Cashback apps and coupon sites can provide a quick boost when times are tough, but how do you sort the savers from the scammers?
Due to the disruption of Covid-19, purse strings are a little tighter right now for many, meaning people are using cashback apps to claw back some much-needed cash.
However, not every app is worth investing your time in, with some not being exactly what they appear.
Watch out for sites that charge a hefty sign-up fee, or that ask for more personal information than you should need to provide. If a site doesn’t have clear, easy to read FAQs that spell out how to get your money and what their privacy policy is, don’t trust them.
To help consumers get the from their apps, the personal finance experts at money.co.uk have provided expert tips on some of the best cashback apps to download now. The definitive guidance will help save money on your online shopping, sorting the must have apps from the technical time wasters.
One of the most popular new reward apps, Shoppix works by building up tokens that can be exchanged for gift vouchers or cash prizes. To earn tokens, users have to take pictures of their receipts on their phone and upload them. Additionally, you can complete surveys each day to collect tokens. Tokens can be exchanged for £5, £10, or £20 prizes on the app, which are paid into your account via PayPal or in gift card format.
Top Tip: Bonus tokens are awarded for scanning receipts on the same day you make your purchase, so snap them quickly to save more!
Unlike other apps which require you to snap receipts, TopCashBack is remarkably low effort. To earn cashback, you simply have to make purchases from select retailers (brands include everything from Carphone Warehouse, to Plusnet, Sky, PrettyLittleThing, RAC and more), and you’ll receive your reward via gift cards or PayPal. The percentage of cashback you receive varies depending on the brand you’re shopping with and can also be affected by seasonal offers – so make sure to check the site regularly for the latest deals.
Top Tip: Cash isn’t always better – the amount you earn using vouchers can be 20% more than the cash equivalent, so check both options before you pick your reward.
Quidco is TopCashBack’s main rival and works in much the same way – giving you cashback on purchases through major retailers. The only real difference between the two apps is the brands that are available: Quidco has a number of household names as partners including Amazon, Argos, Boots, Just Eat and more. If you can, it’s more than worth downloading both Quidco and TopCashBack, to ensure you don’t miss out on any savings.
Top Tip: Check the estimated times on your cashback – some brands take longer than others when going through Quidco to process rewards, so make sure to factor this in when budgeting to avoid being caught short.
SwagBucks is another app that gives you rewards (or ‘SB points’) through online purchases that can then be redeemed for cash or vouchers. The big difference with SwagBucks is that as well as cashback through purchases, SB points can be awarded from completing a huge variety of surveys, games and reviews.
Top Tip: Many of the surveys and video reviews are incredibly short, so you don’t have to dedicate hours in order to save, just check in a few times a day and spend a few minutes on the app each time.
Honey is completely different to other cashback apps, in fact it’s not even an app at all – it’s a free Chrome extension – that automatically searches for discount codes and coupons when you checkout at major retailers. In essence, you don’t have to do any work at all, just download and start saving.
Top Tip: Aside from the discount code function, Honey also sends you rewards such as gift cards based on your purchases – make sure to check your inbox (and your junk) to avoid missing out.
Ask the Expert
On cashback apps, Salman Haqqi, personal finance expert at Money.co.uk says: “Cashback apps make their own money in a variety of ways; some get a commission on transactions made via major retailers, and some sell shopping trends data to third parties to make profit.
“Whichever app you use, make sure you check out their website first to identify how they use your data to check you’re happy with the terms.
“While it is possible to earn hundreds, or even thousands in some cases via cashback apps, the total saving usually boils down to how much time you’re willing to commit to using them.
“If you are time poor, try one of the apps that gives rewards on direct purchases such as TopCashBack or Quidco. However, if you do have the time to organise and scan your receipts, Shoppix or a similar receipt scanning brand will be the most profitable for you in the long run.
“Finally, if you take your rewards in gift card form, always make a note of the expiry dates, as the date might not be the same as a physical card bought in store. If you take your rewards in cash via PayPal, make sure to transfer it into another account immediately, to avoid being caught out by a refund or cancelled transaction.”
For more information on how you can use mobile apps to keep track of your cash, make money or even boost your credit rating, visit this handy guide put together by the personal finance experts at money.co.uk:
A new £15 million fund has been announced to support affordable lending services.
The fund will support Credit Unions and Community Development Financial Institutions (CDFIs) which offer financial help to those who have poor credit and are often turned away from high street banks.
Communities Secretary Aileen Campbell said: “We know the pandemic has had a financial impact on many people in Scotland and we want to strengthen services that support people with managing their money.
“Credit unions and CDFIs provide ways of saving, lending, and accessing affordable credit.
“They can be a financial lifeline for people who can’t always access what they need from high street banks, helping them to avoid riskier ways of dealing with debt, like going to pay day loan companies.”
