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Scotland's Spending Plans and Draft Budget 2016-17

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Chapter 12 Infrastructure, Investment and Cities

PORTFOLIO RESPONSIBILITIES

The Infrastructure, Investment and Cities (IIC) portfolio is responsible for transport policy and delivery, veterans, European Structural Funds, Scottish Water, Scottish Government procurement, Scottish Futures Trust and cross-government co-ordination on Scotland’s islands.

In line with the Government Economic Strategy the majority of the portfolio’s spend is focused on investment in transport, including low carbon transport, and water infrastructure. Overall, the portfolio also supports a focus on islands and their specific needs.

INVESTING IN OUR PEOPLE AND OUR INFRASTRUCTURE IN A SUSTAINABLE WAY

The IIC portfolio plays a significant role in helping achieve the Scottish Government’s Purpose, primarily through contributing to three Strategic Objectives: Wealthier and Fairer, Safer and Stronger, and Greener.

Our transport, water and islands policies have a wide range of inter-connections across all 16 National Outcomes.

Transport infrastructure is a key area where improving connectivity between our cities and centres of economic activity is vital to boosting productivity and competitiveness. Improving connections between more remote and rural communities is another important aim.

Our commitment to Scotland’s transport infrastructure is clearly visible in the construction of the £1.35 billion Forth Replacement Crossing project, scheduled to open by December 2016 – the most significant transport project in a generation.

We will empower our island communities further, following a public consultation on an Islands Bill, to provide more power, equality and protection for the islands to allow them to build a more prosperous and fairer future for their communities.

Scottish Water has an annual turnover of some £1.2 billion, and is one of Scotland’s 20 largest businesses. It employs some 3,600 staff and sustains a further 20 per cent of the Scottish civil construction industry.

We are committed to retaining Scottish Water within the public sector and supporting it to deliver its vision to be trusted to care for the water upon which Scotland depends. It demonstrates that it is possible to deliver high-quality public services at efficiency levels of the best private sector comparators whilst keeping the average household charge £39 lower than in England and Wales. Our support for Scottish Water’s investment programme is key to the delivery of improvements to water and sewerage services, which are essential for enabling economic growth, safeguarding public health and protecting our environment.

The Scottish model of procurement aims to secure the maximum economic benefit from the £11 billion spent by the public sector on goods and services each year, through an approach that balances being both business friendly and socially responsible. Public procurement in Scotland delivers value that goes well beyond savings and benefits – improving supplier access to public contracts, particularly for small and medium sized enterprises (SMEs); maximising efficiency and collaboration; and placing the local, social and economic aspects of sustainability at the heart of the purchasing process.

Our procurement shared services provide cost effective, fast and reliable services and systems across the public sector. These:

  • reduce risk;
  • increase efficiencies, collaboration and financial savings;
  • free up resources for public bodies to focus on making their own improvements; and
  • simplify how government interacts with businesses.

Scottish Government led procurement has delivered some £329 million of savings over 2011-12 to 2013-14, and we are on course to surpass the savings target of £230 million set for the two-year period 2014-15 to 2015-16; over 3,500 apprenticeships and training opportunities have been created through community benefits; and procurement policy has been used to promote the payment of the living wage and to address blacklisting. Forty six per cent of public procurement spend (where company size is known) goes directly to SMEs, and SMEs won nearly 80 per cent of contracts advertised on the national Public Contracts Scotland portal. The development of a programme of reform in construction procurement, the implementation of the Procurement Reform (Scotland) Act 2014, and the transposition of the new European procurement directives, as well as the continued delivery of savings and benefits, will further enhance Scotland’s international reputation for leading edge innovation in sustainable public procurement. This will also continue to ensure significant community benefits are delivered through our large infrastructure contracts.

The Scottish Futures Trust (SFT) was established to improve the efficiency and effectiveness of infrastructure investment in Scotland by working collaboratively with public bodies and industry, leading to better value for money and ultimately improved public services. In December 2015 SFT has reported the delivery of £135 million of net future benefits and savings during 2014-15, as set out in their Statement of Benefits 2014-15. SFT has now reported a total of £777 million of savings and benefits to the people of Scotland, working actively across the public sector to deliver innovative new ways of working and improved value for money.

Our Priorities

In 2016-17, we will focus expenditure on activity that will increase prosperity, fairness and participation. We will continue to drive efficiencies from existing activity and look for innovative ways to deliver as much as possible for the public pound.

