Lochaber Smelter "monitoring reports" extracts: FOI release

Information requested

I am requesting specific extracts from the "monitoring reports" produced by external advisors (Deloitte, Teneo, or similar) regarding the Scottish Government's financial guarantee to the GFG Alliance (Alvance British Aluminium) for the Lochaber Smelter.

Please provide:

1. The "Risk Dashboard" Only: The single page or section from the two most recent quarterly monitoring reports (covering late 2024 and 2025) that displays the "RAG Status"
(Red/Amber/Green) or equivalent "Risk Rating" for the counterparty.

• Clarification: I am not requesting the detailed commercial trading data, cash flow forecasts, or proprietary operational figures, which I accept may be exempt under Section 33(1)(b). I am requesting only the top-level risk classification (e.g., the colour or rating code) assigned to the project by the government's advisors.

2. Breach Notifications: A schedule of any formal "Reservation of Rights" letters or "Notices of Default" issued by the Scottish Government to any GFG Alliance entity between 1 January 2024 and the date of this request.

3. Advisory Spend: The total amount (£) paid to Deloitte and Teneo for advice related to the GFG Alliance/Lochaber Guarantee during the financial year 2024-2025.

Response

In response to the first part of your request (the Risk Dashboard from the quarterly monitoring reports produced by external advisors) - the Scottish Government does not hold this information.

This is a formal notice under section 17(1) of FOISA that the Scottish Government does not have the information you have requested in respect of this part of your request.

In response to the second part of your request (schedule of any formal "Reservation of Rights" or "Notice of Default" issued by the Scottish Government to any GFG entity).

While our aim is to provide information whenever possible, in this instance we are unable to provide the information you have requested because an exemption under section 36(1) of FOISA applies to that information.

An exemption under section 36(1) of FOISA (confidentiality in legal proceedings) applies to the information requested because any such letters would constitute legal advice and disclosure would breach legal professional privilege.

This exemption is subject to the ‘public interest test’. Therefore, taking account of all the circumstances of this case, we have considered if the public interest in disclosing the information outweighs the public interest in applying the exemption. We have found that, on balance, the public interest lies in favour of upholding the exemption. We recognise that there is some public interest in release as part of open and transparent government, and to inform public debate. However, this is outweighed by the strong public interest in maintaining the right to confidentiality of communications between legal advisers and clients, to ensure that Ministers and officials are able to receive legal advice in confidence, like any other public or private organisation.

In response to the third part of your request (total amount paid to Deloitte and Teneo for advice related to the GFG Alliance/Lochaber Guarantee during financial year 2024/25).

I can confirm that the amount paid to Deloitte by the Scottish Government in financial year 2024/25 for advice relating to GFG Alliance/the Lochaber Guarantee was £551,990.00, including VAT.

The Scottish Government did not make any payments to Teneo in financial year 2024/25 for advice relating to GFG Alliance/the Lochaber Guarantee.

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