The funding will support work which:
promotes the availability of affordable credit
strengthens the balance sheet of affordable credit providers
Organisations are being invited to submit applications by 3 March 2021, and they will be informed of funding decisions during the week commencing 8 March.
Successful applicants will receive funding by 31 March.
UNISON: ‘Local government is at the point of collapse’
UNISON City of Edinburgh branch, has raised fears about the further budget cuts being presented to the city’s full council meeting today and condemns both the Scottish and UK governments for the continuing underfunding of Local Government.
Over the past 10 years the council has seen hundreds of millions of pounds slashed from its budget resulting in hundreds of job losses, cuts to services, and the closing of third sector organisations.
“Local government is at the point of collapse and the Scottish and UK Governments have done very little to prevent its demise while at the same time due to COVID-19 has asked it to do more,” said the union’s branch secretary Tom Connolly.
“Providing services from the cradle to the grave, local government and the services it provides impact on all citizens. The continuing underfunding can have a serious impact on the effectiveness of the services being provided.”
UNISON, the biggest union representing workers in Edinburgh council, says that those employed in local government are fire fighting to keep services running, they feel undervalued and the increasing high levels of stress amongst staff is an example of the negative impact on the health and wellbeing of those staff.
UNISON’s Plug the Gap campaign https://www.unison-scotland.org/protect-our-council-services/ has called on the government to bridge the £1 billion funding gap in local Government. COSLA has also called for the action to be taken to bridge the Funding Gap.
“Everyone suffers if Local Government is not provided the funding that it needs to provide meaningful services across our communities,” added Tom Connolly.
“Staff in local government need to be rewarded and paid well for the jobs that they do, there are many low paid workers in local government providing face to face support to or most vulnerable children and adults, in school, care homes etc.
“Other council staff keep our public buildings clean, keep our roads clear, clean our streets and empty our bins, administrative and clerical workers dealing with benefits and other essential administrative tasks, all examples of low paid and undervalued workers who have continued to keep the city running.
“These workers now need to be given the value that they have always deserved and rewarded with decent pay and conditions. Clapping does not pay the bills.”
As the city council’s budget meeting gets underway, some images from budgets past:
The FCA has published a report on change and innovation in the unsecured consumer credit market following a Review by its former Interim Chief Executive, Christopher Woolard CBE.
The Woolard Review sets out how regulation can better support a healthy market for unsecured lending, taking into account the impact of the coronavirus (Covid-19) pandemic, changing business models and new developments in unregulated buy-now pay-later (BNPL) unsecured lending. The Review was commissioned by the FCA Board.
Christopher Woolard, Chair of the Review, said: ‘Most of us will use credit at some point in our lives. So, it’s vital that we have a fair market that works for everyone. New ways of borrowing and the impact of the pandemic are changing the market, with billions of pounds now in unregulated transactions and millions of consumers at greater risk of financial difficulty.
‘Changes are urgently needed: to bring BNPL into regulation to protect consumers; to ensure that there is secure provision of debt advice to help all those who may need it; and to maintain a sustained regulatory response to the pandemic.
‘Alongside these urgent issues the Review sets out a series of recommendations for how the FCA, working with partners, can build a better market in future.’
UK households have nearly £250 billion of outstanding consumer credit debt and more than 42.5 million people used consumer credit in 2019.
The Review sets out 26 recommendations to the FCA, sometimes working with Government and other bodies, to make the unsecured credit market fit for the future, including:
The regulation of unregulated buy-now pay-later: BNPL products which are currently exempt from regulation should be brought within the regulatory perimeter as a matter of urgency. The use of BNPL products nearly quadrupled in 2020 and is now at £2.7 billion, with 5 million people using these products since the beginning of the coronavirus pandemic. The emergence and expansion of unregulated BNPL products gives consumers a significant alternative to more expensive credit, but this also comes with significant potential for consumer harm. For example, more than one in ten customers of a major bank using BNPL were already in arrears. Regulation would protect people who use BNPL products and make the market sustainable.
Debt advice: The provision of debt advice will be critical to a sustainable market in the long term, especially through the recovery from coronavirus. Free debt advice services need secure, long-term funding as demand increases to as many as 1.5 million additional cases, following the pandemic. Funding needs to be in place to help the poorest pay fees when applying for debt relief orders.
Forbearance: The FCA responded quickly and effectively in the emergency phase of the pandemic – it needs to sustain this response through the recovery, for example by looking at whether it should revise its rules and guidance to drive greater consistency in the type of support firms offer consumers struggling to pay.
Alternatives to high-cost credit: A sustainable credit market needs more alternatives to high-cost credit. The FCA should work with the Government and Bank of England to reform the regulation of credit unions and Community Development Finance Institutions. More should be done to encourage mainstream lenders into this space.
