‘Scotland’s Budget Must Put Equality Education, Cultural Understanding and Inclusion at Its Heart’

WEDNESDAY’s UK Budget presents an important opportunity to consider how public investment can support a fairer, safer and more inclusive Scotland (writes FOYSOL CHOUDHURY).

While decisions about funding are often discussed in terms of economic growth, public services and household costs, we must also consider how investment can help tackle discrimination, strengthen relationships between communities and protect people from hatred.

As Scotland considers its Budget priorities, I hope the Scottish Government will recognise the importance of investing in equality education, cultural understanding and community safety. Public spending is not just about financial figures; it is also about the opportunities we create for young people and the kind of society we want to build.

As a former Member of the Scottish Parliament (MSP), I spent considerable time working with communities, raising concerns about discrimination and advocating for equality. My parliamentary questions, meetings and engagement with educational institutions and community organisations reflect my longstanding belief that everyone should be able to live, learn and practise their faith without fear of prejudice or intimidation.

I believe the Scottish Government should work closely with third-sector organisations, schools, colleges and universities to ensure that equality education receives appropriate funding and support. Young people should have opportunities to learn about different cultures, religions and traditions, understand one another’s experiences and challenge prejudice wherever they encounter it.

My commitment to this work comes from years of community engagement, including my time as an MSP, my work as Chairman of Edinburgh and Lothians Regional Equality Council (ELREC), and my role as Convenor of the Scottish Parliament’s Cross-Party Group on Challenging Racial and Religious Prejudice.

Drummond Community High School has a particularly important place in my life. I attended the school, and my family has maintained strong links with it over the years. As Chairman of ELREC, I supported initiatives bringing the school and community organisations together, including the Refugees’ Voices event in December 2016.

This initiative helped connect refugees with organisations offering advice and support on education, housing, healthcare and other important issues. I also supported the school’s football team and helped with football coaching. These experiences reinforced my belief that education, sport and community engagement can bring people together and help young people understand the value of diversity.

Beyond my connection to Drummond Community High School, my work has extended across numerous schools, colleges, and educational institutions throughout Scotland. Each plays a vital role in supporting young people at different stages of their development. My engagement with institutions like Edinburgh College, alongside the many schools I have visited, reflects the importance I place on listening directly to students and creating inclusive educational environments where people from all backgrounds can learn, develop, and progress.

Schools and colleges should be places where students feel respected and supported, regardless of their ethnicity, religion or background. I hope the Scottish Government will work with these institutions to ensure they have the resources, training and partnerships needed to promote equality, inclusion and mutual respect.

During my time as an MSP, I used parliamentary questions to raise concerns about discrimination affecting young people and students. I believe elected representatives have a responsibility to listen to the experiences of those affected by prejudice and bring their concerns directly to government.

On 23 June 2022, I asked the Scottish Government about action to protect Muslim communities from Islamophobic incidents and progress on the Hate Crime Strategic Partnership Group. This reflected my concern that people must be able to practise their religion and participate in society without fear of hostility.

On 17 January 2023, I sponsored a Scottish Parliament event entitled Islamophobia, Education, and the Future, organised by the Community Policy Forum. The event brought together people concerned about the relationship between education, discrimination and the experiences of minority communities.

On 29 November 2023, I lodged written parliamentary question S6W-23363, asking what action the Scottish Government had taken to improve the reporting and recording of Islamophobia in schools, colleges and universities. On 4 December 2023, I lodged a further question, S6W-23522, seeking an update on progress in implementing recommendations from the Scottish Islamophobia inquiry.

On 26 June 2024, I raised concerns about making hate crime reporting more accessible in a parliamentary question. People who experience discrimination or religious hatred must have confidence that they can report incidents and that their concerns will be taken seriously.

I returned to these issues on 28 November 2024, asking about ministerial discussions on tackling Islamophobia and progress on recommendations concerning a definition of Islamophobia and a workplace discrimination toolkit. On 20 December 2024, I lodged further parliamentary questions, S6W-32712 and S6W-32713, seeking updates on implementing recommendations from the Scottish Islamophobia inquiry and its 2023 update.

These questions reflect a simple principle: discrimination must not be ignored. Students deserve to feel safe in their educational environments, and incidents of racism and religious prejudice must be recorded, investigated and addressed appropriately. Educational institutions need clear procedures, effective support for those affected and the resources to turn equality policies into meaningful action.

My concern about the experiences of students was also reflected in my parliamentary work on racist bullying. On 12 June 2025, I asked the Cabinet Secretary for Education and Skills how the Scottish Government was ensuring schools tackled racism and racist bullying. I raised the case of a pupil who had experienced prolonged racist bullying and asked how anti-racism resources were being put into practice. I also asked whether the Cabinet Secretary would meet me and the pupil’s mother to hear directly about the impact of the bullying.

I believe it is essential that young people and their families are listened to when they raise concerns about discrimination. Policies and guidance are important, but their effectiveness must be judged by whether they improve pupils’ everyday experiences. Schools must be equipped to respond to racist bullying, support those affected and take appropriate action when incidents occur.

Teachers and school staff also need suitable training and resources to recognise discrimination and create inclusive learning environments. No child should feel that their ethnicity, religion or cultural background makes them less welcome at school. Every pupil deserves to learn in an environment where they feel safe, respected and able to fulfil their potential.

