COMMUNITY PROJECTS TO LEARN THEIR FATE AT EIJB MEETING
SIXTY-THREE voluntary sector organisations will learn their fate today when Edinburgh Integration Joint Board makes crucial decisions on cost-saving measures.
EIJB is looking to make ‘savings’ (i.e. cuts) of £60 million and the proposal to disinvest in third sector projects would see the EIJB ‘save’ £4.5 million, but the voluntary sector argues that the scale of the cuts in some of the capital’s poorest communities – cuts imposed without any prior consultation – will actually cost the city far more in real terms – and they are urging the EIJB to think again.
If the EIJ Board accepts Chief Officer Pat Togher’s recommendations to disinvest, projects across Edinburgh will be forced to slash services, make staff redundant and, in some cases, close completely.
One of the projects affected is Libertus Services, a charity dedicated to supporting people to live independently. Libertus provides two registered Day Care services to local older people, located in Gracemount and Canalside, alongside a plethora of recreational, educational, cultural and social activities.
Libertus Services is dedicated to empowering its’ Members to make informed choices and to engage with activities which offer a selection of physical activity, reminiscence, games and art as therapy.
Their Positive Futures project supports local people (50+) across Edinburgh to develop and run activity groups in community based settings. The groups take place on a weekly basis, facilitated by a dedicated team of volunteers.
Andrew Farr, General Manager at Libertus, said:“Libertus Services has been established for 43 years and employs 23 staff members to provide services for people at risk of many vulnerabilities, including social isolation, and has provided support to thousands of people.
“The impact of EIJB cuts to Libertus Services will affect at least 300 people aged over 50, and older vulnerable people and their support base who rely on the input and outcomes achieved within our groups.
“The loss of peer support, interaction and professionally led early intervention will inevitably lead to an increase in our vulnerable population of older people becoming more reliant on statutory services now and in the future.
“The potential closure of our Positive Futures over 50’s service and our volunteer service additionally losing 42 volunteers not only increases risks to our Day Services for older people, which will no longer receive the additional social and practical input from our volunteers, but also reduces our financial stability.
“This is due to our premises increasing their reliability on the already reducing contract with the EHSCP, following a 10% in year contract reduction, followed by additional year on year 10% reductions in funding from 2025 onwards.
“A significant number of people would be without our support, leading to social isolation for a significantly higher number of people with social and psychological needs. Service provision would need to be absorbed by adding further pressure within statutory services, including hospital admissions and readmissions, due to the increase in demand resulting from the loss of this preventative service.”
The projects facing cuts today are:
ACE-IT
Art In Healthcare – Room For Art project
Autism Initiatives
Bethany Christian Trust – Passing The Baton project
Bridgend Farmhouse – Community Kitchen
Calton Welfare Services
Care for Carers – Stepping Out residential and short-term breaks for Carers
Caring in Craigmillar – Phonelink
CHAI Community Help and Advice Initiative (Edinburgh Consortium) – Income maximisation, debt and welfare advice
Citizens Advice Edinburgh (Edinburgh Consortium) – Income maximisation, debt and welfare advice
Changeworks – Heat Heroes programme
Community One Stop Shop – COSS
Community Renewal Trust – Health Case Management
Cruse Bereavement Care Scotland – Edinburgh bereavement services
Cyrenians – Golden Years Community Connecting Service
Drake Music Scotland – Musicspace
Edinburgh and Lothians Greenspace Trust – Healthy Lifestyles South Edinburgh
Edinburgh Community Food – Healthier Food, Healthier Lives, Healthier Future
Edinburgh Community Health Forum
Edinburgh Consortium (CHAI, Citizens Advice Edinburgh and Granton Information Centre) – Income maximisation, debt and welfare advice across the city
Edinburgh Garden Partners – Befriending Through Gardening project
Edinburgh Headway Group – ABI Rehabilitation Support Project
Edinburgh Leisure – Steady Steps programme
Edinburgh Rape Crisis Centre – Rape crisis support service
Eric Liddell Centre – Caring for Carers Befriending Service
FAIR – Family Advice and Information resource for people with learning disabilities
FENIKS – Reach Out, Help Within support for Eastern European community
Fresh Start – Helping previously homeless people make a home for themselves
Granton Information Centre (Edinburgh Consortium) – Income maximisation, welfare and debt advice
Hillcrest Futures – Futures Hub