Outcomes focused: Regulation should be driven by the outcome being sought and how consumers use products in the real world. Regulation should deliver similar protections where consumers face similar harms. In addition to making sure products are affordable, there should be an increased focus on lenders meeting consumers needs’ for as long as they hold the product. The FCA should review repeat lending.
The FCA welcomes the Woolard Review report into change and innovation in the unsecured credit market and supports the recommendations directed to the FCA.The Board agrees that there is a strong and pressing case to bring buy-now pay-later business into regulation.
Charles Randell has written to the Economic Secretary to the Treasury setting out the Board’s view and proposing that the FCA works with the Government to design the appropriate regulation.
Ensuring consumer credit markets work well is one of the FCA’s five priorities. The Board has asked the FCA executive to build the Review’s recommendations into its business planning. The FCA will publish its 2021/22 Business Plan in April, and will give further details of the response to the Review.
Charles Randell, Chair at the FCA, said: ‘Unaffordable credit can damage the lives of people who are already struggling to manage everyday expenses. While we have made progress in reducing unaffordable debt in the years before coronavirus, the pandemic has had an unequal impact on households.
“Many people have been able to reduce their debts, but some of the poorest in our society have exhausted any savings or run up more debts. All the authorities which cover debt and debt advice must act together systematically to prevent problem debt and to help people get out of a spiral of debt through properly funded debt advice.
‘Regulation should be consistent and the Review shows how we can ensure high standards in consumer credit regardless of the form of credit.
‘The Review has powerful recommendations on debt advice and insolvency including on the IVA market. We are ready to work with other regulators to reduce the harm that IVAs can produce for people that use them, and to reduce the scope for unscrupulous operators to prey on vulnerable indebted people through for-profit debt packaging.
‘As the market innovates and changes, regulators and legislators need to respond quickly and decisively to protect consumers by facilitating credit where it is beneficial and clamping down on it when it does harm. The FCA agrees that there is a strong and pressing case to bring buy-now pay-later business into regulation.’
Details of how £11.6 billion of funding from the Scottish Government will be distributed to individual local authorities in 2021-22 have been published.
The settlement provides councils with an increase in day to day revenue spending of £335.6 million, including £90 million to compensate local authorities which choose to freeze council tax and a further £259 million will be added in one-off funding to support ongoing COVID-19 pressures.
In total, councils will receive additional revenue funding of almost £600 million to support vital local government services in 2021-22.
The Scottish Government will also increase a scheme which compensates councils for the loss of income from sales, fees and charges due to the pandemic from £90 million to £200 million in 2020-21.
Finance Secretary Kate Forbes said: “This budget is being delivered in exceptional circumstances as we continue to battle a pandemic that has shaken our society and economy to the core.
“The local government settlement will help to fund those vital public services that are much valued and needed.
“It includes additional funding of £59 million to complete the expansion of early learning and childcare to 1,140 hours a year, £72.6 million for investment in health and social care and £7.7 million to support the inter-island ferries in Shetland, Orkney and Argyll and Bute.
“Just as we have chosen not to increase tax rates, ensuring people pay no more than last year, I have taken the significant step of offering funding equivalent to a council tax increase of around 3% to councils who choose to freeze council tax. I look to local government to join with me in providing the much needed financial reassurance to those who are struggling.
“We need to focus on how we rebuild and renew our country, and the funding I am providing to local authorities reflects the key role that they will continue to play in that journey.”
LOCAL GOVERNMENT FINANCE 2021-22: TOTAL REVENUE SUPPORT
Local Authority
2020-21
2021-22
Change
Change.
