Public-private Partnerships

Part of the debate – in the Scottish Parliament at 3:18 pm on 4 December 2002.

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Photo of Andy Kerr Andy Kerr Labour 3:18, 4 December 2002

I congratulate the Finance Committee and its previous convener, Des McNulty, and welcome and thank Tom McCabe, who is the committee's new convener. I congratulate him on his new role and on presenting the report so effectively.

The report recognises and reflects the importance of PPPs in the delivery of public services. Mr McCabe mentioned the real differences that the new facilities make to real people in our communities.

The report is timely and welcome. It is a comprehensive and thorough review of PPP and is based on a year-long investigation involving a wide range of evidence and witnesses. I was pleased to have been invited to contribute to the committee's work on behalf of the Executive.

Scotland has 10 years' experience of developing and using PPPs. The report fits into a pattern of taking stock of what is happening in respect of PPPs. I have always said that things are developing, moving and changing. The report follows the narrower report by the Accounts Commission on the early PPP projects for schools. I am pleased that the committee shares our conclusion that PPP is an essential tool for delivering improved public services. It is a tool that we remain committed to and will continue to use.

Like the committee, the Executive has been taking stock of PPP to make it more open and more accountable. We have reviewed practice to introduce changes that will improve the efficiency and effectiveness of PPPs in Scotland. The changes reflect many of the views of the committee.

I will give some good examples of progress. On staffing issues, the committee clearly shares my belief that improving public services includes ensuring fair employment practice and not damaging staff interests. Last month I signed a protocol between the Executive and the STUC to provide protection on those matters.

The protocol includes the principles that we regard as important for valuing staff and ensuring they are treated properly, and requires that fair employment practices are followed by all public authorities and contractors involved in PPP projects. The protocol ends the scope for a two-tier work force in future PPPs, ensures that affected staff continue to be protected in transfers—including in relation to pension rights—and ensures full consultation with staff and their recognised trade unions from the start of the process.