Chamber and committees

Review of the Fiscal Framework

Letter to the Chief Secretary to the Treasury

Dear Chief Secretary,

I am writing on behalf of the Scottish Parliament’s Social Justice and Social Security Committee about the forthcoming review of the Fiscal Framework.

Firstly, I would like to take this opportunity to congratulate you on your recent appointment and wish you well in your new role.

At its meeting on 7 October, the Committee agreed to write to you and the Cabinet Secretary for Finance and the Economy about progress in the review of the Fiscal Framework, which importantly underpins the further powers over tax and social security devolved through the Scotland Act 2016.

The Committee notes the first review of the Framework should begin this year and that an independent report to inform the review is needed by the end of 2021. Given the timescales involved, the Committee would find it helpful to have an update on the progress being made with commissioning the independent report and whether agreement has been reached on the scope of the review. Your views would also be welcome on whether the timescale for review is likely to be met.

In addition, the Committee would like to draw your attention to the joint letter sent to the former Chief Secretary to the Treasury, the Rt Hon Stephen Barclay MP on 28 October 2020. I understand there has been an acknowledgement of the letter, but no further response. As such, the Committee is seeking confirmation that this joint report has been used to inform the scope and terms of reference to the review or an assurance that it will be included.

I understand you will be meeting with the Cabinet Secretary soon. I hope this letter alongside the letter from the Finance and Public Administration Committee, which I believe you will have already received, will be useful in progressing this discussion. The Committee would appreciate a response by the end of October given the need for the independent report to have been completed by the end of the year.

Yours sincerely

Neil Gray MSP
Convener
Social Justice and Social Security Committee