Lack of costings in proposed legislation an ’emerging pattern’, say MSPs

Concerns have been raised about the lack of financial information provided for legislation to change the children’s justice system in Scotland – with a key Holyrood committee saying this could be part of an “emerging pattern” from the Scottish Government.

Members of Holyrood’s Finance and Public Administration Committee said they were “concerned at the lack of financial information” in papers setting out the cost implications of the Children (Care and Justice) (Scotland) Bill.

MSPs have already raised concerns about the costings provided for controversial plans to set up a national care service.

Given that, Michael Marra, deputy convener of the finance committee, said: “We would also be concerned, given ongoing issues regarding the financial memorandum for the National Care Service (Scotland) Bill, should there be an emerging pattern of not placing the best possible full and sufficient costings and information before Parliament for scrutiny ahead of Stage 1 votes.”

MSPs are currently awaiting an updated financial memorandum (FM) – the document setting out the financial implications and costings for new legislation – for the National Care Service (Scotland) Bill.

Mr Marra has now written to Sue Webber, convener of the committee scrutinising the children’s justice reforms, asking for her committee to press the Government to “explain how it will learn lessons” from the National Care Service (Scotland) Bill “where similar issues regarding the lack of financial information and the need for further development of cost estimates arose”.

In the letter to Ms Webber, convener of the Education, Children and Young People Committee, Mr Marra raised concerns about the costings provided so far for the Children (Care and Justice) (Scotland) Bill.

While the financial memorandum puts the costs as being between £5.31 million and £5.38 million a year for the Government and between £5.36 million and £6.56 million for councils, the committee noted both the local government body Cosla and Social Work Scotland had “raised concerns in relation to the reliability of estimated costs”.

Cosla believes the financial memorandum “underestimates the cost implications for local authorities”, the letter said, with “issues with the robustness of the figures”, claiming many of the costings are based on estimates and “the assumptions may be fundamentally flawed”.

Meanwhile, Social Work Scotland told the committee the financial memorandum “does not sufficiently appreciate the scale and financial costs of the additional duties and demands” of social work staff.

The financial memorandum also “does not take account of current levels of inflation”, Mr Marra said in his letter.

He stressed the Finance Committee “is concerned at the lack of financial information contained in the FM in relation to all areas covered by the Bill, particularly in light of previous recommendations this committee made for improving the clarity and transparency of FMs”.

The Children (Care and Justice) (Scotland) Bill proposes changes to the children’s hearings system and several parts of the criminal justice system related to young people.

It sets out to change the definition of “child” in the children’s hearings system from someone under 16 to someone under 18.

If passed, the Bill would also stop those under the age of 18 from being sent to a young offenders institution or prison, as well as making changes relating to the regulation of secure accommodation and how it is used.

Scottish Conservative deputy leader, Meghan Gallacher, insisted it was “simply unacceptable that the SNP are keeping the Finance Committee in the dark over the costs in relation to this crucial Bill”.

She said MSPs had “already seen this lack of transparency in relation to costs surrounding the National Care Service Bill”.

Ms Gallacher added: “It is not good enough that the committee have once again had to go public to voice their concerns, rather than ministers doing the right thing and giving the committee all the information they need at the outset.”