Page 9 - Gi March 2019 - Flipbook

industry & government news

FUNDING PLANS THREATEN independence.”

The UK currently has 161
INDEPENDENCE OF POST- environmental reporting obligations
to European bodies that may fall by
the wayside after Brexit if strong
BREXIT GREEN WATCHDOG, safeguards and independent scrutiny
and enforcement is not maintained, the
NAO added.
NATIONAL AUDIT OFFICE WARNS Brexit, the government has promised
As part of its commitment to a green
standards will be maintained and
improved after the UK leaves the EU,
according to BusinessGreen.
Specifically, it set out its plans for
a new green watchdog, the Office for
Environmental Protection in draft bill
released in December.
The draft bill compels the Secretary
of State for Defra to “pay to the OEP
such sums as the Secretary of State
considers are reasonably sufficient
to enable the OEP to carry out its
functions”.
The NAO’s warning echoes concerns
made late last year by green experts
following the publication of the
draft Bill. At the time Martin Baxter,
Chief Policy Adviser to the Institute
of Environmental Management and
Assessment (IEMA), said resourcing
the body through Defra and allowing
FEARS FOR THE POST-BREXIT GREEN the Secretary of State at the department
WATCHDOG’S INDEPENDENCE REST ON FUNDING to make key appointments meant “the
watchdog will be constrained from
THE NEW GREEN watchdog tasked a guaranteed, independent source of holding government to account”.
with upholding UK environmental funding could undermine its credibility The government insisted the detail
standards post-Brexit may struggle to and influence. set out in the draft Environment
maintain its independence if it relies on “The watchdog will be funded Bill shows its “commitment to
Defra for its funding, the National Audit through Defra, with a chair appointed placing environmental ambition
Office (NAO) has warned. by the Secretary of State for Defra,” and accountability at the heart of
In a paper outlining the need for the NAO said in its report. “While in government”.
cross-government environmental principle this is not incompatible with However, the NAO report also
targets to make sure environmental it being functionally independent, it criticised the government for not doing
standards do not slip post-Brexit, the could bring risks for its independence enough to build cross-departmental
NAO warned denying the watchdog in practice or for its perceived support for its green agenda.

OIL AND GAS ‘DOMINO EFFECT’ FUELS SURGE IN INSOLVENCIES IN SCOTLAND

MANY SCOTTISH firms are likely to go bust amid uncertainty
about the outlook for the economy following a surge in
business failures last year, experts have warned.
Official figures published in the Herald Scotland show the
number of businesses entering liquidation increased 21 per
cent last year to a six year high of 945, from 780 in 2017.
Restructuring specialists said the increase reflected the
‘domino effect’ of the oil and gas downturn on sectors such as
hospitality, combined with pressures on consumer spending.
With uncertainty about Brexit weighing on confidence and
prompting some firms to stockpile, the challenges facing
firms may be set to intensify.
While the partial recovery in the crude price since late
ECONOMIC UNCERTAINTY IS 2016 has provided a boost for the oil and gas industry, the
AFFECTING BUSINESS IN ABERDEEN impact of the downturn from 2014 to 2017 is still being felt.

09

News.indd 4 14/02/2019 12:51