SNP – latest news: Humza Yousaf insists party not going bankrupt as Westminster makes threat

Scottish first minister Humza Yousaf insisted the SNP was not facing bankruptcy amid a financial scandal, as the UK government issued a threat to cut off the party’s funding if it fails to find new auditors within weeks.

Mr Yousaf addressed questions over the sustainability of SNP finances, telling reporters: “We are definitely not facing bankruptcy, I’m pleased to say we are on a steady footing,” though he admitted the party stilled owed money to ex-chief executive Peter Murrell, Nicola Sturgeon’s husband.

The new party leader was yesterday thrust into the role of overseeing the SNP’s accounts, as treasurerColin Beattie quit after police detained him for questioning in an investigation into suspected fraud over £660,000 of SNP donations earmarked for independence campaigning.

In Westminster, Commons leader Penny Mordaunt said if the SNP does not file audited accounts by 31 May their “short money”, payments to opposition parties for parliamentary work, will be cut off.

SNP leader Humza Yousaf said the party was “still in conversations” with prospective new auditors after the previous firm quit last year.

Key Points

• SNP ‘definitely not facing bankruptcy’, says Yousaf

• Westminster could cut off SNP payments

• Sturgeon ‘likely next’ on police list

Andrew Grice: The ‘fresh start for Scotland’ has turned into an episode of The Thick of It

21:08 , Emily Atkinson

The “fresh start for Scotland” promised by Humza Yousaf when he set out his agenda as the country’s first minister turned into an episode of The Thick of It, farcically overshadowed by the arrest of Colin Beattie, the SNP treasurer, writes Andrew Grice.

The ‘fresh start for Scotland’ became an episode of The Thick of It | Andrew Grice

Minister hits out at Scottish secretary as deposit return changes announced

19:40 , Emily Atkinson

The minister charged with implementing Scotland’s deposit return scheme (DRS) has hit out at the Scottish Secretary as she announced that small containers and products with low sales would be exempt from the initiative.

The start of the DRS scheme was delayed from August to March earlier this week by First Minister Humza Yousaf, with Lorna Slater providing more detail on Thursday.

Under the Scottish Government initiative, a 20p deposit will be added to the price of drinks in cans and bottles which will be repaid to the consumer when they are returned to a retailer.

The scheme had previously caused concern among businesses, which Ms Slater said was primarily due to the UK Government not providing an exclusion to the Internal Market Act (IMA) and comments from Scottish Secretary Alister Jack.

“The primary cause of this has been the uncertainty created by the continued failure by the UK Government to issue an IMA exclusion,” she told MSPs.

“Together with public briefings against the scheme from the Secretary of State for Scotland, the effect has been corrosive, undermining confidence, stalling progress, halting private investment.

“Some businesses have said that they will simply not join the scheme because of the UK Government’s position, and there has been extensive feedback from industry that they are not willing to proceed with investments until they have clarity.”

There has been some argument around the request for the exemption to the IMA, with the UK Government claiming no such request has been made while the Scottish Government asserts it had been asked for by former deputy first minister John Swinney.

SNP still owes money to Nicola Sturgeon’s husband, Yousaf admits

17:40 , Liam James

The SNP still owes money to its former chief executive Peter Murrell, Humza Yousaf has said.

The first minister also said the party is “not facing bankruptcy” and is on a “steady footing” financially.

It emerged in December that Mr Murrell, former leader Nicola Sturgeon’s husband, 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 is still outstanding to Mr Murrell, 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 is owed after a review into the party’s governance takes place.

SNP could see ‘short money’ payments stopped

17:01 , Liam James

Commons leader Penny Mordaunt said that if the SNP does not file audited accounts by 31 May their “short money” payments will be stopped.

The money is apportioned to all opposition parties to help them carry out parliamentary duties.

SNP leader Humza Yousaf said the party had not yet appointed new auditors and was “still in conversations” with prospective firms.

The party’s auditors quit towards the end of last year, though Mr Yousaf was kept in the dark about this until taking the leadership last month.

SNP ‘definitely not facing bankruptcy’, says Yousaf

16:30 , Liam James

SNP leader Humza Yousaf addressed questions over the sustainability of his party’s finances, telling reporters: “We are 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, but I have of course instructed a governance and transparency review, and what that report comes in and I’ll make that public.”

Mr Yousaf, who yesterday became treasurer of the party, has revealed the SNP still has not paid back the full amount of a loan from ex-chief executive Peter Murrell, Nicola Sturgeon’s husband.

“I think there is money still absolutely outstanding to Peter Murrell in terms of the repayment of the loan,” said the SNP leader.

Penny Mordaunt compares SNP drama to ‘episode of Taggart’

15:50 , Liam James

Penny Mordaunt, leader of the House of Commons, said it has been “a very painful week” for the SNP, adding amid laughter from MPs: “For some time now, BBC Politics Scotland has resembled an episode of Taggart.”

Tory peer’s suggestion of rolling back devolution condemned by party colleagues

15:15 , Liam James

A column written by a senior Conservative peer which suggested stripping Scotland of devolved powers has been widely condemned, including by some in his own party.

Writing in the Daily Telegraph, former lead Brexit negotiator Lord Frost urged Tory ministers, “if re-elected”, to begin to “review and roll back some currently devolved powers” in light of the issues facing the SNP.

“We, the Conservative Party and the Conservative Government, have allowed this to happen,” he wrote.

More on Lord Frost’s comments and the reaction, here:

Tory peer’s suggestion of rolling back devolution condemned by party colleagues

Labour suggests MSPs under police investigation should be suspended

14:20 , Liam James

Labour has 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 First Minister Humza Yousaf should suspend MSPs who are the subject of police inquiries.