Health All Round – Community health initiative in Sighthill Gorgie
Health in Mind – Counselling in Craigmillar
Home Start Edinburgh West and South West – promoting positive perinatal health
LGBT Health and Wellbeing – Core funding and community programme
Multicultural Family Base MCFB – Syrian mens mental health group
Murrayfield Dementia Project – Day Resorce
Pilmeny Development Project – Older people’s services
Pilton Equalities Project – Mental health and wellbeing support service
Pilton Equalities Project – Day Care services
Portobello Monday Centre – Informal daycare for people with dementia
Portobello Older People’s Project – Lunch and social club for isolated people
Positive Help – HIV/AIDS and Hepatitis C support service for vulnerable adults
Queensferry Churches Care in the Community – support services for older people
Rowan Alba Ltd – CARDS service for people with alcohol-related brain damage
Scottish Huntingdon’s Association – Lothian Huntingdon’s Disease service
Sikh Sanjog – Health and wellbeing group for ethnic minority women
South Edinburgh Amenities Group – community transport service
South Edinburgh Day Centre Volunteer Forum
Support in Mind Scotland – RAISE for Carers project
The Broomhouse Centre – The Beacon Club
The Broomhouse Centre – Vintage Vibes consortium
The Broomhouse Health Strategy Group – B Healthy Together initiative
The Dove Centre – Social day centre
The Health Agency – Community-led health improvement initiative
The Living Memory Association – drop-in facility for isolated older people
The Open Door Senior Men’s Group – tackling social isolation
The Ripple Project – Community hub in Restalrig
The Welcoming Association – Welcoming Health programme for migrants/refugees
Venture Scotland – Outdoor activities and residential experiences
VOCAL – Counselling support for carers
Waverley Care – HIV and Hepatitis C support
The following projects will make deputations to this morning’s meeting:
It’s looking increasingly likely that common sense will prevail today and that recommended funding cuts will NOT be imposed before the end of this current financial year – always an unrealistic ambition given the timescales involved and the lack of prior consultation.
Edinburgh Green Councillor Alys Mumford tweeted yesterday: “I’m sure everyone has been very concerned about news of potential in-year cuts to 3rd sector organisations.
“Here is an update from the Edinburgh Councillor Group, and as a board member of the Integration Joint Board, I’m glad I’ve submitted this joint proposal to reject the cuts:
So a small victory for the voluntary sector IS possible today, maybe, but would this be just a stay of execution, a short reprieve?
The EIJB must balance it’s books, and with the city council, NHS Lothian and the Scottish Government all facing financial challenges of their own, just how does Edinburgh Integration Joint Board fill that black hole?
And what is the future for our community projects – and the hundreds, perhaps thousands. of vulnerable people they support across what is supposed to be an affluent capital city – come the new financial year? Can it be a Happy New Year for them?
Hopefully all will become clearer this afternoon.
Good luck to all of the deputations this morning and here’s hoping Edinburgh Integration Joint Board belatedly sees the real human cost of the cuts being proposed – and rejects them.
EDINBURGH INTEGRATION JOINT BOARD PLANS TO END £4.5 million GRANTS TO 63 COMUNITY PROJECTS
SCOTTISH COUNCIL of VOLUNTARY ORGANIATIONS (SCVO)
SCVO response to proposal by Edinburgh Integrated Joint Board to remove grant-funding from voluntary organisations:
Letter to Councillor Cammy Day, Leader of City of Edinburgh Council,
Professor John Connaghan OBE, Chair of NHS Lothian
cc Pat Togher, Chief Officer EIJB
Proposal by Edinburgh Integrated Joint Board to remove grant-funding from voluntary organisations
I am writing to add SCVO’s voice to the protests regarding the IJB’s proposal to withdraw funding in-year from charities and community groups. 37 of our members are impacted by this decision.
The intention outlined in the board paper to take a more strategic and collaborative approach in the future has been totally undermined by the impact of reneging on this year’s grant funding.
Trust is a fragile thing, and it will take a long time to rebuild any sense that the council and the health board have an understanding of, or respect for, the voluntary organisations that do so much to support our communities.
When you look to build your strategic partnership in 2025, many of them simply won’t be there because they will have gone out of business.
Far from saving money, this will generate significant costs to public services as people fall through the cracks, and the additional millions of pounds voluntary organisations bring in from trusts and foundations or the private sector through match funding and other fundraising activities will disappear. A truly strategic approach would be looking to maximise that income-generation, not cut it off.
