SNP finances turmoil: Party still owes money to former chief executive Peter Murrell, admits Humza Yousaf

Humza Yousaf has declared the SNP is not bankrupt and remains on a “steady footing” financially as he conceded the party still owes money to its former chief executive Peter Murrell.

It emerged in December that Mr Murrell had loaned the party £100,000 in June 2021.

Speaking to journalists after First Minister’s Questions on Thursday, Mr Yousaf was asked if money was still outstanding to Nicola Sturgeon’s husband, who was arrested earlier this month by police investigating the SNP’s finances.

Mr Yousaf said: “I think there is money still absolutely outstanding to Peter Murrell.” He said he would lay out details of how much was owed after a review into the party’s governance takes place.

Former chief executive of the SNP, Peter Murrell, leaves his home in Uddingston, Glasgow. Picture: Andrew Milligan/PA Wire

The SNP leader said the party had not yet appointed new auditors and was “still in conversations” to fill the vacancy.

The First Minister said: “We’re definitely not facing bankruptcy. I’m pleased to say we are on a steady footing when it comes to the party’s finances.

“I don’t think Parliament is the place to do a statement on the party’s finances. I’ve, of course, instructed the governance and transparency review and when the report comes in on that review, I’ll make that public.”

Mr Yousaf had earlier pledged during First Minister’s Questions that his Government remained focused on the “day job”. It came as he dodged a question on whether he would deliver a statement to the Scottish Parliament on the SNP finances scandal.

Scottish Tories leader Douglas Ross challenged Mr Yousaf to deliver the statement in the wake of the arrests of Mr Murrell and former SNP treasurer Colin Beattie, who quit the role on Wednesday.

Mr Ross said the rules of the Parliament restricted him from asking questions about the police probe into the SNP’s finances. But he challenged Mr Yousaf, whom he said was now “compromised” as acting treasurer for the SNP following Mr Beattie’s resignation.

Mr Yousaf responded: “I’m happy to answer the question. I know there are some, of course, serious issues for the party that lead, the SNP, to address. I’m not going to shy away away from that, Presiding Officer, and that’s why as my very first act as SNP leader attending my very first national executive committee meeting, I’m pleased that we got agreement from that committee, the body that oversees the party that has been elected by our members, to do a review into transparency and governance.”

The First Minister added: “What we are doing collectively is focusing relentlessly on the day job.”

Mr Ross said: “The first words from the First Minister were that he was happy to answer the question, and then he basically refused to do so. Because I was simply asking for a statement and transparency and I do think it is needed from the First Minister because the secrecy must end.”

Scottish Liberal Democrat leader Alex Cole-Hamilton said the treasurer vacancy was the “least appealing” in Scottish political history.

Earlier on Thursday, Mr Murrell was seen in public for the first time since his arrest. He was spotted leaving the home he shares with ex-first minister Ms Sturgeon in Uddingston, near Glasgow.

Mr Murrell was detained earlier this month and questioned by detectives for 11 hours before being released without charge “pending further investigation”.

Police investigating the party’s finances also arrested Mr Beattie on Tuesday, who was later released without charge, while a motorhome that was intended to be used for party campaigning was seized from the driveway of Mr Murrell’s mother.

Opposition politicians hit out at the First Minister, with Scottish Labour deputy leader Jackie Baillie saying Mr Beattie’s decision to resign was the “right thing”, but it was taken “by the wrong man”.

The arrest this week has ensured the police investigation into the SNP’s finances has continued to overshadow the early days of Mr Yousaf’s tenure.

Police announced Mr Beattie had been taken into custody in the hours before the First Minister was due to lay out his priorities for Scotland under his premiership.

Labour has meanwhile suggested members of the Scottish Parliament who are under police investigation should be suspended amid inquiries into SNP finances.

Shadow Commons leader Thangam Debbonaire referenced the police investigation into the SNP’s finances in the Commons, saying Mr Yousaf should suspend MSPs who are the subject of police inquiries.

She also raised questions about the party’s auditors.

Speaking during a session of questions related to the business of the House of Commons, Ms Debbonaire said: “It’s emerged that the SNP’s auditors have also resigned from doing their Westminster group’s accounts as well as the national party’s.

“Now, I understand that senior SNP figures failed to inform the authorities here about that. Could the leader tell us if she knows if this is correct? Because this is serious, it’s taxpayers’ money.

“Can I ask the Leader of the House to intervene to make sure that SNP finances that provide money for some of their political staffing here in Parliament have been properly accounted for and used for the purposes for which it is intended?

“Does she agree with me that as the police investigation spreads, the First Minister, leader of the SNP, should take a basic step of suspending members of the Scottish Parliament who are the subject of police inquiries?”

Commons Leader Penny Mordaunt: “[Ms Debbonaire] raises the matter of the SNP and short money. And although we all enjoy a joke at the SNP’s expense, these are really serious matters.

“I shan’t comment on her suggestion about people being suspended under police investigation, to save her blushes, it might have included the leader of the Opposition [Sir Keir Starmer], who has been in that camp before.

“But these matters are not a matter for me. But I understand that unless the SNP have audited accounts by March 31 they will lose their short money after the April payment.

“I understand also that Ipsa (Independent Parliamentary Standards Authority) may also have considerations to make. I think the SNP’s membership will feel rightly let down by this, similar to how the rest of Scotland will feel with the SNP’s poor stewardship of public money.”

Short money refers to financial assistance given to opposition parties to carry out their duties in the House of Commons.