£m
£m
£m
%
Aberdeen City
364.6
376.0
11.4
3.1
Aberdeenshire
460.2
479.2
19.0
4.1
Angus
220.2
226.9
6.7
3.1
Argyll & Bute
208.8
213.3
4.6
2.2
Clackmannanshire
103.0
105.7
2.7
2.6
Dumfries & Galloway
306.8
314.6
7.9
2.6
Dundee City
320.1
327.7
7.7
2.4
East Ayrshire
249.9
256.9
7.0
2.8
East Dunbartonshire
202.1
208.0
5.9
2.9
East Lothian
189.2
194.7
5.5
2.9
East Renfrewshire
191.3
196.1
4.8
2.5
Edinburgh, City of
799.6
831.9
32.3
4.0
Eilean Siar
99.8
101.6
1.8
1.8
Falkirk
308.2
315.7
7.5
2.4
Fife
702.4
725.3
22.9
3.3
Glasgow City
1,333.1
1,362.9
29.8
2.2
Highland
493.0
506.3
13.3
2.7
Inverclyde
177.6
181.9
4.3
2.4
Midlothian
178.9
183.7
4.8
2.7
Moray
173.6
180.2
6.6
3.8
North Ayrshire
296.7
303.9
7.2
2.4
North Lanarkshire
673.1
691.2
18.1
2.7
Orkney Islands
78.2
82.7
4.5
5.7
Perth & Kinross
271.0
281.3
10.3
3.8
Renfrewshire
341.9
351.2
9.3
2.7
Scottish Borders
224.0
233.2
9.2
4.1
Shetland Islands
90.0
97.3
7.3
8.1
South Ayrshire
217.4
223.7
6.3
2.9
South Lanarkshire
610.4
625.8
15.5
2.5
Stirling
183.5
188.7
5.2
2.9
West Dunbartonshire
203.0
207.4
4.4
2.2
West Lothian
344.5
353.3
8.8
2.6
Undistributed
51.9
75.1
23.2
44.8
SCOTLAND
10,667.8
11,003.4
335.6
3.1
Speaking after last week’s Budget announcement, COSLA’s Resources Spokesperson, Councillor Gail Macgregor, said: “Given the context this year, perhaps it is not overly surprising that the Budget is very much a mixed bag for Local Government –the main issue is that the overall allocation adds very little into our core financial settlement which has been eroded over the years.
“The Cabinet Secretary, in her speech, recognised Councils’ role as deliverers of vital services and yes on the face of it there is more money but that is predominantly for Government priorities.
“The addition of £259 million flexible funding for 2021/22 will help councils address Covid related costs next year, including providing the support that the most vulnerable in our communities will require but we need solid assurances that if this figure falls short, as is expected, that further funding will be forthcoming.
“To deal with pressures this year, the announcement of an additional £110 million to help compensate Councils for loss of income, which when added to the money we have already had, makes £200 million, is to be welcomed.
“However, for many councils this won’t be enough – income loss will leave a very large hole in their finances for years to come. We welcome that the Cabinet Secretary for Finance has listened to Leaders requests for further funding to cover loss of income but there is still work to do where there is a shortfall.
“We welcome elements of today’s announcement but overall this budget falls short of what we would consider a fair settlement for Local Government. We would anticipate further constructive discussions with the Cabinet Secretary in the next few weeks.”
Significant new investment to drive economic recovery, bolster public services and support families underpins the Scottish Government’s spending and taxation plans for the coming year.
Presenting the Scottish Budget 2021-22 yesterday, Finance Secretary Kate Forbes announced support for jobs and skills totalling around £1.1 billion.
Job creation is a priority, with measures including a commitment to launch a new Green Workforce Academy to help people secure work in the low carbon economy, a £100 million Green Jobs Fund over the next parliament, £7 million towards making Scotland a world class hub for digital business and an additional £125 million for the Young Person’s Guarantee, employability and skills.
Health receives record funding of over £16 billion, an increase of 5.3% on 2020-21, along with a further £869 million to continue tackling coronavirus (COVID-19), including funding for the vaccination and test and trace programmes. This means that, over the course of this parliament, investment in health has increased by £1.8 billion in real terms – more than tripling the commitment to increase health funding by £500 million more than inflation.
To support family budgets, £90 million is being made available for local authorities to freeze council tax.
Public sector workers earning up to £25,000 can receive at least a 3% pay increase via a £750 cash underpin, while there is a 1% rise for those earning above that amount, capped at £800 above £80,000.
Economic recovery, supporting public services and helping families are at the heart of this year’s Scottish Budget.
£11.6 billion for local government, which represents a £335.6 million increase in core revenue funding, including the £90 million to compensate local authorities which choose to freeze Council Tax, plus £259 million in one-off funding
£1.9 billion for primary health care to help deliver more services in the community. A further £550 million is earmarked to build new Elective Care Centres and the Baird Family Hospital and Anchor Centre in Aberdeen
£98.2 million to improve Scotland’s digital infrastructure and deliver access to high quality broadband and mobile coverage.
£711.6 million for affordable housing and £68 million for the first full year of the Scottish Child Payment, tackling child poverty
a new £55 million programme to support town centres and community-led regeneration projects
more than £3.1 billion in resource and capital investment for education and skills, and £567 million to provide 1,140 hours of early learning and childcare, supporting implementation of the UK’s most ambitious childcare programme
£1.3 billion for the Scottish Police Authority, including a £60 million increase in Police Scotland’s revenue budget – exceeding an earlier pledge of a £100 million boost over five years
£1.6 billion for rail and bus services and £100.5 million for active travel to consolidate changes to healthy, green travel options seen during the pandemic
doubling the Rural Tourism Infrastructure Fund, helping tourist attractions and local communities make improvements to cope with increased visitors
an additional £27 million to expand woodland creation and the associated infrastructure, supporting green jobs
Business support remains a priority and the Finance Secretary confirmed that the Local Authority Discretionary Fund will be doubled to £60 million in this financial year to allow councils to respond to local needs. In addition, businesses eligible for the Strategic Framework Business Fund will receive full Level 4 payments on 22 February, regardless of any future changes to local restrictions.
