Publication of expenditure in accordance with duties under sections 31 and 32 of the Public Services Reform (Scotland) Act 2010 for financial years ended 31 March 2011 and 2012

Statement of Expenditure	2011-12	2010-11
Public relations (Note 1)	£665,011	£648,286
Overseas travel (Note 2)	£27,514	£26,782
Hospitality and entertainment (Note 3)	£40,453	£53,996
External consultancy (Note 4)	£1,628,766	£2,629,375

Note 1: The total represents expenditure for the Transport Scotland Communications team on external communication, including the cost of in-house and contracted staff, marketing, PR campaigns, media relations, marketing research and evaluation, branding and design, promotional events, corporate communications, sponsorship, publications and printing, digital communications, advertising and media planning.

Note 2: The total represents expenditure incurred on overseas travel by staff in Transport Scotland covering travel to and from the United Kingdom, the cost of hotels, travel and subsistence and any other related expenditure.

Note 3: The total represents expenditure on hospitality and entertainment incurred by Transport Scotland as recorded in the accounting system in accordance with internal procedures.

Note 4: The total represents expenditure on consultancy incurred by Transport Scotland as recorded in the accounting system in accordance with internal procedures.

Payments with a value over £25,000

Transport Scotland publishes a monthly report of payments with a value over £25,000. The reports are published on the Transport Scotland's website: http://www.transportscotland.gov.uk/about-us/expenditure/reports and cover the financial years 2010-11 and 2011-

Remuneration - Members and Employees

No employees received remuneration in excess of £150,000 in Transport Scotland in financial year 2011-12. Details of the salary and pension entitlements of members of Transport Scotland's Directors are published as part of the Remuneration Report in Transport Scotland's Annual Report and Accounts for the financial year ended 31 March 2012 at: http://www.transportscotland.gov.uk/about-us/corporate

Statement of the steps taken by Transport Scotland to promote and increase sustainable growth through the exercise of its functions in the period

Transport makes a key contribution to Scotland's economic, environmental and social well being by providing an efficient transport system that enhances productivity and delivers faster, more sustainable growth in a low carbon economy. Ongoing investment in networks connects regions and individuals to economic opportunities, creating a more cohesive Scotland with increased social equity.

Transport Scotland invests almost all of its allocated resources in maintaining and improving Scotland's strategic transport networks (96% of its £2bn budget), supporting over 25% of civil engineering contracts in Scotland. Investment across Road and Rail, in operation, maintenance and specific infrastructure construction supports over 12,000 jobs.

Transport has a crucial role to play in contributing to the Scottish Government's Purpose of sustainable economic growth, by supporting the targets set out in the Climate Change (Scotland) Act and the aims of the Low Carbon Economic Strategy and the Report on Proposals and Policies. Our sustainable transport hierarchy reflects this, promoting active travel, public transport and car sharing before single occupancy car use for movement of people, and encouraging efficient and sustainable movement of goods.

Investment is set within a hierarchy which also promotes sustainable growth by seeking to maintain and safely operate the assets we already have, then to make best use of those networks, and finally to target infrastructure improvements.

Over the period, Transport Scotland has contributed to this agenda in the following ways:

Major infrastructure programmes delivering substantial, direct economic savings to businesses and individuals through improved transport links such as the completion of the M74 extension, the M80 Stepps to Haggs upgrade and the Airdrie to Bathgate rail line; wider social gains such as improved road safety with innovations such as the the Road Safety Campaign and Intelligent Traffic Signage; better accessibility through further investment in rail and bus infrastructure; and reduced environmental impact through more sustainable construction methods
Progress on delivering a Forth Replacement Crossing (FRC) is crucial in maintaining capacity and capability of the national and regional road network. This strategic crossing is a vital economic link for Fife, Edinburgh and the Lothians, is the largest civil engineering project in a generation in Scotland and aims to secure over 3000 jobs and economic revenue of £1,300million, through the creation of direct jobs and sub-contracting opportunities for local firms, estimated to be worth £6billion to Scotland's economy, with £177m having been spent in this period alone
The National Roads Maintenance Review (published July 2012) set out 30 initiatives underpinned by a Strategic Framework which will help deliver efficiency savings across all 33 road authorities of an estimated 10% (£60m) every year. The outcomes of the review was to promote innovation, collaboration and the sharing of services across Scotland's road maintenance sector and the initiatives will be implemented through close partnership working between central and local Government
Through the Scottish Government's investment in rail services, Scotrail provides around 2,300 train services every day in Scotland. In 2011-12, over 80 million passenger journeys were made, an increase of over 30% over the last eight years. Over 25% of Scotland's tracks are now electrified, reducing rail emissions
The Airdrie-Bathgate Rail Link has connected North Lanarkshire to West Lothian on the national rail network providing a catalyst for regeneration with related economic benefits estimated at £270million over 60 years
Investment in Highlands and Islands Airports, port and harbour infrastructure and vessels maintains air and ferry connections vital for the economic and social sustainability of some of Scotland's most remote and island communities
Though the Plugged In Places programme and Green Bus Fund, we have enabled Scotland's public services to invest in over 340 low carbon vehicles and over 300 charging points, supporting our Low Carbon Economic Strategy aim to support the increased take up of these technologies
Continue to fund walking and cycling infrastructure to enable progress towards ambitious 20% modal share target set for active travel within the Report on Proposals and Policies

