Chamber and committees

Before I bring in Ash Regan for questions, I will give our witnesses from Highlands and Islands Enterprise an opportunity to comment on the budget reduction. The proposal is for a reduction of 4.8 per cent, which you will have to manage as an organisation. How are you going to do that?

The committee would be happy to receive that in writing.

Good morning, and welcome to the 25th meeting in 2023 of the Economy and Fair Work Committee. Our first item of business is a decision on taking items 3 and 5 in private. Do we agree to take those items in private?

Members indicated agreement.

Our next item of business is an evidence session with the enterprise agencies. The purpose of the session is to inform the committee’s pre-budget scrutiny work. From Scottish Enterprise, I welcome Adrian Gillespie, who is the chief executive, and Alan Maitland, who is the head of finance and management accounting. From Highlands and Islands Enterprise, I welcome Stuart Black, who is the chief executive, and Nick Kenton, who is the director of finance and corporate services. From South of Scotland Enterprise, I welcome Jane Morrison-Ross, who is the chief executive, and Anthony Daye, who is the director of finance and corporate resources. With six witnesses, it would be helpful if members and witnesses could keep their questions and answers as concise as possible.

I turn first to Scottish Enterprise with questions about the proposed budget for next year. All the enterprise agencies are facing a real-terms decrease in their suggested income. For you, the biggest decrease is in the financial transactions budget, with a decrease of 23 per cent, but the cut comes to about 4.3 per cent across the board. Will you set out for the committee the challenges that there will be in delivering that? I recognise that there was an underspend in last year’s financial transactions budget. Will you talk through what the impact of the 4.3 per cent cut will be, or what you anticipate it will be?

I turn to South of Scotland Enterprise. You have a more significant reduction in budget of 8.9 per cent, with a more significant reduction in your financial transactions budget. What impact is that having on the organisation, and how do you anticipate managing that reduction?

Could I ask for brief responses, please?

Thank you. I have one final question. The Ana Stewart review reported earlier this year. We are still waiting on the Government’s official response. The committee often hears that the current investment and support landscape does not meet the needs of women entrepreneurs or women who are looking to grow their businesses. I will come to Adrian Gillespie first. What is your response to Ana Stewart’s report, and what is Scottish Enterprise doing to support women in business and to encourage growth in that area?

Adrian Gillespie, in some ways, is it easier for Highlands and Islands and South of Scotland to direct support more towards women entrepreneurs? I know that you all work in partnership, but they tend to work with smaller enterprises while you work more on an international and global stage. Is it more challenging for you? What are you doing to overcome those challenges so that we see more women in higher growth areas and in bigger exporting businesses?

Thank you. Murdo Fraser mentioned minimal asset process bankruptcy and the reduction in the time limit for that as another policy area we may want to explore. Another area that has been raised with the committee is bank arrestments. The protected balance for bank arrestments went up to £1,000. It is proposed that the protected balance for wage arrestments should also go up to £1,000. Does Edinburgh want to comment on the impact that the changes to the bank arrestment made and whether, if there is a case that wage arrestments should be increased to £1,000 you would support that?

I do not know whether the sheriff officers have a view on that. I understand that around £550 is protected for wages arrestment. For banks, it is £1,000.