The Scottish Government will also increase a scheme which compensates councils for the loss of income from sales, fees and charges due to the pandemic from £90 million to £200 million in 2020-21.
Ms Forbes said: “This budget is being delivered in exceptional circumstances as we continue to battle a pandemic that has shaken our society and economy to the core, and as we face the harmful impacts of Brexit.
“It promotes innovation and reform, new beginnings, new directions. And while it continues to target support in the immediate term, it also tracks a course over the next year to build a fairer, stronger and greener country.
“To help drive our green economic recovery I am providing the stability and certainty that businesses have asked for through the most competitive reliefs packages in the UK. There are innovative measures to promote sustainable growth and we are investing more than £1 billion in jobs and training.
“The budget sets out a distinctive Scottish pay policy that again supports the lowest paid, charting a different course to the ill-judged pay freeze announced by the UK Government. It also bolsters our health service, delivers more affordable homes, provides additional childcare places and helps young people into work.
“Throughout these dark times we have never given up hope. This budget seeks to build on that hope and, by focusing on how we rebuild and renew our country, make the light at the end of the tunnel shine that bit brighter.”
Our budget helps to deliver stability now, but it also looks forward to the future.
Watch Finance Secretary @KateForbesMSP explain our priorities for the coming year ⬇
The STUC has expressed its disappointment at what effectively amounts to a real-terms pay freeze for thousands of public sector workers as the Budget offers 1% for those earning pay above £25,000 per year including most teaching staff, firefighter and civil servants.
The STUC General Secretary, Roz Foyer pointed to the real terms increase in the Scottish Budget of nearly 4% and contrasted that with today’s pay offer.
“Whilst it is right and proper that the pay of low paid workers should be underpinned, for most workers this increase is still below the budget uplift received by Holyrood from Westminster. Far too many of our key workers have been left out in the cold.
While supporting Scottish Government calls for greater borrowing powers, Foyer also questioned whether tax cuts for high earners were the right priority and whether funding for Local Government was sufficient.
“We strongly support the Scottish Government’s calls for greater borrowing powers. However, the Cabinet Secretary has managed to find wiggle room to provide £125 million in blanket tax cuts. She has also reduced income taxes for high earners – a policy that raised £51 million last year. Given this, it is deeply disappointing that she hasn’t been able to better reward key workers.
“While the Cabinet Secretary spoke about an increase in funding for Local Government, it appears this amounts to less than a 1% increase, a level that is nowhere near sufficient to cover gaping cuts to services from years of austerity.”
Responding to the Budget announcement, Dr Liz Cameron, Chief Executive of the Scottish Chambers of Commerce, said:“The position of Scottish businesses has never been so precarious. The Scottish Government’s announcements today are welcome but do not go nearly as far enough to avoid risk of widespread business collapse and job losses.
“Yes, there is light at the end of the tunnel with the vaccination programme but restrictions to prevent the spread of the virus have been devastating. We understand that the Cabinet Secretary for Finance faces difficult choices in setting the budget particularly ahead of that of the UK, in a time when the country faces extraordinary challenges.
“Business will be disappointed that further details on an economic route map on how we will exit this crisis aligned with the roll out of the vaccine were not provided today. This is a critical component if businesses are to unleash the investment our country so desperately needs.”
On Non-Domestic Rates:
“The Cabinet Secretary has listened to us and has delivered a reduction in the Non-Domestic Rate (NDR) poundage rate. However, longer-term, we believe the system is unfair and needs significant reform.
“Plans for a three months extension of rates relief is a too short a reprieve. We need commitment to a 12-month reliefs package to provide the certainty business needs. Clearly there is more to do, and we await further announcements from the Chancellor to see what further support can be made available and expect Scottish Government to pass on the equivalent consequential funding to businesses.”
On Business Support:
“The doubling of the discretionary fund is good news particularly for those businesses who have fallen through the gaps of other support packages. However, it is imperative that the process for businesses is clear, transparent and quick across all local authorities to ensure funding is available for businesses quickly and immediately.
“Now is the time to pull out the stops and redouble efforts to ensure business support comes through. We need to see a significant ramping up to get those funds that have been promised out the door and to businesses.”
On Infrastructure:
“The Scottish Government’s commitment to infrastructure investment is absolutely necessary for Scotland and the UK to be in a position to build back better and meet net zero ambitions. Now is the time for a vision driven by ambition and a willingness to collaborate like never before. This must be put first and foremost ahead of any political point scoring this year.”