Statement of the steps taken by Transport Scotland to improve efficiency, effectiveness and economy in the exercise of its functions in the period

In 2004, the Scottish Government began developing a programme to improve efficiency in the Public Sector. A target of increasing Efficiency Savings by 2% for each year of the 2007 Spending Review was applied to portfolios across the Scottish Government. Total efficiency savings achieved by Transport Scotland for each year are shown as follows:

	2011-12 £m	2010-11 £m
Efficiency Savings Target	51	107
Efficiency Savings Achieved	59	116
% of Transport Scotland DEL Budget	3%	4%

Following on from this, the Scottish Government set targets of 3% Efficiency Savings which were to be achieved each year going forward.

The challenge is to use resources in a more efficient and effective way so that more can be delivered for the same or less cost. Transport Scotland had a target of £51m for the year 2011-12 and it has again exceeded its target, this time by £7million. The following are the key efficiency savings achieved:

Streamlining and rationalisation of back office functions and management procedures in Highland and Islands Airport and British Waterways Scotland
Supporting Network Rail decentralisation and their Alliance with First ScotRail as a means of reducing costs and improving services for rail passengers
Lower pricing negotiated with Network Rail on rail infrastructure projects to deliver the same output for lower costs
More economic pricing of road operating companies' contracts
Use of improved technologies, sustainable reconstruction techniques and e-procurement for roads maintenance, which has also led to less waste being sent to landfill sites
Re-tendering of ferry services that has produced significant financial savings from operating efficiencies realised
Optimum maintenance treatments resulted in lower whole life, material, labour and traffic management costs following new guidance to Operating Companies on developing structural repair and network strengthening programmes
The Scotland wide free concessionary bus travel scheme for older and disabled people was delivered at a reduced cost in a revised agreement with bus contractors

Statement of current levels of shared service / Cluster Project activity within Transport Scotland in the period

Shared Services / Cluster Project working is a key element of Transport Scotland's efficiency agenda and we are committed to achieving quality public services that are valued by their customers and that realise efficiencies by employing best business practice and improved collaborative working.

Transport Scotland currently shares the following services and systems of the Scottish Government: Information and Communications, Human Resources, Estates services, Payments, Financial Reporting and Payroll. In addition Transport Scotland also shares services with other authorities, such as Road Asset Valuation System,

Over the year, Transport Scotland has contributed to this agenda in the following ways:

It is the Agency's policy to use collaborative contracts, such as the ones awarded by the Scottish Procurement and Commercial Directorate, wherever practicable. Cash savings of £539,104 in 2011-12 (2010-11 £497,942) were delivered through expenditure of just over £2million (£3million) on Scottish Procurement-led collaborative contracts and frameworks, thereby contributing to the Scottish Government's efficiency savings targets
Encouraging sustainability in procurement, for example by using community benefit clauses in contracts such as the Forth Replacement Crossing to provide targeted training opportunities with a particular focus on youth employment and helping the long term unemployed
Supporting the drive for improved procurement capability by assisting and supporting other central government organisations through participation in the Clusters Project. This approach involves a lead organisation providing mutual support and mentoring to assist the other organisations to raise their procurement capability. Transport Scotland is participating in the Scottish Procurement and Commercial Directorate's Cluster Project which is aimed, in particular, at improving the procurement capability of those Scottish Government organisations which have little or no expertise in this specific field
Procuring our contracts in such a way that gives Scottish firms, particularly Small and Medium Enterprises (SMEs), a fair chance to compete, including the advertising of sub-contract opportunities on the Public Contracts Scotland website
Using our contracts to encourage innovation by allowing bidders the opportunity to come with new ideas whenever practicable

Further copies of this document are available, on request, in audio and large print formats and in community languages (Urdu; Bengali; Gaelic; Hindi; Punjabi; Cantonese; Arabic; Polish).

community languages

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