It appears that over 100 people who were already in a precarious enough position will lose their jobs. And the discretionary effort of hundreds more volunteers will be lost.
It is evident that when money is tight, which I recognise it is, the council and the health board have retrenched and focused on short-term savings rather than the public good.
The table in the board paper which illustrates where the money could be “better spent” says it all – to the IJB, acute services matter more than prevention or early intervention. As well as being short-sighted ethically and financially, it flies in the face of all the evidence around what communities need and the rhetoric around person-centred services and prevention.
I would urge you to intervene and stop the IJB making a decision everyone involved will regret.
Yours sincerely,
Anna Fowlie Chief Executive, SCVO
BIG HEARTS: “The value the charity sector brings to our local communities should never be in doubt.”
VOLUNTARY HEALTH SCOTLAND:
VHS Chief Executive @MistryTej has commented on the recent cuts being proposed by Edinburgh IJB.
What will it take for recognition of the crucial work the third sector are doing to reduce health inequalities?
Along with the rest of the sector we are extremely concerned by the proposed early cessation of EIJB grant funding to 64 voluntary sector organisations. As well as the loss of important services and the associated job losses, this will impact volunteering.
Volunteers are at the heart of the affected organisations, contributing 206,000 hours of support to people in the community worth over £2m. These volunteering opportunities are not only a lifeline to people they help support.
They also enable local people to be active in their communities, build confidence, develop skills, reduce isolation – all of which contribute to better health outcomes for volunteers themselves.
The impact of the loss of these volunteering opportunities cannot be understated.
LIVING RENT:
64 charities are at the risk of closure due to £4.5 million worth of proposed cuts. This will have devastating effects for tenants, for workers and for communities across Edinburgh.
Let’s defend our community centres, services & jobs.
Join us to say NO to Labour-led cuts!
SCOTT ARTHUR MP:
I have today (Wednesday) written to the Cheif (sic) Officer of the EIJB opposing the proposed cuts to the third sector in my constituency – I expressed my concerns in the strongest possible terms.
I support @cllrcammyday fully in his call for fair funding for Edinburgh.
Edinburgh Integration Joint Board meets TOMORROW (Friday 1 December) in the Dean of Guilds Room at The City Chambers at 10am.
The following organisations will make their case against the cuts at the meeting:
Community projects across the city are facing financial armageddon following news that Edinburgh Integration Joint Board (EIJB) plans to discontinue funding to 64 community projects across the city.
The EIJB is facing a financial crisis and sees slashing funds to third sector organisations as a way to tackling a massive deficit. If the recommendations are approved by board members at a meeting on Friday, the disinvestment in much-needed community services would save EIJB £4.5 million.
Although rumours of swingeing cuts were circulating for some days, the key papers announcing the plans only appeared online late on Friday afternoon – and they make grim reading for community organisations across the city.
The full papers for Friday’s meeting can be found below – and the Chief Officer’s recommendations make truly awful reading for 64 community organisations and the thousands of citizens they support.
Rubbing salt into the wounds, the EIJB also proposes cutting funding before the end of THIS financial year – two months early – forcing voluntary sector organisations to issue redundancy notices immediately. A fine early Christmas present!
For some projects, cuts on this scale would see a devastating reduction to the services they are able to provide to people living in some of Edinburgh’s most deprived communities. Scores of jobs will be lost if the cuts go ahead, vital services will be slashed and a number of community organisations may even be forced to close completely.
Restalrig’s Ripple Project announced: ‘The Ripple is devastated by the release of proposals to remove a huge proportion of health and social care funding from The Ripple in just 90 days time.
‘Please come to the Ripple next week and join us in our campaign to stop this happening.’ The Ripple provides and hosts a range of services from their busy community hub and they have set up a petition to oppose the cuts.
People Know How have already made the difficult decision to close their doors – and more will undoubtedly follow if the proposed cuts go ahead.
People Know How told service users: “Due to the drastic changes across the fundraising landscape in Scotland, it is with great sadness that we must announce that we are beginning to work towards closing People Know How including the redundancy of all our staff team.”
An online post explains: ‘People Know How was founded in 2013 and has grown to deliver services to thousands of people across Scotland over the past decade. Supporting people to be digitally and socially included through Reconnect, providing help to children as they move from primary to secondary school through Positive Transitions, and enhancing communities with projects including All Aboard, People Know How has always put people at the heart of what we do. ‘
‘A dedicated team of 24 paid staff and around 100 annual volunteers, interns, and placement students (VIPs) make all this work possible, and we collaborate with numerous funders and partners to maximise the reach and impact of the charity. In the last 4 years, People Know How has also expanded its reach to effect social change nationally as well as locally, through research, campaigning, influencing policy and our national Digital Support Helpline.
