Scotland Act 1998 Explanatory Notes

Executive Devolution

The following functions have been made exercisable by a Minister of the Crown subject to a requirement for agreement of or consultation with the Scottish Ministers by the Scotland Act 1998 (Transfer of Functions to the Scottish Ministers etc.) Order 1999 (S.I. 1999/1750).

The Employment and Training Act 1973 (c.50), section 2(3A).

The function of the Secretary of State to authorise or direct Scottish Enterprise or Highlands and Islands Enterprise to act on his behalf in making arrangements under section 2.

The Enterprise and New Towns (Scotland) Act 1990 (c.35), section 14A.

The functions of a Minister of the Crown to confer powers or impose duties on Scottish Enterprise and Highlands and Islands Enterprise to do anything in connection with unemployment, training for employment or unemployment.

The Welfare Reform and Pensions Act 1999 (c.30)

Section 60 of the Welfare Reform and Pensions Act 1999 contains provisions for implementing Employment Zones. Prototype Employment Zones have been operating under earlier legislation.  The new powers in the Act enable schemes to be set up in designated areas where special benefit rules can apply.  In order to help participants back to work, the schemes allow them to anticipate funding for up to 6 months' worth of spending on training and jobsearch, combined with money equivalent to the payments they would normally receive from the jobseeker’s allowance.  The powers in the Act also enable the Secretary of State to provide a wider range of support for activities within the Zones which help people to get and keep work, including support for unemployed people who are seeking to become self-employed.

Section 60(5)(c)(i) enables the Secretary of State to make payments to persons providing facilities which are designed to assist claimants for jobseeker’s allowance to obtain sustainable employment.

S.I. 2000/1563 enables the Scottish Ministers to make payments under section 60(5)(c)(i), if they wish to do so, in so far as they consider that the facilities are capable of supporting training of persons for employment.  If that criterion is satisfied, the Scottish Ministers will be able to fund any eligible activity within an employment zone in Scotland.  This function is to be exercisable by the Scottish Ministers concurrently with the Secretary of State for Education and Employment.

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