Gray vows to continue with reforms

Published on Monday 6 May 2002 01:00

IAIN Gray, the new enterprise minister, yesterday spent his second day in office fending off criticisms of his appointment and declaring his intention to continue the reforming policies of his predecessor, Wendy Alexander.

As shockwaves continued to reverberate through the Labour Party at Ms Alexander’s sudden resignation from the post, Mr Gray said his immediate approach would be “steady as she goes”, with no sudden departures from the strategies already set in place.

This was welcomed last night by leaders of business and industry, but seen by political rivals as “complacency”.

Andrew Wilson, the SNP spokesman on the economy, said: “At a time when the Scottish economy is in a crisis, this statement will surely come back to haunt him.”

Today, Jack McConnell, the First Minister, will try to give the impression it is business as usual as he underlines the Scottish Executive’s commitment to renewable energy with the opening of Scotland’s first wind turbine factory at Macrihanish, near Campbeltown.

And at a Cabinet meeting on Wednesday, he will take steps to reassert his authority after the unexpected setback caused by the departure of one of the Executive’s most talented and energetic ministers.

Mr Gray, the MSP for Edinburgh Pentlands and the former minister for social justice, spent part of the weekend talking to senior civil servants about his brief, which is the most wide-ranging in the Executive, covering the economy, transport, business, industry and further and higher education.

With business leaders disappointed at Ms Alexander’s decision and uncertain about the qualities of her successor, he sought to give assurances that the Executive’s commitment to the sector will not change under his political leadership.

He said: “I take on a number of strategies … which are government strategies. They belong to the Cabinet, which I’ve been part of for the last six months, so the task is to build on the momentum that is already there and carry on with the job she [Ms Alexander] was doing.

“A great deal of the big work has been done and I certainly have no intention of trying to shift the direction.”

Mr Gray defended the breadth of the portfolio – one of the factors thought to have led to Ms Alexander’s resignation – saying it did what business wanted because it linked higher education to enterprise and enterprise to transport.

The new enterprise minister, a former teacher and Oxfam campaign manager, conceded he had no background in business but stressed his ministerial background was more important. “I’ve not been appointed to be a business person or, indeed, to run business in Scotland. I’ve been appointed to a ministerial post.

“I’ve got very significant ministerial experience in a number of different areas.”

Mr Gray said he was not surprised business leaders were concerned about the change because they found change disturbing and needed stability. “What the business community needs to look for is confidence in the government strategy. The strategy is steady as she goes. We will be continuing in the same direction and my task is to build the partnerships that can turn those into delivery on the ground,” he added.

However, Mr Wilson said: “With the greatest respect to Iain Gray, there is nothing about his appointment or his comments that will do anything to assuage the fears of the business community.”

Annabel Goldie, the deputy leader of the Scottish Tories, said the priority of enterprise had gone “right off the radar screen” following Ms Alexander’s resignation.

“There will be a huge issue as to whether or not the business community can have confidence in the new arrangements,” she said.

Business leaders voiced their support for the new minister but are privately concerned about the loss of Ms Alexander, someone they regarded as a champion of their cause.

The former minister played a key role in reforming the enterprise network, developing the Executive’s “smart, successful Scotland strategy”, reviewing higher education, directing regional aid towards home-grown industries rather than those coming from abroad and in producing a new, comprehensive strategy for transport.

Some business leaders now want to see Mr McConnell adopting a higher profile on the economy. They believe Ms Alexander had resisted the First Minister’s involvement, seeing it as “interference”.

A spokesman for the Confederation of British Industry in Scotland said it had enjoyed working alongside Ms Alexander and welcomed reforms that had focused on careers strategy, the enterprise network and on completing “missing links” in the roads network.

He added: “We look forward to working with her successor, who has the reputation of being a capable minister in his time in office.

“We are sure he will quickly establish constructive links with the business community.”

John Downie, the Scottish parliamentary officer of the Federation of Small Businesses, said Ms Alexander’s departure was an “enormous loss” and it would take time for the Executive to build up credibility with the business community.

He said: “We have to work with whatever minister is in place and I think some of the concerns we have expressed regarding the economic position and the political agenda will have to be addressed.”

A Labour Party source said: “Wendy will be a hard act to follow but people within the party who know Iain Gray know him as someone who cares very deeply about politics and in particular about how politics impact on people. He will carry that through to enterprise and issues affecting the economy.”

Mr McConnell’s decision not to split the enterprise brief means he has opted for minimal disruption to the Cabinet.

Margaret Curran, formerly Mr Gray’s deputy, is promoted to his former post as minister for social justice, while Hugh Henry, previously deputy minister for health, has been appointed deputy minister for social justice.

Frank McAveety, a former local government minister, replaces Mr Henry.

MARGARET CURRAN: Straight talking style

THE new minister for social justice, is a straight-talking MSP who revels in the rough-and-tumble of politics.

Previously the deputy social justice minister, she worked with Iain Gray in developing the Scottish Executive’s controversial plan which resulted in council tenants in Glasgow voting last month in favour of the transfer of their houses to a new housing association. The MSP for Glasgow Baillieston, who made her mark as convener of the parliament’s social inclusion committee, has also taken an interest in child poverty issues .

Mrs Curran was involved in a bitter selection battle with Mike Watson and Mohammed Sarwar for the Glasgow Govan Westminster seat, eventually dropping out to become Mr Sarwar’s agent. She is a former welfare rights officer and lecturer in community education.

Mrs Curran is married with two sons.

FRANK MCAVEETY: Back in favour

FRANK McAveety returns to the Executive having been ousted as a minister in the reshuffle that followed the appointment of Henry McLeish as successor to Donald Dewar.

Before becoming an MSP, Mr McAveety was the Labour leader of Glasgow City Council. Seen as the man most likely to unite the warring factions in the authority, he was rewarded for his efforts when Mr Dewar gave him the post of deputy local government minister. Some regarded him as too laid-back in his approach to the post and, after the sudden death of Mr Dewar in October 2000, he lost out in the Cabinet reshuffle.

Mr McAveety was seen as wavering over who to support in the leadership contest that followed, first declaring his backing for Mr McConnell and then switching to Mr McLeish.

The former teacher is married with two children. He plays the guitar and is a fan of jazz and rock music.