Aberdeen Bypass Completion Vow

Construction of the controversial Aberdeen bypass will not be delayed as a result of a change to how the project is classified, the Deputy First Minister insisted.

John Swinney stressed the Aberdeen Western Peripheral Route (AWPR) would be completed on time and on budget'' by winter 2017.

He was speaking after the Office for National Statistics (ONS) ruled the £745 million road must be classed as a public sector project, putting it on to the Scottish Government's balance sheet.

It had previously been classified as being delivered by the private sector, as it is being funded by the non-profit distribution (NPD) scheme which uses private finance but caps the profit that firms can make.

The classification of the bypass was reviewed by the ONS as a result of changes to European technical guidance.

Two other projects being funded the same way, the Dumfries and Galloway Royal Infirmary and the new Edinburgh Royal Hospital for Sick Children, will also be reviewed - although the Scottish Government has stressed it also expects these to be built within the existing timetable and budget.

However, Mr Swinney said he is considering if changes need to be made to the Hub model, which delivers some NPD projects.

As a result, he conceded there is likely to be some further impact of the delivery timetable for Hub projects that are in the current pipeline''.

The Deputy First Minister has pledged to report to MSPs on the issue after Holyrood gets back to business following its summer recess.

He also said the Scottish Government would give further consideration to the contractual arrangements that apply to the AWPR, with a view to securing a private sector classification''.

Mr Swinney stated the change is a statistical accounting classification and has no impact on the cost or delivery timetable of the AWPR or the two NHS projects that the ONS has also indicated it will review''.

The Deputy First Minister insisted: We fully expect these projects to be completed on time and on budget - as they are currently on track to do.''

Mr Swinney said: Infrastructure investment is at the heart of our economic strategy - delivering jobs, increased economic activity and productive assets of benefit to the people of Scotland.

The programme of revenue-financed NPD/Hub projects has played an important role in maintaining investment - with two projects worth £29 million completed and another 18 under construction.

Each additional £100 million of public sector capital spending in 2015-16 is estimated to support around 1,000 full-time equivalent Scottish jobs, just over half of which are in the construction sector.''