On skills and training:
“SCC welcomes these important steps to support jobs, employment and training. We called for training academies and we are pleased to see the Cabinet Secretary has acted on our recommendations, particularly the focus on green jobs. It is now critical that the government and academia works in partnership with the private sector to ensure benefits are fully realised.”
On Protecting Jobs:
“We maintain our call to the Chancellor of the Exchequer to extend the furlough scheme beyond April 2021 and outline further initiatives to protect business and jobs at the UK Budget in March.”
On mental health support:
“Business will welcome this as we understand the toll the pandemic has taken on our customers, employees and communities.
“Recovery of our wellbeing is just as important as economic recovery, with many employers investing in their own employee support programmes. This commitment from the Scottish Government will enhance these efforts.”
Responding to Kate Forbes’ announcement that public sector workers on salaries up to £25,000 a year will receive a 3 per cent increase, GMB Scotland Senior Organiser Drew Duffy said: “This will be met with fury among the lowest paid in Scotland’s public sector.
“Kate Forbes was among the many politicians applauding our frontline heroes, now she is saying ‘thank you’ with a rise that won’t amount to more than a tenner a week for most.
“There is no value here, and it’s an insulting response from the Scottish Government to the ongoing struggles of our key workers in this pandemic.”
Tracy Black, CBI Scotland Director, said:“The Finance Secretary is right to put business support and economic recovery front and centre of this year’s draft Budget. With jobs, firms and livelihoods still hanging by a thread, Scotland can’t afford to wait until the pandemic is over before initiating plans for a sustained recovery.
“Health must come first and lowering transmission rates remains the priority. Yet with so many struggling companies across Scotland, it’s only right that proper consideration is given to reopening the economy when it is safe to do so. This should be driven by data and done in dialogue with business.
“The private sector is critical to a successful recovery and moves to protect firms’ immediate futures are welcome. Continuing rates reliefs for the hard-hit hospitality, retail and tourism sectors is welcome, however a three-month window remains a challenging timetable for firms under real pressure. Companies will also be relieved to see a continued commitment to Covid business support and no further changes on income tax.
“The UK and Scottish governments must now work together to provide certainty over business support, ensuring that the firms we need to drive economic recovery survive the tough weeks and months ahead.
“Longer term, the figures from the Scottish Fiscal Commission paint a worrying picture and highlight the scale of the challenge ahead. Maintaining a laser focus on boosting productivity and protecting competitiveness are key.”
Responding to the Scottish Government’s Budget statement delivered today by Finance Secretary Kate Forbes MSP, Director of CAMRA Scotland Joe Crawford said: “Extending the business rates holiday for pubs and social clubs for a further three months into the next financial year is a desperately-needed lifeline for pubs who have struggled for almost a year now.
“But three months won’t be enough. CAMRA will be joining the Scottish Government in calling on the Chancellor to use his Budget on 3rd March to give the Scottish Government enough money to extend this Business Rates holiday for the entire 2021/22 financial year.
“Pub-goers and licensees will now want to see the Scottish and UK Governments work together to make sure pubs and breweries get enough long-term financial support to thrive when they can reopen. This must include grants, furlough support as long as there are restrictions on trading, extending the VAT cut on beer to help pubs that don’t serve food, and cutting tax on beer served in pubs to help them compete with supermarket booze.
“Pubs and social clubs are a force for good in our communities, bringing people together and tackling loneliness and social isolation. They will be a crucial part of our national healing process after COVID and deserve to be supported until they can trade again.”
SLTA Managing Director, Colin Wilkinson said:“The Scottish Licensed Trade Association welcomes today’s announcement by Finance Secretary Kate Forbes that the Scottish Government will extend 100% non-domestic rates relief for retail, hospitality and leisure for at least the first three months of the new financial year. However, it doesn’t go far enough.
“Today’s announcement is good news, as is the promise of further ongoing business support and it gives us a much-needed stay of execution. The reduction in the poundage rate, from 49.8 pence to 49 pence, is also very welcomed.
“Further support from the Westminster Government is crucial and our hope is that UK Chancellor, Rishi Sunak, steps up to the mark by extending the current furlough scheme, committing to retain the Commercial Rates Relief and the temporary 5% reduced rate of VAT for hospitality beyond March 31 and well in to 2022.
“Our sector is battered and bruised and the sooner both the Scottish and UK Governments can provide clarity on support and an indication of an exit strategy out of this pandemic the better.”
Chief Constable Iain Livingstone has welcomed the Scottish Government’s Budget announcement.
Mr Livingstone said: “I welcome the announcement to eliminate the structural deficit in policing’s funding.
“The reform of policing in Scotland has brought many benefits to all communities across the country, while £200m has been returned to the public purse every year compared to legacy arrangements.