In rail, work continues on the Edinburgh-Glasgow Improvement Programme and the first phase of the Aberdeen-Inverness Improvement Programme.

We will continue our significant investment in the road network, including completion of the Forth Replacement Crossing project and progress dualling the A9, including construction of the first section between Kincraig and Dalraddy. We will also continue with construction of the 58 kilometre Aberdeen Western Peripheral Route/Balmedie to Tipperty project and improvements to the M8, M73 and M74. In addition we will invest in the maintenance and operation of Scotland’s trunk roads and motorways to ensure that the safety and serviceability of the network is maintained and best value achieved.

Significant investment will also be made to support ferry services, following the new hybrid ferry built on the Clyde, and the two new 100-metre vessels earmarked for initial deployment between Skye and the Western Isles and the Ardrossan-Arran route.

We are continuing to support Highlands and Islands air travel through the Air Discount Scheme which offers a 50 per cent discount on core air fares. Building on the success of recent years we will work with Scotland’s airports to secure new routes to key markets around the world.

Flourishing islands are important and make a significant contribution to Scotland. Our contribution through support for air and ferry services will help achieve plans for more autonomy for our island communities.

We are working with disabled people’s organisations and transport providers to develop a national vision and action plan which will act as the catalyst for continued improvement of all journeys that involve disabled people.

We will continue to provide financial support for bus services and those who use them as well as incentives for the take up of greener vehicles through the Bus Service Operators’ Grant and the national concessionary travel schemes. We will also continue to work with bus operators, local transport authorities and organisations representing bus users to improve the functioning of bus services, promote better engagement between operators and authorities and secure the adoption of smart and integrated ticketing across operators and modes on a Scotland-wide basis.

As part of our efforts to meet our climate change targets, we will continue to support reduction of carbon emissions from the transport sector. We will review the policies that the funding supports to assess their impact. We will support the European Regional Development Fund (ERDF) interventions on sustainable transport over the period up to 2020 which would yield match funding of up to £32.5 million. We will also offer further loan funding for low carbon vehicles from financial transaction funding.

We are committed to a significant programme of investment in Scotland’s water and sewerage infrastructure for the 2015-21 investment period worth £3.5 billion. This includes our agreement to invest £250 million over the next five years to upgrade Glasgow’s wastewater infrastructure to improve the environment of the River Clyde and tackle flooding.

We will use European Structural Funds to introduce a new £40 million SME Holding Fund, which will increase the levels of loan, equity and microcredit being offered to Scottish SMEs. The Fund will contribute to the delivery of the priorities set out in Scotland’s Economic Strategy by supporting more SMEs to grow, increase their levels of investment, and boost their exporting ambitions. The Fund will support public and private sector partners to deliver this finance thereby generating a minimum of £100 million into the SME finance market over the next three years.

We will continue to invest in the Scottish model of procurement through a transfer of procurement resources from the core Scottish Government administration budget. This will secure the continued provision of shared services to underpin the transformation of public procurement in Scotland, delivering further savings and maximising the social, environmental and economic benefits of public purchasing activity.

The Draft Budget for 2016-17 is set out below:

Table 12.01: Spending plans (Level 2)

Level 2 2015-16
Draft
Budget
£m
2015-16

Budget
£m
2016-17
Draft
Budget
£m
Air Services 63.4 63.4 60.3
Concessionary Fares & Bus Services 260.6 260.6 261.3
Ferry Services 187.1 187.1 198.6
Motorways & Trunk Roads 694.8 694.8 820.3
Other Transport Policy, Projects and Agency Administration 65.9 65.9 117.7
Rail Services 808.3 808.3 751.3
Scottish Futures Fund* 20.2 20.2 -
European Regional Development Fund –
2014-20 Programmes
- - -
European Social Fund – 2014-20 Programmes - - -
Scottish Water (14.5) (14.5) (94.5)
Other Expenditure 23.3 23.3 24.9
Total Level 2 2,109.1 2,109.1 2,139.9
of which:
DEL Resource 1,037.8 1,037.8 1,012.7
DEL Capital 1,066.3 1,066.3 1,120.2
Financial Transactions 5.0 5.0 7.0
AME
Central Government Grants to Local Authorities 29.9 29.9 21.9

