Swinney calls halt to policy of relocation, relocation, relocation

A CONTROVERSIAL policy to relocate public-sector workers to areas outside Edinburgh was effectively ditched yesterday by the new SNP administration.

The policy, championed by Jack McConnell when he was First Minister in the previous Labour-Lib Dem Executive, was designed to move public-sector jobs out of Scotland's capital to bring benefits to other parts of the country.

The idea proved hugely contentious, particularly in the case of Scottish Natural Heritage, which was moved from Edinburgh to Inverness in the face of stiff staff opposition.

John Swinney, the finance secretary, said yesterday he was changing the basis of the policy, and public-sector jobs would be relocated only if a series of new criteria were met.

Mr Swinney said relocation would be considered only for organisations which were being restructured or if building leases were coming up for renewal. And it would take place only if there were no compulsory redundancies and there were wider benefits, such as value for money or disposal of unsuitable assets.

Mr Swinney's announcement does not mean the policy has been scrapped officially, but makes it extremely unlikely that any public bodies will be moved if staff do not want to go.

He said: "Relocation policy to date has not achieved the benefits intended – wide job dispersal or assisting the areas most in economic need.

"A great deal of money, time and effort has been spent on moving organisations, incurring significant cost to business continuity and to staff."

The finance secretary's decision follows an investigation by Holyrood's audit committee last year which found the relocation policy was failing to deliver a true dispersal of jobs.

Under the previous Executive, more than 2,500 jobs left Edinburgh but the majority moved along the M8 to Glasgow, which critics claimed was hardly benefiting the rest of Scotland.

"Relocation is still an option, but it will only happen after a rigorous and transparent process that shows efficiencies for Scotland," Mr Swinney said.

Labour's local government spokesman, Andy Kerr, said: "

The relocation of public- services jobs throughout the country must be based on genuine factors like economic need, and never for political advantage."

The Lib Dems' enterprise spokesman, Tavish Scott, said he was disappointed but not surprised by the announcement.

He said: "The Liberal Democrats want to see all the towns and regions in Scotland flourish and thrive. That means making sure there is a mix of jobs open to every area.

"The SNP have effectively turned the engine off on the small units relocation policy. The government should get on with action that will get smaller towns in Scotland on to the government's map.

"Government is about choices, and this government has chosen to focus entirely on the Central Belt of Scotland at the expense of smaller towns."

An asset management review also looked at the management of the entire Scottish Government estate. It showed that the government currently occupied 709 buildings with an area of 2,416 hectares and a total capital value of £157.6 million.