As Convenor of the Scottish Parliament’s Cross-Party Group on Challenging Racial and Religious Prejudice, I worked to bring together parliamentarians, equality organisations, academics, faith representatives and community groups to discuss discrimination and identify practical ways to improve understanding between communities.

The group provided an important forum for discussing Islamophobia, racism, religious intolerance and the experiences of people affected by prejudice. It also offered opportunities to consider how government, public institutions and community organisations could work together to address these issues. The group’s discussions highlighted concerns about racial and religious hatred, threats against places of worship, online misinformation and the need for stronger cooperation between communities.

These issues cannot be addressed by one organisation or institution acting alone. Parliamentarians, government departments, police, educators, faith leaders and third-sector organisations all have a role to play. As Convenor, I considered it important to ensure that these conversations continued and that the experiences of affected communities informed discussions about policy and practical action. My parliamentary questions on the implementation of recommendations from the Scottish Islamophobia inquiry were part of this wider commitment, driven by the belief that recommendations must lead to tangible improvements in reporting, education, public awareness and the treatment of victims.

I am particularly concerned about the damage that inflammatory political rhetoric and misinformation can cause to community relations. Politicians have a responsibility to recognise that their words can influence public attitudes. Robust debate and disagreement about public policy are essential parts of democracy, but they should never become excuses for stigmatising entire communities or encouraging hostility towards people because of their ethnicity or religion.

When politicians or other influential voices repeatedly spread misleading claims about minority communities, the consequences can extend beyond political debate. Such rhetoric can deepen divisions, reinforce stereotypes and contribute to an environment in which people feel targeted or unwelcome.

Online misinformation can make these problems worse by allowing false claims and hostile messages to spread rapidly. We must challenge inaccurate information, encourage responsible public debate and ensure that people are able to discuss difficult issues without being subjected to racial or religious hostility.

We must challenge Islamophobia, antisemitism, racism and all forms of religious hatred consistently. No community should be singled out for hostility, and nobody should be excused from responsibility for encouraging hatred because of their political position or public profile.

Freedom of expression and political debate must be protected. At the same time, threats, harassment and incitement to violence must be taken seriously and addressed in accordance with the law.

Education and dialogue are essential, but they must be accompanied by practical measures to protect people. The Scottish Government should work with Police Scotland, local authorities, faith leaders and community organisations to ensure that appropriate security arrangements are available to communities facing credible threats. This includes effective systems for reporting hate incidents, timely investigations, support for victims and appropriate security advice for places of worship and community facilities.

Police officers need the resources and training required to respond effectively to hate crime and protect the public. People must have confidence that when they report threats or incidents of hatred, their concerns will be taken seriously. Online threats and incitement to violence must also be addressed.

The relevant authorities should enforce existing laws effectively, investigate credible threats and work with appropriate partners to tackle harmful online activity, while respecting freedom of expression and civil liberties.

Security measures must be proportionate and evidence-based. Protecting one community must never come at the expense of the rights of another. Security is not simply about preventing an attack; it is also about ensuring that people can attend school, go to work, visit their places of worship and participate in public life without fear.

Third-sector organisations are essential partners in promoting equality and preventing discrimination. They often have direct relationships with communities and understand the barriers people face when experiencing racism, religious prejudice or social exclusion.

These organisations can provide support to individuals, build relationships between communities and help educational institutions develop more inclusive approaches. Their knowledge and experience should be valued when the Scottish Government develops policies and makes decisions about public spending.

As Chairman of ELREC, I recognise the importance of supporting organisations that work directly with people affected by discrimination. Their work can help ensure that individuals understand their rights, receive appropriate support and have opportunities to participate fully in society.

I hope the Scottish Government will establish and maintain meaningful partnerships with equality organisations, schools, colleges and universities. These partnerships should be supported by appropriate funding, long-term planning and clear objectives. Practical initiatives could include training for teachers, culturally inclusive learning resources, opportunities for students to engage with people from different communities and programmes that help young people understand different faiths and traditions. Sustainable funding is essential if organisations are to plan effectively and provide consistent support to communities.

As Scotland considers the implications of yesterday’s UK Budget, I hope ministers will give serious attention to the resources required to promote equality, improve education and protect communities.

The UK Budget affects the funding available to Scotland, but it does not automatically guarantee additional spending on equality education or community security.

The Scottish Government must make its own decisions about devolved spending priorities and ensure that public money is directed towards areas where it can make a meaningful difference.

I believe equality education should be recognised as an important investment in Scotland’s future. Schools, colleges and universities need appropriate support to create inclusive learning environments, while third-sector organisations need the resources to continue their work with communities.

The Scottish Government should consult the organisations and institutions that have direct experience of these issues, listen to students and families affected by discrimination, and assess whether existing policies are delivering meaningful improvements.

Investment should support prevention as well as responses to incidents when they occur. By helping young people understand different cultures and religions, we can challenge prejudice earlier, strengthen relationships and encourage greater respect across communities. At the same time, government must ensure that appropriate security, reporting and support arrangements are available to those who experience threats or hatred.

My experience as an MSP, Chairman of ELREC and Convenor of the Cross-Party Group on Challenging Racial and Religious Prejudice has reinforced my belief that lasting change requires cooperation.