‘Due to the drastic changes across the funding landscape in Scotland, at the end of September, our Board and Chief Executive were faced with a difficult conversation in light of the lack of funding for the current and forthcoming financial years.
‘In just the last few months, we have seen devastating funding cuts across the sector and a drastic shift in the funding landscape. As a result, we have seen fewer options for long-term funding, with other funders closing entirely and leaving those that remain severely over-subscribed.
‘The Scottish Government is currently examining their approach to funding in the third sector, responding to calls from the sector for longer-term funding, unrestricted core funding, funding to accommodate paying staff a Real Living Wage and more. But as the debate continues, charities like People Know How are dealing with the reality.
‘The decline of available funds is directly at odds with the increasing need of the communities we support. Over the last few months, we have seen attendance to our digital groups and calls on our Digital Support Helpline increase.
‘We also recently partnered with BT to provide information about the digital landline switchover, with many groups across the country eagerly coming forward to work with us on this project. And just 2 months ago, we began our Positive Transitions support in schools for the new academic year, addressing a very real need for support felt by the children, young people and families moving to secondary school.
‘While we have funding for some projects, we will not hear back from our biggest funders until the end of this financial year and cannot move forward without the certainty that we will be able to support our service users and employ our staff beyond Christmas.
‘Since September, People Know How has been undergoing a 30-day collective consultation process to assess its future and options to avoid redundancies, including pausing all new activities to prioritise the support of those using our services.
‘We have also been speaking with our partners and contacts to assess options and opportunities where possible. That consultation process has now come to an end and unfortunately, we have not found a solution to save the 24 jobs and charity and have had to make the extremely difficult decision to work toward closing People Know How.
‘From today, (25 October), we will be working to wind down our projects and identify opportunities for those who use our services to continue being supported by other organisations. Our staff will also be looking for new employment opportunities. We will remain open until December but our capacity will be reducing gradually until then, as our team moves on.
‘Consideration is being made on how we close in the best way possible to value all the work and achievements since 2013. We are proud of what we have achieved over the last 11 years, supporting communities to improve wellbeing across Scotland.
‘The passion we have seen in every single one of our staff members and VIPs during this time has been incredible and we couldn’t be prouder to have been part of their lives and careers. Thank you to all who have been with us on this amazing journey.’
North Edinburgh’s R2 group is a coalition of local projects who united during the Covid pandemic lockdown to support vulnerable local people with food and essential supplies.
Spartans Community Foundation CEO Debbi McCulloch, who chairs R2’s development group, wrote to politicians and members of the EIJB yesterday:
Proposed IJB cuts to third sector organisations
As Chair of R2 Development Group I am writing to express our concern and dismay at the current rumours circulating within the 3rd sector about the IJB cuts to third sector grants, and potential disinvestment from 64 community organisations.
This disinvestment appears to be part of the IJB’s in year recovery plan and savings strategy for 2025/26. We find this particularly surprising given the consultation that the IJB have recently completed on their new strategy which prioritised prevention and closer collaboration with the 3rd sector.
We would also like to acknowledge that the third sector has already taken significant cuts this year from the grant funding and has still achieved (or in many case over achieved) on the targets set, yet the sector is facing the biggest cuts.
In north Edinburgh, it is estimated that this will result in around £1million worth of funding being lost to the area. We are particularly concerned that local income maximisation services could be lost as many of us work in partnership with these services and see the difference they can make in household income for the people we work with. This work is key to our collective contributions to reducing poverty in the City.
While we recognise the significant funding challenges faced by the IJB, disinvesting from the 3rd sector for short term cost savings seems misguided. Such actions are likely to increase pressure on both NHS and Council services, contradicting the Scottish Government, Public Health Scotland, and the Audit Commission’s strong advocacy for enhanced prevention and early intervention strategies which are known to take time and require investment.
Evidence consistently shows that investment in prevention is one of the most cost-effective methods to improve health outcomes and reduce inequalities, ultimately fostering greater sustainability with economic, social, and environmental benefits.
We hope for a constructive discussion with the IJB and other partners on how we can best support our communities together. We would be very grateful if you could investigate on our behalf and advise us accordingly.
