A candidate tipped to take over as head of Scotland’s publicly funded investment bank turned down the role when it was offered, Deputy First Minister John Swinney has said.
Former chief executive Eilidh Mactaggart quit the Scottish National Investment Bank almost a year ago, prompting questions from opposition parties and a recruitment process to find her successor.
Mactaggart eventually released a statement saying she had left for “personal reasons”.
When asked for an update on the process, Swinney told the Economy and Fair Work Committee that a prospective candidate had changed their mind about the role, meaning the process had to be restarted.
“The process has been taken forward… a candidate emerged but then decided not to take the post, I think that’s the fairest way for me to capture that,” he said when questioned by Conservative MSP Jamie Halcro Johnston.
“Sarah Roughead continues to exercise chief executive responsibilities under the leadership of Willie Watt as the chair of the Scottish National Investment Bank, and the bank continues to make the progress that the government envisages.
“The recruitment process continues to be taken forward.”
When asked if the process had to restart, Swinney added: “It’s a process that’s been undertaken with recruitment consultants, so I think the short answer is yes.”
Swinney said he would like to see the process completed “as soon as possible but only with the right candidate”, and did not give an estimate of when an appointment would be made.
Swinney also told the committee that he is is “very optimistic” about the two green freeports announced for Scotland, as he sought to reassure MSPs on environmental standards and workers’ rights.
Under a scheme jointly agreed by the UK and Scottish governments, areas around Inverness and the River Forth were announced as winners of freeport status last week.
The status offers special tax incentives and lower tariffs around ports, with the aim of stimulating economic growth.
He said officials from both governments had been involved in choosing the two winners from five bids representing different areas in Scotland.
“Creation of these two green freeports will support businesses to create large numbers of good green jobs; will promote growth and regeneration; and will make a significant contribution to our transition to net zero.
“They will help us to create internationally competitive clusters of manufacturing excellence, building on specific areas of sectoral strength and able to compete on an equal footing with ports in the rest of the UK and internationally.
“Over time, they should yield real and lasting benefits to Scotland’s local, regional and national economies.
“The hard work to deliver on that promise starts now, but I am very optimistic about the potential.”
Swinney said work is now starting on a detailed business case for each freeport and they are expected to begin operating by the end of this year.
SNP backbencher Emma Roddick asked who would be accountable for environmental standards and workers’ rights at the freeports.
Swinney said: “The Scottish Government would not sign up to arrangements that would dilute any of the existing commitments.”
A governance structure will be put in place for the green freeports, he said.
Conservative MSP Jamie Halcro Johnston said the announcement showed the benefits of the UK and Scottish governments working together, saying: “I would suggest that this public and Scotland’s business sector will want to see more of this going forward.”
The Deputy First minister said there was equal decision-making in the process.
He said: “Perhaps the Conservative government in London could reflect on the importance of that being the approach to how we take these things forward.”
The issue of freeports has led to disagreement between the SNP and the Scottish Greens, despite the latter party having ministers in Nicola Sturgeon’s government under a cooperation agreement.
Green MSP Ross Greer said: “There is nothing green about freeports, they are mini tax havens, the EU found that they attracted money laundering, smuggling and other criminal activities.
“And the last time the UK tried them they only increased regional inequality.”
Swinney said the government would remove freeport status if the areas in question breached environmental and labour requirements.
He said: “Obviously, I will try hard over the period ahead to persuade Mr Greer of the merits of the steps that we are taking.”
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