My engagement with schools, colleges, universities, students and community organisations has also demonstrated the importance of listening to people and understanding their experiences. These relationships can help identify challenges, encourage constructive dialogue and develop practical ways to make educational institutions and communities more inclusive.

Students, teachers, families, community organisations, faith leaders and public institutions all have a part to play in building a society where people feel safe and respected. As Scotland considers its Budget priorities, I hope equality education, cultural understanding and community safety will receive the attention they deserve. We must invest not only in what young people learn, but also in how they learn to understand and respect one another.

Equality education, community safety and inclusion are connected responsibilities. By supporting all three, Scotland can build a society in which diversity is valued, discrimination is challenged and everyone has the opportunity to belong and thrive. Everyone deserves to live in a country where they can pursue their education, practise their faith and participate in public life without fear.

That is the Scotland we should continue working towards.

Foysol Choudhury MBE is a former Member of the Scottish Parliament and Chairman of Edinburgh and Lothians Regional Equality Council (ELREC)

Expansion of breakfast clubs

Funding for national rollout by August 2027

New funding will allow every primary pupil in Scotland to access a breakfast club, the First Minister has said.

The Scottish Budget will provide an additional £15 million in 2026-27 to expand breakfast club provision and help schools, councils and third sector partners prepare for the introduction of universal breakfast club services by August 2027.

The Scottish Government then plans to invest £44 million per year from 2027-28 to deliver the clubs for all primary school children in Scotland who want to access them. Every pupil attending a school specifically for children with additional support needs will also benefit.

Breakfast clubs not only give children a nutritious meal before school starts, they can also help improve school attendance and confidence in children, and the option of an early drop-off means parents have more flexibility so they can work or study.

First Minister John Swinney said: “My government is focused on delivering the priorities of the people of Scotland and through our budget, we are acting to provide help with the cost of living and doing all we can to eradicate child poverty.

“We know extending the school day before and after class can help children and their parents, particularly families who might be struggling with balancing the demands of getting to work early as well as the cost of the weekly food shop.

“Breakfast clubs are a perfect example of how we can give families the option of some extra support. Children can get a healthy start to their day as they eat breakfast and play with their friends, while parents are better able to get to work, or to take up training or study, knowing their children are being well looked after – there are clear benefits for the whole family.   

“That is why we will invest £44 million each year to deliver a national breakfast club programme across all primary and special schools from August 2027, with the Scottish Budget investing £15 million in the coming year to support the expansion and help partners prepare.”  

Scottish Budget 2026-27 – gov.scot

Scottish Government funding through the Bright Start Breakfasts programme currently supports 490 clubs and up to 20,000 children.

The 2026-27 Scottish Budget will provide £3 million to continue to support existing Bright Start Breakfasts clubs and a further £15 million to help prepare for expanded provision from August 2027. 

A universal breakfast club offer will be available to all children attending primary or special schools in Scotland.

Reeves: £550 boost for millions of pensioners next year

MORE BUDGET DETAILS ANNOUNCED

  • The Chancellor is expected to announce that 13 million pensioners are set to benefit from an above inflation rise to the State Pension next April.
  • Those on the full rate of the new State Pension are set to receive over £550 a year more.
  • Pensions boost comes ahead of the Budget where the Chancellor will take the fair choices to cut NHS waiting lists, cut national debt and cut the cost of living.  

13 million pensioners are set to see their State Pension increase faster than inflation next April thanks to the Government’s commitment to the Triple Lock.

From next April the rate of the full new State Pension is expected to increase to just over £240 a week.

This is an increase worth over £550 a year, an extra £120 compared to what it would have been if it had been uprated only by inflation. The full basic State Pension is expected to rise by around an extra £440 a year.

Tackling the cost of living is at the centre of this week’s Budget, and this announcement comes following government action to freeze rail fares and prescription fees next year saving working families millions of pounds.  Government is also cracking down on ticket touts that will cut costs for music lovers across Britain.

At the Budget the Chancellor will go even further to bring down bills, tackle inflation, and grip the cost of living.

Chancellor of the Exchequer Rachel Reeves said: “Whether it’s our commitment to the Triple Lock or to rebuilding our NHS to cut waiting lists, we’re supporting pensioners to give them the security in retirement they deserve.  

“At the Budget this week I will set out how we will take the fair choices to deliver on the country’s priorities to cut NHS waiting lists, cut national debt and cut the cost of living.”

The government ‘is committed to supporting pensioners’, and this boost will ensure the State Pension remains the foundation of a secure retirement. The Triple Lock guarantees that the State Pension increases annually by the highest of inflation, average earnings growth or 2.5 per cent.

This comes alongside other support for the most vulnerable pensioners through Pension Credit, worth on average £4,300 a year, and Winter Fuel Payments for nine million pensioners in England and Wales with an income of, or below, £35,000 a year.

Chancellor expected to further protect those on the National Minimum Wage at Budget

  • Government to crackdown on those not paying employees National Minimum Wage
  • Set for more regular public naming and shaming employers breaking the rules
  • This comes after Government introduces the biggest upgrade to workers’ rights and enforcement for a generation

The Chancellor is expected to announce reforms to protect those on the National Minimum Wage, ensuring that no employer can exploit vulnerable workers.

As part of these plans, the Government will introduce more regular naming and shaming rounds – publicly naming employers found to have broken minimum wage rules and clearing the case backlog inherited by the previous government.