We ask that:
• The funding for this year is guaranteed and runs the full length of the contract. • That the 25/ 26 grants are not cut in entirety and that we can be part of a conversation regarding how we maybe able to assist in making savings.
• That there is recognition that is these “savings” are to go through, we are shoring up future impacts.
We’d ask you to explore this matter further and share anything you find out with us. In particular we would like to know:
• What consideration has been made for the Audit Scotland, Chief Medical Officer and Scottish Government guidance to invest in health prevention, health activities in community? • If an equality impact assessment on these proposals has been carried out and what the conclusion of this was?
Finally, we’d ask you to talk your party colleagues, particularly if they sit on the IJB and ask them to do all they can to prevent these cuts.
We know, that when local community sector organisations get cut, it can take years to rebuild projects and relationships with local communities. As the social and health issues in our communities are continuing to increase, we want to continue to do all we can to alleviate the current crisis and build towards a more positive future. Please help us do this.
Edinburgh Community Health Forum (ECHF) has called for an immediate halt to the funding cuts announced by IJB.
ECHF’s Strategic Development Manager, Stephanie-Anne Harris, said: “This drastic cut threatens the very fabric of our community support systems and undermines our collective commitment to health and wellbeing in Edinburgh.
“This disinvestment will lead to the closure of numerous charities and an increased reliance on statutory services, including the NHS and Council.
“Furthermore, it contradicts the Scottish Government’s and Public Health Scotland’s advocacy for prevention and early intervention strategies.
“Evidence overwhelmingly supports that investing in prevention is one of the most cost-effective methods to improve health outcomes and reduce inequalities.
“This short-term approach to achieving savings is fundamentally misguided.”
Historically, core funding for the Third Sector was managed by the Council before being transferred to the IJB.
The current proposed cuts pose a severe threat to organisations that provide essential services to some of Edinburgh’s most vulnerable residents.
Catriona Windle, Chair of ECHF and CEO of Health All Round, a charity dedicated to supporting residents in Gorgie Dalry, Saughton, Stenhouse, and surrounding areas, added: “We call for an immediate halt to cuts scheduled for 2025 and urge the IJB to engage in meaningful discussions with the sector about sustainable funding solutions.
“While we recognise the need for budgetary considerations, we cannot afford to compromise on the vital support that Third Sector organisations provide. We propose delaying cuts until September 2025 to allow for a proper conversation about the future.
“The IJB must recognise that resourcing for the Third Sector is not non-essential; it is crucial for the wellbeing of our communities.
“We implore Council leaders and the IJB to consider resuming full responsibility for funding these vital services or to engage the Third Sector in developing a strategic funding model that ensures ongoing investment in our collective health.”
EVOC, the voice of Edinburgh’s voluntary sector, said: “We are devastated to see the depth of the cuts proposed to the Third Sector in the EIJB Meeting Papers: https://bit.ly/4eZsPXL
“Our sector has an essential role to play in delivering key health and social care services for some of the most vulnerable people in Edinburgh and contributes to the four priorities of the @EdinburghHSCP ‘More Good Days Strategy’.
“Our Board and staff are meeting key colleagues and partners to move quickly on a strategic response and will share more details in the coming days.”
The first option would close the existing programme early, giving grant recipients only three months’ notice and saving £700,000 in this financial year. This would be extremely disruptive for both organisations and people accessing their programmes. Third sector organisations are reasonably entitled to expect to receive funding for the entire grant period. We are especially concerned that this could lead to sudden job losses and financial hardship for affected third sector workers.
The second option would be to end the grants programme entirely in future years, and develop an alternative approach, saving £4.5mn in direct costs next year and beyond. Whilst this would mean existing grants would continue for the remainder of this financial year, it would result in significant uncertainty for the future of some organisations and programmes and for the people who ultimately benefit from these supports and services.
Nevertheless, it is claimed that only one of the funded services represents “value for money”. Our understanding is that this assessment has been made via an additional, retrospective EIJB evaluation, and it is unclear if organisations were given adequate time and direction to monitor and evidence the value of their programmes.
In many cases the impact assessment refers to the availability of statutory services as an alternative, for example in relation to maternal mental health. However, the extreme pressures on statutory services, especially mental health services, are well documented.
Third sector services are in many cases supporting people who have fallen through the gaps in or been unable to access statutory services. The withdrawal of grant funding for third sector services will therefore leave those people with no support at all.
