Chamber and committees

Thank you for that information. It is interesting because 31 out of 32 councils have given me a different picture. They talk about how much pressure is on their reserves and that they will eventually run out. They also talk about the fact that they cannot make year-to-year savings and that they will have eventually have to stop making them.

You are right that transformational change will have to happen, and I have a question on that for Jo Armstrong. Do you think that councils are equipped to make those plans for transformational change?

Good morning, panel, and thank you very much for the opening statement.

I want to probe into the financial bulletin a little more. Obviously, the bulletin outlines the significant financial challenges that confront local authorities and categorises them as “unprecedented”. It underscores the fact that there was a council budget deficit of £725 million for the 2023-24 fiscal year. Can the commission provide a little more detail on the overall budget shortfall for the current fiscal year and elaborate on the strategies that local councils are devising to address the gaps?

I have a few questions about reserves. The presentation of local authority reserves is sometimes interpreted as councils sitting on large amounts of surplus money. Could the commission say a bit more about committed and uncommitted reserves and provide examples of reserves being earmarked for specific purposes? Have there been any notable trends in the levels and use of reserves over recent years? Does the commission have any concerns about the relatively low levels of uncommitted reserves in some councils?

The committee has heard concerns that the efforts to cut emissions from existing homes might lead to unintended issues, such as more mould and damp. What measures has the Scottish Government taken to prevent that?

You talk about the guidance, but I have mentioned that the current guidance is insufficient and that it is poorly understood. Where do you see the work of the Scottish Government there?

New statistics from March highlight a significant drop in housing completions and starts in Scotland. Homes for Scotland underscores the fact that the most critical challenges are around the

“underfunded ... planning system which takes over 62 weeks to process a major housing application”

and

“a regulatory environment which currently serves to hamper the delivery of new homes rather than promote them.”

What bold action is needed to support housing delivery across all tenures?

I look forward to the feedback from the task force, because the message from our round-table discussion a couple of weeks ago was that we do not have that housing supply. It is important that we have that investment, and certainty is key.

The Royal Incorporation of Architects in Scotland reports a rise in hospitalisations due to damp and mould in Scottish homes and emphasises that the current guidance is insufficient and poorly understood. What actions has the Scottish Government taken to rectify a growing backlog of deferred maintenance and previous poor interventions that have at best covered up and at worst exacerbated, rather than solved, damp and mould issues?

It takes more than 62 weeks for a major application to be processed. There is a lot of detailed work to be done, but that is a long time, especially when SMEs and other businesses are just making ends meet and balancing the books. What is your opinion on the length of time that it takes to process applications?

We know that the public finances are stretched and are very tight at the moment. How can private investment in Scotland’s housing sector be further encouraged? Witnesses suggested that investors are seeking more certainty. What steps can the Scottish Government take to offer that assurance?