Labour MSP James Kelly points to the deficit in the GERS figures and asks what areas would be cut if Scotland gained independence.

Mr Mackay argues the deficit could be reduced while public spending increases in real terms.

Tory MSP Murdo Fraser says the minister forgot to mention the union dividend is now at £1,882 and this would be threatened by separation from the UK.

Mr Mackay disagrees and says smaller countries are doing better economically and that's because they have independence.

Finance Secretary Derek Mackay says the GERS figures indicated improvements in Scottish finances before warning that this is threatened by Brexit.

Employment, productivity and inward investment are highlighted as particularly positive areas.

Scotland's public finances have continued to show some improvement over the past year, according to Scottish government statistics.

TheGovernment Expenditure and Revenue Scotland (Gers), external report said the country spent £13.4bn more than it raised in taxes in the past financial year.

The deficit as a percentage of the country's GDP dropped from 8.9% to 7.9% - still four times higher than the UK.

The UK's spending deficit dropped by £6.4bn to £39.4bn in 2017/18.

• Read more
• Gers: One report, many interpretations
• What is Gers and how is it calculated?
• Read the Gers report, external
• Gers: Who's 'subsidy', and where?

SNP MSP Richard Lyle asks about the recent GERS figures.

MSPs now have the opportunities to quiz ministers in charge of finance and the constitution portfolio.

Image source, Thinkstock

This afternoon, portfolio questions focus on the economy, jobs and fair work, followed by finance and the constitution.

Then Mr Swinney will make the aforementioned statement to the chamber on Scottish National Standardised Assessments - following concerns that surfaced over summer over testing of P1 pupils.

After that, we're back to the programme for government debate - today focusing on the economy - until 5pm.

Keith Brown will then lead his first member’s debate since returning to the backbenches and he’s celebrating the University of Stirling’s sporting excellence.

Convener James Dornan thanks the cabinet secretary for his attention and moves the committee to private session.

Image source, PA

Changes to the controversial system of national assessments for Scottish school pupils have been announced.

Ministers said questions which had caused "issues" for primary one pupils will be altered, and more advice will be offered to teachers.

Education Secretary John Swinney has alsowritten an open letter to parents of P1 children, externalin an attempt to allay fears over the assessments.

However, the EIS teachers' union said it still had "serious concerns".

• How do tests for P1 pupils work?
• Swinney defends tests for P1 pupils
• Campaign to boycott P1 tests

The standardised assessments for pupils in P1, P4, P7 and S3 were introduced across Scotland last year.

Opposition parties have called for the scrapping of the P1 tests, which are designed to measure children's literacy and numeracy.

Read more here.

Lib Dem MSP Tavish Scott pivots to P1 tests, asking about changing advice on parents' ability to withdraw children from assessments.

Mr Swinney refers the committee to the statement coming up in the chamber this afternoon.

He argues that advice has been consistent in that there is no legislative provision for standardised assessments.

This means there is no legislative right to withdraw a child from assessment, the minister explains.

Mr Swinney says the Society of Local Authority Lawyers in Scotland (Solar) did not provide a collective position and that was not appropriately presented in the letter to parents.

Image source, bbc

SNP MSP George Adam says he is beginning to doubt whether he has been in the same room as some of his colleagues today, insisting the EIS and Cosla were positive about the agreement this morning.

Scan down our posts to see if you concur with Mr Adam's assertion.

Mr Swinney says the agreement with councils is a very sound basis for proceeding with the education agenda.

John Swinney has previously said an education bill would take some 18 months to enshrine in law, but that length of time was being questioned by the education sector which voiced a desire for a "head teachers' charter" to be delivered "faster, with less disruption, in partnership with local authorities".

What powers will headteachers get under the charter?

• They will "design" their local curriculum in line with Curriculum for Excellence
• Head teachers will be responsible for deciding their school's "improvement priorities" and enact a plan based on those priorities
• They will choose their own staff with regard to employment law and the contractual obligations of their local authority
• And head teachers will make decisions on how to spend their budgets

Labour MSP Johann Lamont wonders why the Scottish government has opted for a headteachers' charter over a schools' charter.

Mr Swinney points to the agreement with Cosla which refers to the headteachers' charter, highlighting that headteachers must work collaboratively with partners.

He argues the charter will deliver the same objective as the legislation would have.

Ms Lamont says parents, unions and teachers have expressed concern about the model.

Ms Smith follows previous MSPs in asking how progress will be judged.

Anybody who wants to see whether we are maknig progress will be able to look at the indicators in the framework which will show whether the attainment gap is being closed or not, Mr Swinney replies.

He says parents should look at the reporting on the framework that the government published last December.

Image source, bbc

Ms Smith asks if there is no improvement in the attainment gap and no improvement in numeracy and literacy by next year, will he reintroduce the bill.

Mr Swinney answers that progress on the closure of the attainment gap will not influence his decision on this, as it is influenced by a whole host of factors.

He says his decision on whether or not to bring back legislation will be made on how much progess has been made on the implemation of the agreement with Cosla.

The Scottish government shelved its flagship Education Bill in June after claiming key reforms can be introduced more quickly without changing the law.

Nicola Sturgeon previously said the bill would be the most radical change to how schools are run since devolution.

But it faced opposition from teaching unions and some opposition parties.

Some of the proposals will now be introduced through an agreement with councils instead.

The deal with local authority body Cosla includes proposals to give head teachers more say over the curriculum, budgets and staff recruitment at their schools.

But plans to disband the General Teaching Council for Scotland governing body and set up a new Education Workforce Council in its place have been ditched.

Read more.

Tory MSP Liz Smith presses the cabinet secretary on his decision to shelve the Education Bill.

Mr Swinney explains the progress on regional improvement collaboratives gave him confidence that a non-legislative path could be used.

Other advice he received was that legislation would not make as much progress as had already been made on the regional collaboratives.

Committee convener James Dornan asks if Mr Swinney can envisage bringing back legislation before June 2019, if the collaborative working has been going on with Cosla, even if "we've hit some bumps".

Mr Swinney says he cannot envisage that situation as the agreement with local government has been reached in good faith.

He insists he has no reason to believe that the climate of good progress will change.

The education secretary insists the policy intention of the government has not changed.

What has changed is the approach, he says, as cultural change requires collaboration and legislation would not necessarily deliver this.

Tory MSP Oliver Mundell suggests that it would be difficult to measure progress in empowering schools without tangible targets.

Mr Swinney says progress is already been made on the implementation of the agenda, while legislation would likely have delayed this until autumn 2020.