“The last 12 months have demonstrated the relentless nature of policing. Our mission to prevent harm, support communities and keep people safe has been evident throughout the pandemic.
“We will continue to enhance capacity and capability to protect the people of Scotland in the public, private and virtual spaces.
“Responsive and accessible local policing is deeply valued by our fellow citizens and will always lie at the heart of Police Scotland’s purpose and approach.”
Measures promoting recovery and renewal will be at the heart of the Scottish Budget tomorrow.
New initiatives to drive economic growth, create jobs and tackle inequality will be included alongside further support for business, public services and families.
https://twitter.com/i/status/1354006419763302402
Finance Secretary Kate Forbes said: “The budget on Thursday will create the conditions for Scotland to recover and renew.
“We remain in the grip of a pandemic which continues to put pressure on our economy, health services and each of us as individuals. But the vaccine is providing a route back to normality and we must now sharpen our focus on rebuilding for the future.
“The budget will include innovative, targeted measures to help businesses and families get back on their feet and bolster our vital public services. I have already ruled out following the UK Government’s public sector pay freeze and will set out details of a pay settlement that is both fair and affordable.
“It is vital that we rebuild our economy in a way that provides equal opportunities for all, delivers on our green commitments and creates the kind of Scotland we all want to see.”
“This process has already started. For instance we have established a National Transition Training Fund providing targeted support for up to 10,000 people, set out our £60 million Young Person’s Guarantee and committed £2 billion in low carbon funding. The budget will set out how we intend to further these ambitions.
“Ahead of the budget we sought views on the role of Scotland’s devolved taxes and our fiscal framework in supporting the recovery. There was clear feedback regarding the need for stability and targeted support and that has also been a particularly strong message in my meetings with businesses and their representative organisations. The budget will deliver on those priorities
“Despite the UK Government’s budget being delayed until March, and the uncertainty that causes, the Scottish Budget 2021-22 will confirm funding allocations for local government. It will also detail how, within our limited resources, we will go as far as we can to support businesses in receipt of non-domestic rates relief.
“The global pandemic and the problems arising from Brexit combine to make these uniquely challenging times. This budget will help Scotland emerge as a globally competitive, fairer and greener country and I urge all parties to work in the national interest to ensure it is passed by the Scottish Parliament.”
Yorkshire Building Society has launched six online lessons of its financial education programme Money Minds, to support parents, carers, teachers and all Key Stage 1 and Key Stage 2 primary school pupils as well as Key Stage 3 secondary pupils through the coronavirus pandemic.
Due to new national lockdown measures leading to the closure of schools, the Society has released two Key Stage 1 (aged 5-7) digital Money Minds lessons on the topics of ‘Keeping Money Safe’ and ‘Wants and Needs’ and two Key Stage 2 (aged 8-11) lessons on the topics of ‘Vacation Venture’ and ‘Project Party’ to teach them about the importance of budgeting.
The Society has also launched two new Key Stage 3 (aged 11-14) digital lessons for students on the topics of ‘Bills and Budgets’ and ‘Project Profit’ to teach them about the importance of budgeting and being financially resilient.
The video lessons should take between 25-40 minutes to complete and are presented by colleagues from the Society.
Money Minds is a free programme consisting of a series of activities and projects designed to promote discussion and learning amongst children and young people and is usually delivered in schools by colleagues from the Society as part of its volunteering programme.
Society colleagues working in branches are key workers and are supporting customers with essential financial services through the Covid-19 outbreak and new lockdowns.
Sharon Stirling, manager at Yorkshire Building Society’s Edinburgh branch filmed the ‘Keeping Money Safe’ and ‘Project Party’ lesson which teaches children how to budget whilst planning a party.
She said: “We know that there have been really hard times over the last nine months for children, teachers, parents and guardians. Now with schools closing again I hope that our digital Money Minds lessons will help in any small way in making their lives a little easier by providing some quality ‘go to’ content available to use for home-schooling or in classrooms for vulnerable children and those of key workers.
“I’ve delivered numerous face-to-face Money Minds lessons for the Society to pupils in the past and know from experience how impactful they are. The feedback we have received so far on our online sessions has been really positive so we are really pleased they are being well received.”
Louise Neill, Community Manager at Yorkshire Building Society has developed the financial education lessons. She said: “We’re committed to supporting children and young people in teaching financial education through our Money Minds programme. As we usually have our colleagues volunteering in schools we have had to adapt the way we deliver these.
“It’s incredible that our branch colleagues, classed as key workers supporting customers with essential financial services through the lockdowns, have been able to extend the help they can offer by providing these lessons which will continue to improve financial capability in the next generation in the UK.”