*The Future Transport Fund element of the Scottish Futures Fund is now part of the Other Transport Policy, Projects and Agency Administration Level 2

Table 12.02: Detailed Spending Plans (Level 2 real terms) at 2015-16 prices

Level 2 2015-16
Draft
Budget
£m
2015-16

Budget
£m
2016-17
Draft
Budget
£m
Air Services 63.4 63.4 59.3
Concessionary Fares & Bus Services 260.6 260.6 256.9
Ferry Services 187.1 187.1 195.3
Motorways & Trunk Roads 694.8 694.8 806.6
Other Transport Policy, Projects and Agency Administration 65.9 65.9 115.7
Rail Services 808.3 808.3 738.7
Scottish Futures Fund 20.2 20.2 -
European Regional Development Fund – 2014-20 Programmes - - -
European Social Fund – 2014-20 Programmes - - -
Scottish Water (14.5) (14.5) (92.9)
Other Expenditure 23.3 23.3 24.5
Total Level 2 2,109.1 2,109.1 2,104.1
of which:
DEL Resource 1,037.8 1,037.8 995.8
DEL Capital 1,066.3 1,066.3 1,101.4
Financial Transactions 5.0 5.0 6.9
AME - -
Central Government Grants to Local Authorities 29.9 29.9 21.5

Air Services

Table 12.03: More Detailed Spending Plans (Level 3)

Level 2 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Highlands and Islands Airports Limited 35.4 39.0
Prestwick Airport 10.0 9.3
Support for Air Services 18.0 12.0
Total 63.4 60.3
of which:
DEL Resource 40.4 40.4
DEL Capital 23.0 19.9
AME - -

What the budget does

The budget supports Highlands and Islands Airports Limited (HIAL) and Prestwick Airport. It includes resources for capital investment and sustains the operation and development of airport services throughout the country.

It also supports the Air Discount Scheme (ADS) which provides discounted fares on eligible routes, the provision of lifeline Public Service Obligation (PSO) air services which cannot be provided commercially, and international route development.

In 2016-17 we will:

  • ensure that HIAL has the necessary resources to maintain its 11 airports at current levels of operational ability;
  • continue to fund the Air Discount Scheme and the lifeline PSO air services to Barra, Campbeltown and Tiree; and
  • continue to support the re-positioning of Prestwick Airport.

Through continuing to invest in these air services we will help to ensure that Scotland is a cohesive nation where all its people are able to access the services and amenities that they need and are connected to the opportunities provided by the global economy.

Concessionary Fares and Bus Services

Table 12.04: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Smartcard Programme 2.8 2.8
Concessionary Fares 204.0 207.8
Support for Bus Services 53.8 50.7
Total 260.6 261.3
of which:
DEL Resource 258.6 259.3
DEL Capital 2.0 2.0
AME - -

What the budget does

The budget provides support for bus services across Scotland, primarily through Bus Service Operators’ Grant (BSOG), and funds national concessionary travel schemes for older, disabled and young people and the smartcards used to access concessionary travel. BSOG is paid to bus operators based on mileage and helps keep fares lower and the network more extensive and provides incentives for using greener vehicles.

This budget also provides funding for a number of organisations working to improve public transport, including Bus Users Scotland and Community Transport Association Scotland.

In 2016-17 we will:

  • continue to support bus services and the use of greener, less polluting vehicles while ensuring funding arrangements are efficient, effective and affordable;
  • contain payments under the concessionary travel scheme as a result of a negotiated settlement with the bus sector;
  • continue to make efficiency savings in the operation of the scheme and the validation of bus operator claims; and
  • continue to ensure Scotland’s electronic ticketing machine estate is maintained to the appropriate standard required to deliver concessionary travel and commercial smart ticketing.

Ferry Services

Table 12.05: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Support for Ferry Services 141.6 153.4
Vessels and Piers 45.5 45.2
Total 187.1 198.6
of which:
DEL Resource 141.6 153.4
DEL Capital 45.5 45.2
AME - -

What the budget does

The budget supports the Scottish Government’s Ferries Plan, published in December 2012 and provides subsidy for the:

  • Clyde and Hebrides Ferry Services (CHFS) contract;
  • Northern Isles Ferry Services contract; and
  • Gourock-Dunoon Ferry Service contract.

It also provides for loans to Caledonian Maritime Assets Ltd (CMAL) for the procurement of vessels used on the CHFS network and grants to ports (other than those owned by local authorities) for improvement works to piers and harbours that support lifeline ferry services.