She also raised questions about the party’s auditors.

The full story can be found here:

Labour suggests MSPs under police investigation should be suspended

The ‘fresh start for Scotland’ has turned into an episode of The Thick of It | Voices

13:37 , Liam James

Andrew Grice offers his take on the shocking movements at the top of Scottish politics:

The “fresh start for Scotland” promised by Humza Yousaf when he set out his agenda as the country’s first minister turned into an episode of The Thick of It, farcically overshadowed by the arrest of Colin Beattie, the SNP treasurer.

“Of course I’m surprised that one of my colleagues has been arrested,” Yousaf unwisely told a scrum of reporters. Malcolm Tucker would have exploded.

The full piece can be found here:

The ‘fresh start for Scotland’ became an episode of The Thick of It | Andrew Grice

SNP accused of ‘poor stewardship’ of public money

12:30 , Katy Clifton

Meanwhile in Westminster, Commons Leader Penny Mordaunt has accused the SNP of “poor stewardship” of public money.

Responding to shadow Commons leader Thangam Debbonaire, she said: “(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 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.”

12:10 , Liam James

Humza Yousaf responds to a request from the Scottish Tory leader to make a statement regarding the financial storm surrounding the SNP.

The first minister said he understands he has to address these issues.

“I’m not going to shy away from that,” he said.

He went on: "What I'm doing, what we collectively as the government are doing, is focusing on the day job."

FMQs: Humza Yousaf faces MSPs amid SNP storm

12:03 , Liam James

Scottish first minister Humza Yousaf is fielding questions from MSPs at Holyrood now.

First up is Douglas Ross, Scottish Tory leader.

SNP treasurer Colin Beattie quits as party fears Sturgeon could be arrested next

11:27 , Liam James

SNP treasurer Colin Beattie has quit a day after being questioned by police investigating the party’s finances, as senior figures fear Nicola Sturgeon could be the next to be arrested (Archie Mitchell writes).

The MSP for Midlothian North and Musselburgh was taken into custody by Police Scotland on Tuesday for questioning and released without charge.

And on Wednesday Mr Beattie said he was stepping down as party treasurer “with immediate effect” and also giving up his role on the Scottish parliament’s public audit committee.

Click here for the full story:

SNP treasurer quits as party fears Sturgeon could be arrested next

Labour MP apologises after calling Humza Yousaf ‘Mohammed Yousaf’ on live TV

10:38 , Liam James

A senior Labour MP has apologised after calling Scotland’s first minister Humza Yousaf “Mohammed” during a live TV interview (Emily Atkinson writes).

Shadow secretary of state for Northern Ireland Peter Kyle made the mistake during an appearance on Sky News today, while championing Scottish Labour as a “credible alternative” to the Scottish National Party, led by Mr Yousaf.

The newly-minted first minister succeeded Nicola Sturgeon following her sudden resignation in March. Mr Yousaf took the helm just days before Ms Sturgeon’s husband, Peter Murrell, was arrested in connection with the police probe into the SNP’s finances.

Mr Kyle’s gaffe occurred during an interview with Sky News’s Niall Paterson, who asked the MP for Hove whether Mr Yousaf should suspend Ms Sturgeon from the party.

Click here for the full story:

Labour MP apologises after calling Humza Yousaf ‘Mohammed Yousaf’ on live TV

Ex-SNP chief executive Murrell seen in public for first time since arrest

10:12 , Liam James

Former SNP chief executive Peter Murrell has been seen in public for the first time since his arrest.

Nicola Sturgeon’s husband 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 the then SNP treasurer Colin Beattie on Tuesday, who was later released without charge, while a motorhome which was intended to be used for party campaigning was seized from the driveway of Mr Murrell’s mother.

Mr Murrell was spotted by the PA news agency leaving the home he shares with ex-first minister Ms Sturgeon near Glasgow on Thursday morning.

Humza Yousaf takes over as SNP treasurer

09:58 , Liam James

Scottish first minister Humza Yousaf has assumed the role of overseeing SNP finances after Colin Beattie resigned as treasurer following his arrest.

Mr Beattie was arrested on Tuesday in connection with a police investigation into the party’s finances and later released without charge “pending further investigation”.

The party leader is now required to take on the role – but told the BBC he hoped someone would be appointed to the job in the coming days.

“We’ll appoint a treasurer in the coming days, but of course, as party leader, I’ll make sure I’m overseeing the finances of the party. But we’ll appoint a new national treasurer as soon as we can,” he said.

The post is usually one elected by members, but Mr Yousaf said the party was “not going to have time” to elect someone to the role and ruled out continuing in the job alongside being party leader and first minister.

Sturgeon likely next to be arrested, say SNP sources

09:25 , Liam James

Senior members of the SNP fear that former leader Nicola Sturgeon could be the next figure to be arrested in the Police Scotland investigation into the party’s finances.

The SNP has been rocked by the arrest of former chief executive Peter Murrell and current treasurer Colin Beattie, both of whom were later released without charge pending further enquiries.

One senior SNP figure told The Independent it was likely that Ms Sturgeon would also be arrested, given that she is one of the three names believed to be on party accounts.

The leader of the SNP, Humza Yousaf, who was recently elected to replace Ms Sturgeon, is facing calls to suspend the former leader’s membership of the party along with that of her husband and Mr Beattie.

A SNP politician told The Times: “Nicola must be next to be interviewed, it’s inevitable,” with another saying: “It’s obvious there’s a list and Nicola’s name is on it.”

A third told the newspaper: “They’ve interviewed witnesses, and now they are onto suspects. It was the small fry, and now it’s the big people – it’s the way the police work.”