These changes will mean businesses breaking the rules will have no place to hide, and those on the minimum wage will be further protected by this Government.

This comes as the Chancellor is set to deliver a Budget that makes the fair choices to deliver on the country’s priorities to cut NHS waiting lists, cut national debt and cut the cost of living.

Last month 500 employers failed to pay the minimum wage to around 42,000 of the country’s lowest-paid workers. Big name brands were among those forced to reimburse employees and faced fines totalling £10.2 million for breaking the rules.

The Government is sending a clear message that it will not tolerate those who short-change their workers, regardless of their size or sector.

This action comes as the Government introduces the biggest upgrade to workers’ rights and enforcement for a generation through its Plan to Make Work Pay, which is set to directly benefit around 15 million workers – half of all UK employees.

An HMT source said: “This Government is cracking down on unscrupulous employers to protect the country’s lowest paid workers and ensure fair pay for hard work.

“We are sending a clear message – those who short-change their staff will not be allowed to hide.”

Chancellor urges investigation into hidden dentistry charges

  • As part of the government’s drive to bring down the cost of living, the Chancellor has written to the Competition and Markets Authority (CMA) urging them to launch a market study into private dentistry costs and practices. 
  • There are increasing concerns that patients are paying more than they should because of hidden costs, overtreatment and lack of information on price, ownership and quality of treatment. 
  • It comes alongside reports of private practices offering to take on children of customers as NHS patients only if parents sign on as private patients.  
  • The Chancellor also informed the CMA that following their investigation into petrol forecourts and recommendations to bring greater price transparency, Motorists will start to see data in their mapping apps, satnavs and price comparison websites which will let them know where to get the best price at the pump for fuel in their local area early next year.  
  • This scheme was a recommendation made by the Competition and Markets Authority after they found that the amount retailers make in profit on every £1 spent on fuel has more than doubled at some supermarkets, with similar increases at other forecourts. 
  •  During this time, this government has kept fuel duty frozen to support households and businesses, which suggests that savings on fuel duty have not been passed onto customers 
  •  Fuel providers will have to report changes to fuel prices in near real time so that savvy drivers can compare to get the best price. Government officials estimate that this could knock £40 a year off a household’s annual fuel bill or up to 6p a litre.   
  • With prices openly available, this is also an incentive for fuel providers to offer drivers more competitive prices.   
  • The Chancellor also confirmed that the government is ready to act on the CMA’s recent investigation into the veterinary sector, with further details due to be set out in due course 
  • This comes as the Chancellor prepares for the Budget next week of which tackling the cost of living is a key priority while also focusing on continuing to cut waiting lists and bring down the national debt. 

Chancellor of the Exchequer Rachel Reeves said: “The scourge of hidden costs, lack of transparency and overtreatment has blighted families in need of dental treatment for too long.

“That’s why I want to see urgent action taken to help reduce prices, whilst the cost of living still puts pressure on families across the country.

“At next week’s Budget I’ll set out the fair choices I will take to deliver on the public’s priorities: cutting NHS waiting lists, cutting national debt and cutting the cost of living.”  

UK Government ‘must scrap punitive welfare policies’

Social Justice Secretary urges Chancellor to remove two-child limit and benefit cap

Ahead of a series of meetings in London today with child poverty charities, Social Justice Secretary Shirley-Anne Somerville has urged the UK Government to take action to tackle child poverty in its forthcoming Budget, including immediately scrapping the two-child limit and the benefit cap.

Ms Somerville has called on the UK Government to fully scrap the two-child limit on benefits, which pulls 109 children into poverty every day, while also removing the benefit cap at the same time, which limits the total amount of benefit a person can receive.

Subject to parliamentary approval, the Scottish Government plans to mitigate the two-child limit from March next year, through a new Two-Child Limit Payment worth £292.81 a month for eligible recipients. Estimates show this will keep 20,000 children out of relative poverty next year. 

The Scottish Government is spending £100 million this financial year, through the Discretionary Housing Payment scheme, to mitigate the benefits cap as far as possible within devolved powers.

Ms Somerville said:  “Once again, I am making it clear that the UK Government must fully scrap the two-child limit and the benefit cap as soon as possible. These policies should be confined to the darkest days of austerity and the UK Budget must bring this period to an end.  

“In a country as rich as ours, no child should have to live in poverty. The UK social security system is supposed to be there to ensure a basic standard of living, reduce poverty and inequality and help people through the toughest of times.

“That is why the Scottish Government has made bold decisions – like introducing the Scottish Child Payment and investing in our devolved social security system. Child poverty rates are now lower in Scotland than the rest of the UK and relative child poverty rates in Scotland are at their lowest level in almost a decade.

“I call on the Chancellor to follow our example by scrapping the caps, match the Scottish Child Payment and introduce an essentials guarantee, which would ensure Universal Credit actually covers the costs of life’s essentials, such as food and fuel.”

There have been strong indications that the Chancellor will indeed scrap the Two Child Linit when she announces her Budget later this month.

Chancellor: ‘I will take the fair choices to secure our future’

RACHEL REEVES PREPARES TO BREAK TAX PROMISE

TODAY (Tuesday 4 November), the Chancellor, Rachel Reeves, will ‘vow to take the fair choices to deliver strong foundations for our economy and secure our country’s future’.

