Key economic leadership group yet to meet two years after forming, MSPs told

Scottish Government officials were questioned on why a leadership group supposed to oversee Scotland’s National Strategy for Economic Transformation has not met (PA)

A key ministerial group chaired by the First Minister to oversee the development of strategy to transform the economy has never met – and could now be scrapped, MSPs have been told.

The economic leadership group was meant to bring together key members of the Cabinet with the president of local government body Cosla, under the stewardship of the First Minister.

The group was part of the 10-year National Strategy for Economic Transformation (NSET) launched in March 2022 by Kate Forbes, the new Deputy First Minister, was she was finance and economy secretary.

Ms Forbes pledged at the time that the Government would “provide clear and decisive leadership”, adding: “The task of transforming our economy requires an equally radical transformation in the way we deliver results.”

The National Strategy for Economic Transformation was launched in March 2022 by then finance and economy secretary Kate Forbes (Jane Barlow/PA)

But a recent report from watchdogs at Audit Scotland highlighted a “gap in collective political leadership” as the Scottish Government has so far failed to establish the group.

Gregor Irwin, the Scottish Government’s director-general for the economy, told Holyrood’s Public Audit Committee on Thursday: “It is absolutely true the economic leadership group has not met as originally planned.

“The reason for that originally was because of the challenge of getting ministerial diaries to align and to find the appropriate moment to have the meeting of that group.”

The group was supposed to meet twice a year but Mr Irwin insisted there has still been “collective ministerial oversight” of NSET, stressing there has been “very substantial involvement of ministers over the past two years”.

But he told the committee: “That doesn’t change the fact that the economic leadership group has not met.

Richard Leonard said he was ‘struggling to understand’ why the group has not met (PA)

“That was an action in NSET and that hasn’t happened.

“But there have been many other ways in which there has been collective ministerial oversight of NSET.”

Committee convener Richard Leonard said: “You weren’t able to co-ordinate the diaries of half a dozen, at the most, Cabinet secretaries and the president of Cosla to fix up a meeting of the economic leadership group? I’m struggling to understand why it hasn’t met.”

Pressed on whether the economic leadership group will now be “scrapped” after failing to meet in two years, Mr Irwin said Government officials will be putting advice to the new ministerial team, adding: “This is one area we will specifically look it.”

Mr Leonard asked: “So there’s a possibility there will be no leadership group in the future?”

Mr Irwin told him: “We need to put that advice to our ministers and address that with them at the appropriate time.”

Commenting afterwards, Scottish Conservative finance spokeswoman Liz Smith said: “The SNP’s announcement of an economic leadership group which, two years later, hasn’t even met is like an illustration of their entire approach – a gimmick produced with fanfare, and then complete failure to deliver.”

Scottish Liberal Democrat economy spokesman Willie Rennie said: “This will come as no surprise to Scottish businesses who are used to a Government that loves press releases but hates delivering on them.

“Our economy has bumped along the bottom for far too long.

“The Scottish Government must deliver support for hard-pressed hospitality and retail businesses, support for local economic development, and investment in key industries of the future like biotech and renewable energy.”