In 2016-17 we will:

  • maintain ferry services on the Clyde and Hebrides, Gourock–Dunoon and Northern Isles routes in line with the Ferries Plan;
  • award the new contract for the CHFS to replace the current contract in October 2016;
  • progress the retendering of the Gourock–Dunoon Ferry Service contract and the Northern Isles Ferry Services contract;
  • take delivery of the third hybrid vessel, MV Catriona, and support construction of the two new 100-metre vessels; and
  • progress the Brodick harbour redevelopment project, due for completion in financial year 2017-18.

Motorways and Trunk Roads

Table 12.06: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Structural Repairs 25.0 27.4
Network Strengthening 36.0 40.8
Private Finance Initiative (PFI) Payments 89.2 98.0
Routine and Winter Maintenance 77.2 80.6
Other Current Expenditure 9.0 10.0
Roads Improvement 14.2 16.3
Capital Land and Works 102.1 285.5
Forth Replacement Crossing 219.0 134.1
Roads Depreciation 110.8 111.3
Forth and Tay Road Bridge Maintenance 12.3 16.3
Total 694.8 820.3
of which:
DEL Resource 293.1 306.7
DEL Capital 401.7 513.6
AME - -

What the budget does

In addition to major roads construction projects and other road improvements, the budget delivers routine, cyclical and winter maintenance to maintain the safety, environment and amenity of the trunk road network. It includes road safety improvement programmes, information for road travellers and an emergency response facility to deal with emergencies and incidents on the network.

The budget also covers the construction of the Forth Replacement Crossing (Queensferry Crossing).

In 2016-17 we will:

  • continue construction of the Forth Replacement Crossing as programmed;
  • progress construction of the M8 M73 M74 Motorway Improvements project and the Aberdeen Western Peripheral Route (AWPR)/Balmedie to Tipperty project;
  • progress procurement of the A737 Dalry Bypass;
  • progress design and development work on dualling the A9 and A96 and continue construction of the A9 Kincraig to Dalraddy project;
  • progress design and development work on the A90 Haudagain Roundabout;
  • focus on essential improvements and on safety and congestion relief improvements that offer value for money;
  • continue to maintain the safe operation of the Forth and Tay Road Bridges; and
  • continue to appraise investment in the motorway and trunk road programme with appropriate tools to further assure its contribution to our Economic Strategy.

Other Transport Policy, Projects and Agency Administration

Table 12.07: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Transport Information 1.2 1.2
Agency Administration Costs 16.9 17.8
Strategic Transport Projects Review 3.6 1.0
Support for Freight Industry 1.1 0.8
Scottish Canals 10.0 10.0
Support for Sustainable and Active Travel 25.0 35.9
Future Transport Fund* - 20.2
Travel Strategy and Innovation 5.1 25.3
Road Safety 3.0 3.0
Edinburgh Tram Inquiry - 2.5
Total 65.9 117.7
of which:
DEL Resource 43.9 54.6
DEL Capital 17.0 56.1
DEL Financial Transactions 5.0 7.0
AME - -

* The Future Transport Fund was part of the Scottish Futures Fund for 2015-16. It is now a Level 3 programme for Draft Budget 2016-17

What the budget does

The budget continues the operation of Transport Scotland and will contribute to the delivery of our climate change ambitions, reducing the impact of transport on our environment and health, and supporting a shift to more sustainable transport modes. It will facilitate provision of impartial travel information services, improve road safety and encourage the freight industry to reduce emissions. As announced in June 2015 we will support a continuation of the Future Transport Fund to provide the infrastructure necessary to enable the uptake of low emission vehicles and other sustainable forms of transport.

The budget funds:

  • Traveline and Transport Direct;
  • the running costs of Transport Scotland;
  • measures to transfer freight from road to rail and water;
  • the maintenance and operation of Scotland’s canals for navigation;
  • support for the promotion of more sustainable travel choices, including support for actions to increase walking and cycling for everyday journeys and the take-up of low carbon vehicles;
  • the Future Transport Fund initiatives;
  • support for Regional Transport Partnerships, the Mobility and Access Committee for Scotland (MACS) and the Office of the Scottish Road Works Commissioner;
  • Road Safety Scotland’s delivery of road safety research, education and publicity and support for partnership working under the Road Safety Framework to 2020;
  • completion of the Edinburgh Tram Inquiry; and
  • capital grant support for the Glasgow subway modernisation project.