In a speech delivered in Downing Street this morning, the Chancellor will address the country as she lays out the economic choices she will take at the Budget later this month to cut hospital waiting lists, cut the national debt and cut the cost of living.

The Chancellor is expected to say: “Later this month, I will deliver my second Budget as Chancellor.

“At that Budget, I will make the choices necessary to deliver strong foundations for our economy – for this year, and years to come.

“It will be a budget led by this government’s values, of fairness and opportunity and focused squarely on the priorities of the British people:

“Protecting our NHS, reducing our national debt and improving the cost of living.

“You will all have heard a lot of speculation about the choices I will make.

“I understand that – these are important choices that will shape our economy for years to come.

“But it is important that people understand the circumstances we are facing, the principles guiding my choices – and why I believe they will be the right choices for the country.“

Chancellor’s ‘Scene Setter’ speech ahead of Budget 2025

Later this month, I will deliver my second Budget as Chancellor of the Exchequer.  

At that Budget, I will make the choices necessary to deliver strong foundations for our economy. 

My Budget led by this government’s values of fairness and opportunity… 

…and focused entirely on the priorities of the British people: 

Protecting our NHS, 

reducing our national debt,  

and improving the cost of living.  

There is a lot of speculation about the choices that I will make. 

I understand that – these are the important choices that will shape the future of our country for years to come  

I want people to understand the circumstances we are facing, 

the principles guiding my choices, 

and why I believe they will be the right choices for our country. 

We are a country with considerable economic strengths: 

An open, trading economy,  

A global hub for cutting-edge industries from AI to Biotech, 

With world-leading universities and scientific institutions,  

and a talented and a committed workforce. 

[political redaction] 

At the Budget last year, I fixed the foundations: 

[political redaction] 

I put the public finances back on a firm footing,  

Provided an urgent cash injection into our faltering public services,  

And began rebuilding our economy. 

But since that Budget,  

The world has thrown even more challenges our way.  

The continual threat of tariffs has dragged on global confidence – 

Deterring business investment, and dampening growth. 

Inflation has been too slow to come down as supply chains continue to be volatile – 

Meaning that the cost of everyday essentials remains too high.  

And the cost of government borrowing has increased around the world – 

A shift that Britain – [political redaction] – has been particularly exposed to.  

And in an uncertain world, we also face pressure to increase our defence spending – and it is right that we do that… 

…protecting ourselves from hostile actors and supporting our allies. 

And there are other pressures on the public finances. 

The Prime Minister, the Secretary of Work and Pensions and this whole government are committed to reforming our welfare state… 

…so that it is not a system that counts the cost of failure…  

…but one that invests in success and protects those who need it most. 

There is nothing progressive about refusing to reform a system that is leaving one in eight young people out of education or employment. 

So, we have begun the job of creating a system that protects people who cannot work and empowers those who can. 

And there are longer-term challenges too:  

That feeling, shared by millions of people across the country that the economy isn’t working as it should. 

Alongside the Budget this month,  

The Office for Budget Responsibility – the UK’s public finance watchdog – will set out the conclusions of their review of the supply side of the UK economy. 

I will not pre-empt those conclusions…  

…but it is already clear that the productivity performance [political redaction] is weaker than previously thought. 

A less productive economy is one that produces less output per hour worked. 

That has consequences for working people – for their jobs and for their wages… 

…and it has consequences for the public finances too, in lower tax receipts.  

It’s not a question of how hard people work –  

Poor productivity means we are putting in more and getting less out. 

It means too many businesses and workers don’t have the tools they need: 

Trains that run on time,  

Broadband that’s fast and reliable, 

Access to new technologies, 

Or proper training so people have the right skills for the job.   

For a long time, commentators have talked about Britain’s ‘productivity puzzle’.  

But it’s not a puzzle.  

The causes of our economic underperformance are well understood. 

The chronic stop-go cycle of public investment has left us with roads full of potholes, high energy prices and unstable conditions for vital business investment in skills and technology… 

…and long-term failure to invest in our regions has built growth on a narrow base – with some parts of the country forging ahead while others fall behind. 

[political redaction] 

All this meant that when the pandemic arrived our country was under-prepared… 

…our public services weakened and our economy fragile. 

And we finished the pandemic with higher death rates and higher debt than our peers. 

This isn’t about relitigating old choices. 

It’s about being honest with people about the consequences those choices have had.  

It is my job to deal with the world as we find it… 

…not the world as I would wish it to be.  

Not to commentate or speculate,  

But to act. 

In my Mais lecture last year, I set out our plan for solving our productivity problem through a programme of stability, investment and reform, 

And when I became Chancellor, I  began to put that plan into action. 

Stabilising our public finances – 

Making the tax and spending decisions to get debt down and to fund our public services sustainably.  

Changing the fiscal rules to increase public investment by £120bn over the course of this Parliament… 

…and crowding in private investment too… 

For road and for rail, for housing and nuclear power. 

And reforming our economy: 

Ripping up the planning rules so we can build housing and infrastructure across the country… 

Bringing the brightest and best to our shores with a new visa regime… 

And signing trade deals with the EU, the US and India to help our businesses export around the world.  

We have begun to see the results of those plans…  

…in falling interest rates and falling NHS waiting lists… 

…in rising wages and rising investment.  

