Question reference: S5W-32866
- Asked by: David Stewart, MSP for Highlands and Islands, Scottish Labour
- Date lodged: 28 October 2020
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Current status: Answered by Paul Wheelhouse on 11 November 2020
Question
To ask the Scottish Government what assessment it has made of the legal case for using a Teckal exemption to bring public contracts for lifeline ferry services permanently in-house after 1 January 2021, and what discussions it has had with the UK Government on this matter.
Answer
The Scottish Government is in regular dialogue with the UK Government on a range of matters relating to Brexit, including the future application of procurement and State aid rules. However, at this time, despite the fact that the EU Withdrawal Transition period ends on 31 st December 2020 and despite repeated requests for certainty, there is still no clarity as to what the future State Aid environment will look like in 2021 and beyond.
Clearly, we will need to assess the extent to which the Teckal exemption and State aid rules will apply to the case for a potential direct award to an in-house operator when it is clear what State Aid regime will apply. As the member will also be aware, we also have grave concerns regarding the UK Government’s Internal Market Bill and its implications for devolved competencies, including in respect of State Aid related matters.