08 October 2004
Scotland's new finance minister, Tom McCabe, has dismissed comparisons with England on efficiency in government, saying the targets set are 'appropriate for Scotland' irrespective of the figures for south of the Border.
He was appearing before the Scottish Parliament's finance committee just 24 hours after succeeding Andy Kerr in this week's Scottish Cabinet reshuffle.
McCabe immediately faced questions over First Minister Jack McConnell's assertion that efficiency targets would be 'tougher' in Scotland than that of the Gershon review in England.
The committee's finance adviser, Professor Arthur Midwinter, argued that the UK Spending Review showed that targets in Whitehall were almost 'three times as tough as the Scottish figures'.
He claimed the UK review had identified savings of £21.5bn, excluding the devolved administrations, to be achieved by 2007/08, equivalent to 7.2% of the departmental expenditure limit.
The figure for Scotland, in cash terms, was £650m, or 2.6% of the DEL. 'It is difficult to see how these figures can be presented as being tougher than Whitehall's targets,' Midwinter said.
But McCabe said ambitious targets for efficiency savings had been set which were appropriate for Scotland. 'If people wish to make comparisons with down south, that is their business. I am interested in the issues that we face here in Scotland,' he said.
Councils believe McCabe will be a tough negotiator on funding, which will be under severe pressure as a result of last week's announcement on the details of the Scottish budget.
Midwinter told the committee that the council tax figure was likely to rise in excess of inflation because of the dependence of councils on government grant.
Formerly deputy health minister, McCabe takes over from Kerr, who has been switched to the troubled brief of health minister in succession to Malcolm Chisholm.
Chisholm, given the job of communities minister, is regarded as a casualty of the row over planned hospital closures and the centralisation of emergency services.
McCabe, a former Labour councillor, becomes 'minister for finance and public service reform', a title that highlights the emphasis the Executive is placing on modernisation and efficiency. Kerr's title was minister for finance and public services.
PFoct2004