But I know that real progress takes time.  

Our growth was the fastest in the G7 in the first half of this year – but I don’t expect anyone to be satisfied with growth of 1%. 

I’m not – and I know there is more to do.  

The first part of our planning reforms will add an additional £6.8bn to the size of our economy in the next five years,  

But the next part – our planning bill – must complete its passage through Parliament before it can make a difference. 

Interest rates, which rose from 0.1% to 5.25% in the last Parliament, have now been cut five times… 

…but at 4% they are still a constraint on business borrowing and a burden on family finances. 

[political redaction] 

…and the choices I make in the Budget this month will be focused on getting inflation falling…  

…and creating the conditions for interest rate cuts to support economic growth and improve the cost of living.  

I understand the urge for easy answers. 

[political redaction] 

The UK’s national debt now stands at £2.9trillion: 

Equivalent to 95% of GDP. 

[political redaction] our borrowing costs were in the middle of the pack compared to other advanced economies… 

…but now, we have the highest borrowing costs of any G7 country. 

Today, 1 in every £10 of taxpayer’s money is spent on debt interest.  

Not on paying that debt down… 

…but just paying the interest to our creditors. 

At the Budget last year, I changed the fiscal rules to strike a careful balance: 

To invest more in capital alongside a credible plan to grow our economy and bring debt down within this Parliament. 

That was the right decision to break the cycle of low productivity and low growth. 

But that additional investment can only be delivered because markets know that my commitment to the fiscal rules is ironclad.  

Some people say we should just sidestep those rules… 

…that we can borrow more without consequences by simply reclassifying areas like defence or education. 

But no accounting trick can change the basic fact that government debt is sold on financial markets. 

There are limits on the price that banks, hedge funds and pension funds are willing to pay for our debt… 

…and we are competing constantly with other countries also selling debt . 

The more we try and sell, the more it will cost us.   

It is important that everyone – the public and politicians – understands that reality. 

The less we spend on debt interest, the more we can spend on the priorities of working people… 

…our NHS, our schools, our national security… 

…the public services essential to a decent society and a strong economy. 

At the Budget last year, I provided our public services with a vital cash injection…  

…and I’m proud of that choice: 

Proud that it [political redaction] that is providing record investment in our NHS getting waiting lists down by over 200,000 since the election, 

Proud that it [political redaction] that is investing in our children through the rollout of free breakfast clubs and free school meals, 

And proud that it [political redaction] that is funding our armed forces and remains resolute in our NATO commitments. 

The alternative is to row back on those investments: 

[political redaction] 

Stifling our economic growth, 

And weakening Britain’s foundations in an unstable world. 

I will not repeat those mistakes. 

But if we want strong public services in the decades to come, then we must recognise that productivity and efficiency are not only a challenge for business, but they are a challenge for our public sector too.  

At the Spending Review I announced £14bn of efficiencies per year to be delivered by 2029: 

Cutting government spend on consultancies, 

Getting rid of bureaucratic quangos and regulators, 

And driving efficiency through AI and digital technologies. 

But I know that there is more to do,  

In the Budget and beyond, I will continue to drive for more productive and more efficient public services, right across government… 

…making savings and rooting out waste wherever I find it.   

[political redaction] 

When I was appointed Chancellor, people put their faith in me to take our country forward… 

…not to be swayed by political convenience… 

…not to always do what is popular, but to do what is right.  

At the Budget, I will continue to deliver on the priorities of the British people:  

Cutting NHS waiting lists, cutting the national debt and cutting the cost of living.  

And in the context of the long-term challenges on our productivity and heightened global uncertainty… 

…any Chancellor of any party would be standing here today, facing the choices that I face.  

The difference is in the priorities – and the values – that will guide those choices:  

Mine will be a Budget for growth with fairness at its heart… 

…and a Budget that supports businesses – to create jobs and to innovate. 

As I take my decisions on both tax and spend… 

…I will do what is necessary to protect families from high inflation and interest rates… 

…to protect our public services from a return to austerity…  

…and to ensure that the economy that we hand down to future generations is secure, with debt under control. 

If we are to build the future of Britain together, we will all have to contribute to that effort… 

…each of us must do our bit for the security of our country and the brightness of its future. 

There is a reward for getting these decisions right, 

To build more resilient public finances – with the headroom to withstand global turbulence… 

…giving business the confidence to invest and leaving government freer to act when the situation calls for it, 

To continue to invest in our infrastructure and our industry to build a stronger economy, 

And to get the cost of borrowing down – spending less on debt interest, and more on schools and our health service. 

The Office for Budget Responsibility will make their forecasts at the end of this month… 

…but let’s be clear about what forecasts are: 

They are not visions of the future… 

…they are a look in the rear-view mirror. 

The OBR rightly make their predictions based on the data that has gone before… 

…but I do not believe that our past has to determine our future…  

…or that a stuttering economy, poor productivity and falling living standards is somehow Britain’s destiny. 

A brighter future is within our grasp. 

We were elected to break with the cycle of decline…  

…and this government is determined to see that through.  

So we will go further and faster, on planning, on the industrial strategy, on reforming to regulation… 

…all to deliver growth throughout our economy, in all parts of our country. 

We will bear down on waiting lists, on the cost of living, and on the national debt which compound these challenges… 

…and when that requires hard choices, we will act – guided by the interests of working people.  