More than 25,000 pupils across the UK have now received a Money Minds lesson since the programme launched in 2015.
When children have completed the lesson their parents or guardians can e-mail the Society and they will be emailed a certificate.
The High Pay Centre’s ‘High Pay Day’ research, published this week, is evidence that the government must rebalance the economy after Covid-19 to make it fair, says the TUC.
High Pay Day is the day in 2021 on which the typical FTSE 100 chief executive has already earned the same as the average wage for a whole year.
The research finds that top bosses earn around 120 times the annual pay of the average worker.
High Pay Centre’s research suggests that the median FTSE 100 CEOs earnings for 2021 surpassed the median annual wage for a full-time worker in the UK at around 5:30 pm on Wednesday 6 January.
The calculations are based on our previous analysis of CEO pay disclosures in companies annual reports, combined with government statistics showing pay levels across the UK economy.
HPC estimate that with CEO pay levels remaining essentially flat in their analysis, while pay for UK workers had increased slightly, it means that CEOs have to work 34 hours of the year to surpass median earnings, rather than just 33 hours in 2020.
However, the most recent figures on CEO pay and UK full time workers’ annual earnings is still too dated to fully account for the impact of the coronavirus – therefore it remains to be seen how this has affected pay gaps across the UK, both over the duration of the pandemic and in the longer term.
Pay for top CEOs today is about 120 times that of the typical UK worker. Estimates suggest it was around 50 times at the turn of the millennium or 20 times in the early 1980s.
Factors such as the increasing role played by the finance industry in the economy, the outsourcing of low-paid work and the decline of trade union membership have widened the gaps between those at the top and everybody else over recent decades.
These figures will raise concern about the governance of big businesses and whether major employers are distributing pay in a way that rewards the contribution of different workers fairly. They should also prompt debate about the effects that high levels of inequality can have on social cohesion, crime, and public health and wellbeing.
TUC General Secretary Frances O’Grady said: “This tells you everything you need to know about how unfair our economy is.
“Our army of minimum wage workers – carers, shop assistants and delivery drivers – have kept the country going through the pandemic. Not these CEO’s at the top raking in far more than their share.
“We must make the economy fair. If the government is serious about levelling up Britain, it needs to start by levelling up pay and conditions for those we most rely on, and stop the threat to freeze key workers’ pay.
“Ministers must bring forward the long-awaited employment bill to end expoitative working practices like zero hours contracts, and boost rights and pay.”
New funding of £800 million is being guaranteed for the devolved administrations in Scotland, Wales and Northern Ireland to support people, businesses and public services with the ongoing impact of Covid-19.
Yesterday’s announcement increases the UK Government’s unprecedented upfront guarantee this year to at least £16.8 billion on top of funding outlined in Spring Budget 2020.
This funding can be spent on priorities such as the NHS and business support.
This means a further £400 million for the Scottish Government, £200 million for the Welsh Government and £200 million for the Northern Ireland Executive.
Any changes to devolved funding are normally confirmed towards the end of the financial year – but in July the UK Government introduced an unprecedented guarantee to provide them with funding certainty to respond to Covid-19.
Wednesday’s announcement ensures that all parts of the UK can continue their response to Covid-19 through the winter months.
The Chief Secretary to the Treasury Steve Barclay MP said: “We’ve already committed unprecedented levels of support to Scotland, Wales and Northern Ireland.
“This extra funding will provide the nations with the certainty they need to plan through these difficult months.
“We remain committed to an economic recovery for the whole of the United Kingdom and will continue to work closely with the devolved administrations to support people and businesses.”
Scottish Secretary, Alister Jack said: The UK Government is committed to supporting people in all parts of the UK during this difficult time which is why today we have given £400 million extra to the Scottish Government for their Covid-19 response. This brings our total additional Covid-19 support to Scotland to £8.6 billion since Spring Budget 2020.
“This is on top of direct UK Government Covid-19 support to people and businesses in Scotland, including the furlough and self-employment schemes, business loans, VAT cuts for the hardest hit sectors and investing billions in our Plan for Jobs and our welfare safety net.
“The UK Government is also providing the bulk of Covid-19 testing in Scotland and we invested £6 billion to ensure we were the first country in the world to roll out the first vaccine.
“The strength of the Union and support offered by the UK Treasury has never been more important. Together, we will continue to get through these challenging times.”
People and businesses in Scotland, Wales and Northern Ireland will also continue to benefit from the UK Government’s unprecedented £280 billion UK-wide economic response package.
This includes schemes such as the Coronavirus Business Interruption Loan Scheme and the Bounce Back Loan Scheme providing billions in support to businesses across the three regions.
Alongside this, millions of jobs in the three regions continue to be supported through the Coronavirus Job Retention Scheme and the Self-Employment Income Support Scheme.