In 2016-17 we will:

  • operate the Mode Shift Revenue Support and Waterborne Freight Grant schemes;
  • continue with Future Transport Fund investment in charging and refuelling infrastructure and other measures to accelerate the widespread adoption of ultra‑low emission vehicles;
  • continue to invest in a range of sustainable transport initiatives that will support a shift to more sustainable transport modes;
  • continue to invest in infrastructure and behaviour change initiatives to encourage cycling and walking, working in partnership with local authorities across the country; and
  • continue to provide financial transactions loan funding to support the uptake of low emission vehicles.

Based on the Draft Budget, funding for active travel from the Other Transport Policy, Projects and Agency Administration Level 2, together with the local government budget for Cycling, Walking and Safer Routes, will total approximately £39 million in 2016-17. The investment in sustainable and active travel will help reduce the local and global environmental impact of our consumption and production and will also help us to live longer and healthier lives.

Rail Services

Table 12.08: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Rail Franchise 325.4 265.9
Rail Infrastructure 452.5 463.3
Rail Development 6.0 2.0
Major Public Transport Projects 24.4 20.1
Total 808.3 751.3
of which:
DEL Resource 331.4 267.9
DEL Capital 476.9 483.4
AME - -

What the budget does

The budget supports the delivery of ScotRail passenger rail services in Scotland and the Caledonian Sleeper service, the maintenance and safe operation of the Scottish rail infrastructure and investment in key enhancement projects across the country. The rail infrastructure funding paid directly to Network Rail and the track access charge elements of rail franchise costs (paid by the franchise operators to Network Rail) are determined independently by the Office of Rail and Road (ORR).

Funding is provided under Major Public Transport Projects for the delivery of major elements of rail public transport projects such as rolling stock procurement for the Caledonian Sleeper service and parts of the Edinburgh to Glasgow Improvement Programme (EGIP) not funded via the main rail infrastructure and franchise budgets.

In 2016-17 we will:

  • support growth in passenger demand and new and improved services through the ScotRail and Caledonian Sleeper franchises;
  • continue design, development and delivery of EGIP with electrification of the Edinburgh to Glasgow mainline to complete by December 2016;
  • continue delivery of key improvements to the route between Aberdeen and Inverness;
  • continue development and delivery of the wider programme of network electrification across the Glasgow to Edinburgh via Shotts, and Stirling, Dunblane and Alloa routes; and
  • continue support for Dundee station redevelopment.

European Regional Development Fund – 2014-20 Programmes

Table 12.09: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Grants to Local Authorities - -
Central Government Spend - -
Grants to Local Authorities – EC Income - -
Central Government Spend – EC Income - -
Total 0.0 0.0
of which:
DEL Resource - -
DEL Capital - -
AME - -

These figures net to zero because of matching receipts from the European Union

European Social Fund – 2014-20 Programmes

Table 12.10 More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Grants to Local Authorities - -
Central Government Spend - -
Grants to Local Authorities – EC Income - -
Central Government Spend – EC Income - -
Total 0.0 0.0
of which:
DEL Resource - -
DEL Capital - -
AME - -

These figures net to zero because of matching receipts from the European Union (EU)

What the budget does

The European Regional Development Fund (ERDF) and European Social Funds (ESF) make significant resources available to Scotland over the EU’s seven-year budget cycle. For the period 2014 to 2020 some €900 million has been allocated to Scotland. The Scottish Government will manage these funds and allocate them according to programmes agreed with the EU Commission and in accordance with EU regulations.

When the programmes have been agreed the Scottish Government, working through partnership governance structures, will allocate the funds to projects, schemes or programmes devised by public bodies and local authorities across Scotland. When funds have been allocated and spent the lead bodies will seek payment of the funds from Scottish Government. As the Scottish Government pays out to these bodies it will recover the funds from the Commission. The funds do not increase the Scottish Government’s overall budget and therefore are represented as zero in the budget.

In addition to managing ERDF and ESF the Scottish Government plays a significant role in the management of trans-national and territorial co-operation funding programmes.

ERDF, ESF and the trans-national and territorial funds aim to support economic and social cohesion across the EU. They do this by providing financial support to projects which will encourage economic growth by improving business competitiveness, encouraging business innovation, improving skills, tackling poverty and promoting social inclusion, and facilitating the development of the green economy. The EU priorities for the funds align well with the Scottish Government’s purpose and strategic priorities.