We were elected on a commitment to put country before party; the national interest before political calculation… 

…and, whatever challenges come our way – whatever challenges come my way – we will not be swayed from that.   

At the Budget this year, I will continue to build the strong foundations to secure Britain’s future.  

For a fairer Britain 

A more prosperous Britain  

A Britain with an economy that works for everyone. 

Thank you very much.

Edinburgh Council Tax to rise by 8%

Councillors agree record spend on primary schools and extra support for social care

Millions of pounds will be spent on protecting and improving schools and crucial frontline services in Edinburgh.

Setting Edinburgh’s budget today (Thursday 20 February) councillors identified a £1.8bn spending programme focused on investing in services for children, older residents and those most in need of support.

Labour’s Budget plans were passed with Conservative and Lib Dem support.

An increase in Council Tax rates will be used to balance the budget and to increase spending on frontline services like education, social care and road safety around schools; in direct response to calls from local residents during extensive budget consultation.

Council Leader Jane Meagher said: “Together we’ve been able to deliver a balanced budget and prioritise spend on the areas residents have told us they care about most, while staying true to the Council’s core commitments of tackling poverty and climate change and ‘getting the basics right’.

“We’ve updated our plans at every step, taking stock of the thousands of responses gathered during our public consultation calling for us to invest in our frontline services.

“Residents and community groups have been loud and clear that people want spending on schools and roads to be protected, sharing concerns about the local impact of the national social care crisis, and that they’d be willing to see Council Tax raised to make this happen.

“We’ve listened and we’ve gone further – agreeing record spend on over a dozen new and existing school buildings, specific funding for road safety around schools and substantial extra money for the Edinburgh Health and Social Care Partnership.  

“We’ll be tackling Edinburgh’s housing and homelessness emergencies and investing in our communities, including money towards roads and a new Blackhall Library.  

“For all that, we have had to make many difficult decisions to make substantial savings and I’m grateful to all Councillors for their input. We remain the lowest funded local authority in Scotland, and I will continue to call for fairer funding for Edinburgh.”

Finance and Resources Convener Cllr Mandy Watt said: “Residents are aware of the financial challenges we face following years of underfunding, and they’ve told us in their thousands that they want to see vital services protected and enhanced. I’m pleased that we’ll be able to use the £26 million raised from an 8% increase in Council Tax to protect and improve these services.

“Huge pressures on health and social care and housing remain unaddressed nationally and while this Budget does everything within our power to protect local services, we need greater action to be taken at a government level.

“A huge amount of work has taken place to consider our budget options, with detailed proposals reported to Committees and tweaked in the months leading up to today’s final decision. I’d like to thank Council officers for all their work on this.”

Lib-Dem votes ensured the Labour budget was passed. Group leader Cllr Kevin Lang said after the meeting: “Very proud of what the LibDems on Edinburgh Council have just achieved.

“Thanks to us , cuts to teachers and pupil support have been stopped, there’s a record budget for road safety projects and SNP plans to cut money for road and pavement repairs have been blocked (again).”

The SNP criticised the administration’s budget as lacking any vision for Edinburgh. SNP group leader Simita Kumar said before the meeting: “It’s pretty damning.

“Labour are just rubber-stamping officer proposals without adding any political direction, what’s the point of them being in power? Zero accountability, zero vision, and zero leadership.”

Substantial spend on schools

In the highest spending on school buildings in recent years, £296m will be invested towards five new campuses (Granton Waterfront, Newcraighall, St Catherine’s, Gilmerton Station and Builyeon), five extensions (Hillwood, Queensferry and Frogston primaries, plus Castlebrae and Craigmount high schools), plus a replacement building for Fox Covert.

The council will invest an additional £30m towards upgrading special needs schools, with improvements designed to allow as many pupils as possible to see their needs met locally. 

An additional £6.6m will be spent on road safety, particularly around schools. A further £0.5m will be used to drive improvements in educational attainment and £1m will be invested in Holiday Hubs, with options to make this scheme more sustainable to be explored.

Funding will also be protected around enhanced pupil support bases, pathways for pupil support assistants, transition teachers and devolved school budgets.

Extra support for social care

Up to £66m will be spent on Health and Social Care facilities in light of increasing demands for services, a growing and aging population and the rising costs to the EIJB of delivering these services.

As part of this, councillors have agreed to set up a new Innovation and Transformation Fund – subject to match-funding by NHS Lothian – to leverage additional capital investment worth up to £16m.

Additional funding will provide support for Adult Health and Social Care worth £14m plus £5.6m will be put towards adaptations, to help people to live in their own homes independently.

Up to £2.5m from a Reform Reserve will be allocated to third sector support, plus income maximisation of £1m, following challenges with reduced funding available to charities and voluntary organisations from the EIJB.

More budget spent on roads

Responding to the results of the council’s budget consultation – where people said they’d like to see money spent on roads, Edinburgh will spend £40m on roads and transport in the year ahead.

Focusing on areas identified by a Women’s Safety survey, where certain parts of the city were described as feeling unsafe, as part of this spend the council will invest £12.5m this year and next improving roads, pavements, streetlights.

A further £6.6m will be invested in Safer Routes to School and travelling safely.

Prioritising our communities and climate

Councillors have committed to climate remaining a key priority and over the next 12 months and an additional £2.9m will support actions with city partners to address Edinburgh’s climate and nature emergencies.

