Shrewd governance needed to reverse public sector issues, Auditor General warns

Scotland’s Auditor General has warned ministers must match their ambition with “shrewd governance” to reverse long-standing public sector issues.

Stephen Boyle, who heads the public sector watchdog Audit Scotland, has told the Scottish Government the “bruising” four years faced by the NHS and justice system are not “intractable”.

However, he warned ministers that “smarter” decisions are needed as the health sector in particular struggles to recover from the pandemic.

In a blog post published on Tuesday, he said: “There is more our leaders can do to improve how they tackle such challenges.

“The first is the need for ministers’ ambitions to be backed by shrewd governance.

“It means rigorous planning that includes goals that are clear, measurable and achievable. A focus on greater transparency and accountability around where the money is being spent and why.”

Mr Boyle also warned the previous reform plans had “moved too slowly”, adding: “Without an increase in the scale and pace of reform, the danger is that successive governments will inherit the same problems. The cycle will remain unbroken and services will be increasingly unable to cope.”

He said tough decisions need to be made during annual budget planning, arguing short-term cuts to balance annual budgets “risks storing up even greater problems”.

Mr Boyle added that the public sector is facing “big challenges”, but added: “If ministers and other leaders can get smarter with their planning and spending, it will put public services on a healthier footing for the future.”

Scottish Conservative finance spokeswoman Liz Smith said: “This is a damning verdict on SNP Government failure.

“John Swinney and his ministers must heed this warning from the Auditor General if we are to see the recovery in public services essential to support communities and build growth.

“As he points out, they are storing up problems for the future which will mean services are increasingly unable to cope.

“Stephen Boyle is undoubtedly right that crucial reforms have been far too slow, that governance and funding must be more accountable, and that the SNP has failed to show the leadership required.

“The Auditor General’s red flag should be a wake-up call for them to make a comprehensive change of approach their urgent priority.”

Scottish Liberal Democrat MSP Willie Rennie said: “Under the SNP, nothing really works anymore.

“Our NHS is on its knees, parents are worried about their children’s education, and islanders are waiting on ferries that have never arrived.

“This report should be a shock to ministers.”

Public Finance Minister Ivan McKee said: “The Scottish Government recognises the need for pace when it comes to delivering public service reform. I am committed in my new role to working with the Auditor General and others to ensure we continue to provide the leadership he calls for.

“I have already engaged with the leaders of our public bodies around how we work collectively to address the challenges and make the changes necessary to ensure our public services are fit for the future.

“The current financial challenges we face make it even more critical that we ensure resources are focused on frontline services that improve outcomes for the people of Scotland. We will be updating the Scottish Parliament on this work following the summer recess.”