During 2016-17 EU funds will continue to be allocated and spent from both the 2007-13 and the 2014-20 EU funding programmes. The process to reconcile the final spend in the 2007-13 programmes that commenced in 2014-15 is expected to be completed in 2017.

The most significant change in the 2014-20 programmes is the strategic and thematic concentration of the funds prescribed by the EU Commission. This concentration aims to encourage more rapid growth and ensure the funds contribute as fully as possible to the EU 2020 objective of smart, sustainable and inclusive growth. The Scottish Government’s approach to concentration is to focus the funds on strategic interventions which means large scale projects, schemes or programmes aiming for transformative change, delivered by public bodies and local authorities who are confident they can contribute their share of the total project funding.

Scottish Water

Table 12. 11: More Detailed Spending Plans (Level 3)

Level 3 2015-16
Budget
£m
2016-17
Draft
Budget
£m
Interest on Voted Loans (100.5) (100.5)
Voted Loans 80.0 -
Hydro Nation 4.0 4.0
Exemption Scheme 2.0 2.0
Total (14.5) (94.5)
of which:
DEL Resource (94.5) (94.5)
DEL Capital 80.0 -
AME - -

What the budget does

In 2016-17 Scottish Water will continue to deliver the improvements required by Ministers as agreed in summer 2014 as part of the £3.5 billion investment programme for the period 2015-21. This will be financed through customer charges and new loans from the Scottish Government as set out above. The budget also recognises the receipt of interest to the resource budget from the loans issued to Scottish Water, spending in relation to the Hydro Nation agenda, and a scheme to assist charities with the payment of water and sewerage charges.

In 2016-17 Scottish Water plans to deliver the improvements to our vital water and sewerage services as agreed in its Delivery Plan[1].

An Output Monitoring Group has been established to ensure that the improvements required are delivered. Quarterly reports summarising progress in delivering Ministers’ objectives by reference to the targets and milestones shown in Scottish Water’s Delivery Plan are published on the Government’s website[2].

We have confirmed that up to £760 million will be available to support the delivery of the 2015-21 capital programme.

Sums to be lent will be confirmed in each budget. Interest receipts relate to the Scottish Government debt held by Scottish Water.

As a Hydro Nation we can capitalise on global economic opportunities and support the good stewardship of water resources. We have made resources available from within the Scottish Water budget to promote this agenda, which includes the Climate Justice Fund.

Other Expenditure

Table 12.12: More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
ESF Programme Operation 1.5 1.8
Scottish Futures Trust 4.7 4.7
Procurement Shared Services 17.1 18.4
Total 23.3 24.9
of which:
DEL Resource 23.3 24.9
DEL Capital - -
AME - -

What the budget does

European funds are used to support economic recovery and future growth. The ESF Programme Operation budget provides the resources necessary to run these programmes of support.

In 2016-17, the SFT will continue to work to enhance value for money for infrastructure investment across the public sector in Scotland. This includes working in partnership with others to progress delivery of the extended pipeline of revenue funded investment and support other innovative ways of financing and procuring infrastructure.

The Government’s procurement shared services support the delivery of procurement reform across the public sector.

For 2016-17 this will include:

  • the planned delivery of £100 million through Scottish Government led procurement exercises;
  • the implementation of the Procurement Reform (Scotland) Act 2014 and transposition of the new European Procurement Directives that oblige public bodies to consider including community benefit requirements on major contracts;
  • continuing to ensure that contracts for our large infrastructure projects include community benefit clauses, to achieve continued employment and training opportunities;
  • the provision of the suite of e-commerce shared services across the public sector, including the role out of e Invoicing and a newly contracted advertising portal; and
  • with SFT, driving forward the reform of construction procurement.

These services are supported by a transfer of procurement resources from the core Scottish Government administration budget.

Central Government Grants to Local Authorities

Table 12.13 More Detailed Spending Plans (Level 3)

Level 3 2015-16

Budget
£m
2016-17
Draft
Budget
£m
Regional Transport Partnerships 21.9 16.0
Cycling, Walking and Safer Routes 8.0 5.9
Total 29.9 21.9
of which:
DEL Resource - -
DEL Capital 29.9 21.9
AME - -