Supporting a Just Transition, affordable, net zero housing including 3,500 new, sustainable homes in the £1.3bn transformation of Granton Waterfront will be taken forward.

An additional £15m is planned to sustainably replace Blackhall Library, which has been closed due to RAAC, while £0.5m will be used to increase enforcement to keep the city cleaner and safer. Around £0.5m will also be used to create better data to support local decision making.

Focused poverty prevention

Councillors have committed to accelerate the work of the End Poverty Edinburgh Action Plan, tackle the city’s Housing Emergency and review the way the council supports the third sector in Edinburgh.

Councillors agreed to continue to support the Regenerative Futures Fund which will help local communities to lead poverty prevention and deliver change.

The council will invest £50m in purchasing and building suitable temporary accommodation for people experiencing homelessness.

Following agreement of the Housing Revenue Account budget, Edinburgh will continue work to retrofit high rise blocks and spend £14.8m towards new affordable housing and upgrades to void properties, to get them back into use as homes.

Council rents will be raised by 7% to raise much needed new funds to upgrade housing, with Councillors also agreeing to increase the city’s Tenant Hardship Fund by 7% in line with this rent rise.

Changes to Council Tax

All Council Tax rates will rise by 8% from April 2025 to allow the above investment to take place. The new rates will be:

A: £1,042.34

B: 1,216.06

C: £1,389.79

D: £1,563.51

E: £2,054.28

F: £2,540.70

G: £3,061.87

H: £3,830.60

Ward 14 Question Time

Monday 10th February at 6.30pm

On Monday 10th February at 6:30pm, members of The Ripple project and residents of Ward 14 will get the chance to speak to their local councillors.

Have you ever seen Question Time or even better Debate Night? If the answer is yes, then you know how important a local event like this can be.

If not, then read the quick explainer on the event below.

Members of The Ripple project and the wider community of Ward 14 will have the opportunity to put questions to our local representatives. After a question-and-answer session each councillor will have the opportunity to detail their priorities for the upcoming year or make any other address they deem appropriate.

Tristan Green, The Ripple Community Action Worker who will be chairing the evening said: “‘I am delighted that all four of our local councillors committed to this event with such enthusiasm.

“Events like this can help reduce the barriers that make it so hard for regular people to engage with politics at a local level. It is a groundbreaking evening for this ward and I am looking forward to some healthy debate’.

Rachel Green, Director added: ‘Genuine engagement by elected members is becoming essential at a time when more and more is being asked of the third sector and local communities. 

” Only by knowing what is important to local people can our councillors serve the communities who elected them”.

Local people can submit any questions they would like to ask on the night using this form https://forms.office.com/e/FBVRMy2wFi

Four councillors currently represent the Craigentinny/Duddingston Ward:

  • Danny Aston, Scottish National Party (SNP)
  • Joan Griffiths, Scottish Labour
  • Alex Staniforth, Scottish Green Party
  • Iain Whyte, Scottish Conservatives 

This meeting is taking place ahead of the City of Edinburgh Councils budget announcement for 2025/26.

Hanover CEO calls for UK budget windfall to fund housing and care

Scottish Government urged to prioritise investment in essential services for older people

HANOVER Scotland’s CEO, Angela Currie, is urging the Scottish Government to allocate part of the new £3.4 billion funding from the UK Budget towards critical investments in social care and housing.

The budget announcement from Chancellor Rachel Reeves marked a significant increase in devolved funds, and Angela emphasises that a strategic portion of this must be directed towards empowering older adults to live safely and independently.

With a rapidly aging population, Angela warns that overlooking these essential services will only exacerbate existing pressures on Scotland’s healthcare and social systems.

Angela said: “Our first priority must be restoring the adaptation budget to its previous levels. This funding is essential for making homes safer and accessible for older adults.

“Secondly is to close the gap in subsidies for new-build social housing, enabling us to construct more affordable homes.

“Lastly, we need robust investment in social care, which is crucial for supporting our aging communities and preventing undue strain on health services.

“Investing wisely in these areas is not just beneficial but essential for a sustainable and compassionate future.”

Angela highlights that this comprehensive approach will have a long-term impact, reducing the costly burden on the NHS and enhancing the quality of life for older adults.

The need for investment is underscored by recent budget cuts that have severely impacted housing adaptation funding. The Scottish Government slashed this budget by 25%, from £11 million to £8.245 million, leaving housing associations like Hanover Scotland in a difficult position.

This reduction means older and disabled residents risk being trapped in unsafe homes or hospital beds, contributing to bed-blocking and intensifying pressure on healthcare services.

Angela said: “The modest investment required to make homes safe pales in comparison to the enormous cost of hospital stays and long-term care.

“Without adequate funding, we risk further overwhelming our health and social care systems.

“Our mission is to empower older adults to live with dignity and independence, but the current funding situation is making that increasingly difficult.

“We are calling on the Scottish Government to act now and prioritise social care and housing. This isn’t just about housing; it’s about health, safety, and the wellbeing of our communities.”

Hanover Scotland, which manages more than 4,500 homes, has been a trusted provider of housing for older adults since 1979. The organisation has been at the forefront of innovation, from pioneering sheltered accommodation to participating in urban renewal projects that promote independent living.