© SPCB 2003

Scotland's public spending watchdog has slammed the mismanagement of the Holyrood building project.

In a 92-page report which makes bleak reading for the taxpayer, the auditor general says a series of problems concerning the contract have resulted in significant delays and cost over-runs.

The difficulties of delivering the Holyrood building using the construction management method of procurement "lie at the heart of the problems that arose", says the report.

"The main reasons for construction cost increases after 2000 were design development and delay in the construction process," said Robert Black in a report delivered to a Scottish parliament committee.

Black concluded that the management of the project was seriously remiss.

"The project management is responsible for managing its consultants and controlling and assessing their performance," he said.

"The project management should have done more to address the root causes of the problems, which were adversely affecting the cost and programme.

"The main reasons for construction cost increases after 2000 were design development and delay in the construction process."

The SNP said the Scottish government's mismanagement had resulted in the waste of over £200 million.

Fergus Ewing said the errors "lay in a wholly unrealistic timetable, the choice of site, the mismatch of the architectural team, the choice of construction management, where the client - the taxpayer - picks up the tab, and the selection of a construction manager whose bid was substantially more than the lowest bidder".

"The report identifies what the extra cost has been as a result of the failures in the process, and particularly design slippage," he added.

"Whether the building is a good one or not is for the public to decide. But it is clear from this report that it has cost one third more than it should have, had the procurement and contract management process been properly organised."