CSR) which was published in October. As a result of the UK Parliamentary election and the subsequent delayed publication of the UK spending review and the Scottish Government budget, committees have a shorter period than normal in which to scrutinise the Draft Budget 2011-12. Level of detail 5. In response to the Committee’s request for a detailed breakdown of spending in the Europe and External Affairs budget line, the Minister for Culture and External Affairs helpfully provided further data. This is incorporated in the SPICe briefing (see below), and the Minister’s letter is attached at Annexe A. SPICe briefing 6. A SPICe briefing, which is included at Annexe B, provides an overview of the Europe and External Affairs portfolio of the Draft Budget 2011-12. The SPICe briefing also includes information on historic trends of expenditure in the portfolio. 1 EU/S3/10/16/1 Other EU-related elements in the Draft Budget 2011-12 7. The key budget line of interest to the Committee is the Europe and External Affairs spend. However, the Draft Budget also makes reference to other EU-related expenditure, namely the European Regional Development and European Social Fund programmes, and spending that is supported by EU funding such as the Common Agricultural Policy and EU fisheries grants. 8. As these elements of the Draft Budget are funded primarily by EU resources the Scottish Government has little or no discretion in the allocation of this money. In addition, the expenditure is included in the budget lines of Finance and Sustainable Growth and Rural Affairs and the Environment and, on this basis, scrutiny of these elements of the budget falls within the remit of other committees. Key issues for consideration 9. In scrutinising the Europe and External Affairs portfolio, the Committee may wish to consider any elements it regards as priorities and, therefore, where spending should be supported; and whether it wishes to make any alternative spending proposals. 10. In this context, the Committee will examine— • any changes made to the Europe and External Affairs budget from 2010-11; • whether any decisions to maintain or increase expenditure are considered to be sustainable; • the future spending trends within the budget line; • any assumptions that are being made about efficiency savings within the budget line; and • the presentation of the budget information provided by the Scottish Government. Committee Clerk December 2010 2 Annexe A 3 Annexe A Level 4 2010-11 2011-12 Short explanation of ‘what the money buys’ heading (latest) (planned) £m £m International 0.440 0.43 This budget supports engagement and collaboration with priority countries (including India and China) in areas such as; Strategy trade and investment; education and science; and tourism and culture to improve Scotland’s image abroad and directly contribute to Scotland’s economic growth. North 0.410 0.455 The North America Division programme budget supports the Scottish Government’s activities in the USA and Canada, American which are aligned with the Government's Economic Strategy and its International Framework’s. Through delivery of its USA Strategy and forthcoming Canada Engagement Plans, North America Division Programme activity is designed to: bring sharper economic growth focus to the promotion of Scotland in the USA and Canada by highlighting the strength and competitiveness of Scotland's key sectors, including focussing on areas of Scottish excellence that are relevant to the USA and Canada and offer potential for mutual benefit; and manage Scotland's reputation as a distinctive global identity by promoting Scotland in North America as a modern, dynamic and responsible nation. Fresh Talent 1.331 1.055 This budget funds the free Relocation Advisory Services which provides immigration advice to potential migrants and information on employing migrants to business in Scotland. Additionally the budget funds the roll out of the COSLA Migration Toolkit which allows local authorities to better plan for migration in their area and aid better integration into communities. The remaining budget funds activity to promote Scotland as a place to work, live, learn and remain – both in Scotland and internationally. International 9.0 9.0 The International Development budget enables the Scottish Government to enhance Scotland's place in the world as a Development responsible nation as outlined in the Scottish Government's International Framework. It enhances the Scottish Government’s contribution to the global fight against poverty through activity which is clearly designed to support the achievement of the Millennium Development Goals and economic growth in developing countries. Scotland's 3.587 3.330 The International Image budget line delivers a programme of work to promote Scotland internationally in support of the International International Framework and wider ‘Team Scotland’ objectives. The programme of work is designed to build recognition of Image Scotland as an attractive place to visit, study, live, work, do business and invest. It contributes to national outcomes 1 and 13, and to the Government’s purpose of sustainable economic growth. The programme of activity includes the management of an overarching Scotland ‘brand’, which reflects what we know about Scotland’s reputation from the findings of the Nation Brands Index, and which directly underpins work by the Scottish Government and key partners to drive greater internationalisation, and to sustain and nurture Scotland’s reputation as a progressive and globally influential nation. At domestic level, activity around St Andrew’s Day, Winter Festival and the ‘Welcome to Scotland’ campaign which runs at points of entry to Scotland is contributing to progress on national indicator 45, and provides enhanced visibility and support for core campaigns such as ‘One Scotland’. European 0.14 0.13 This budget supports the EU related work of the Scottish Government's Offices in Brussels and Edinburgh towards the Strategy objectives of the International Framework and the European Action Plan. The largest element of expenditure is in Brussels (around £90,000) to deliver the four main goals of the Scottish Government EU Office policy and cultural events programme: promoting the Government’s strategic objectives; enhancing our profile and reputation in the EU; targeting fresh and relevant audiences; and bringing influence to bear on EU policy making and policy makers. Edinburgh expenditure includes funding to support bilateral engagement e.g. with consular corps. Major Events 1.823 1.7 To deliver the Government’s ambitions for promoting Scotland as a world class events destination and ensuring that events secure maximum economic impact and international profile for Scotland. This includes staging a second Year of Homecoming starting in 2014 the year in which the Commonwealth Games, Ryder Cup and Edinburgh Festivals will ensure Scotland is centre stage in world terms. 4 Annexe B European and External Relations Committee Draft Scottish Budget 2011-12 Europe and External Affairs INTRODUCTION The Scottish Government published its Scottish Budget: Draft Budget 2011-12 on 17 November 2010. The SPICe Briefing Draft Budget 2011-12 discusses broad trends in the budget and how it affects portfolio expenditure. This briefing outlines the Scottish Government’s objectives within the Europe and External Affairs portfolio and examines the more detailed “level 4” budget lines1 for Europe and External Affairs which is situated within the Office of the First Minister.
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