Responding to the proposals, the ALLIANCE Chief Officer of Development, Sara Redmond, said:“Third sector organisations provide a range of invaluable services that help to reduce health inequalities and support a preventative approach to health and wellbeing. We are therefore extremely concerned by the proposals from Edinburgh IJB that could see their entire health inequalities grant programme close.
“The EIJB’s own impact assessment acknowledges that these proposals will negatively impact the health and wellbeing of people in Edinburgh, especially in areas already experiencing higher levels of health and socio-economic inequality. In addition to the risk of job losses, these proposals also risk seriously damaging the relationship between the third sector and statutory sector funders, especially as there has been no public consultation in advance.
“Third sector organisations must be able to trust when bidding for contracts or grants that funding will be provided for the entire contracted period. They must also be consulted as equal partners to find a way forward when circumstances change, and for the responsibility to be shared for evaluating the impact of what are complex social policy agendas.
“We urge the EIJB to reject these proposals and develop a fairer way forward that will ensure people receive the support they need and that the third sector can continue its invaluable work to mitigate and prevent health inequalities.”
Work has urgently been going on behind the scenes since the EIJB papers were released and a number of meetings have taken place with more to follow in the run-up to Friday’s crucial board meeting.
Deputations are being arranged, community support is being harnessed across the city and politicians are being lobbied – and opposition to the draconian proposals has gained political support.
SNP Councillor Vicky Nicholson is a member of the EIJB board and she announced last night that the SNP will oppose the report recommendations:
Labour’s Cammy Day said in a statement on Twitter yesterday: ‘After over a decade of @theSNP cuts& under funding Edinburghs health &social care, proposals to cut the third/voluntary sector are here.
“Edinburgh Labour will propose a way forward to engage the sector, work with them & city partners and stop the in year cuts wherever we can.’
Edinburgh Integration Joint Board meets on Friday 1st November at 10am in the Dean of Guilds Room at the City Chambers.
You can read the full details of the recommendations here:
Budget speculation, the economy returns to growth, the impact of cuts, and the disability employment gap
Three weeks still to go, and speculation about what will be in the Budget on 30th October continues (writes Fraser of Allander Institute’s MAIRI SPOWAGE, SANJAM SURI and EMMA CONGREVE).
Will the Chancellor change her fiscal rules? It looks likely that there will be some movement on this, whether in the definition of debt or something more fundamental, however much that could undermine their commitments in the manifesto.
Will there be increases in Capital Gains Tax? The speculation on this has reached fever pitch, with some stories suggested rates from 33% to 39% are being considered. (Interestingly, when we look at the ready reckoners from the HMRC, changes of this magnitude in some forms of CGT actually may result in less revenue when behavioural effects are taken into account). There certainly seems to be expectations out there in the economy that the rate may change, with lots of signs that disposals have increased hugely in anticipation.
Will there be increases to employer national insurance contributions? There has been much discussion about this, given the commitment of the UK Government not to “raise taxes on working people”, and due to the fact that the PM would not rule this out this week. A 1 percentage point rise in employers NICS would raise almost £9bn according to the ready reckoner (although we think that doesn’t include the additional costs to departments).
We’ll be going into the detail of some of these issues in the run up to the Budget, so there will be plenty for you all to chew over as we wait… and wait… for the Budget.
UK Economy Returns to growth in August
Data released this morning showed that the UK economy posted its first monthly GDP increase since May 2024. ONS reported this morning that monthly real GDP grew 0.2% in August 2024. There were no revisions made to the “no growth” months of June and July. While monthly numbers were in line with consensus forecasts, they show an economy that has slowed down from the beginning of 2024.
The good news is that growth in August came from all key sectors- with services rising by 0.1%, and production and construction rising by 0.5% and 0.4% respectively. Crucially- August was also the first time all three sectors positively contributed to growth since March 2024.
A more granular breakdown of service sector growth indicates that the biggest positive contribution came from the professional, scientific, and technical activities subsector- where monthly change in output was +1.6% from the previous month. Despite overall growth in services sector- seven subsectors saw decline in economic activity- with arts, entertainment, and recreation falling 2.5% over July 2024.
The production sector grew by 0.5% in August after hefty decline of 0.7% in July. Despite a rebound in August, the production output is essentially flat since the end of May 2024. The biggest contributor to production sector came from 1.1% rise in manufacturing activity- driven by transport equipment manufacturing However, mining and quarrying output declined 4.0% over July 2024- continuing their downward trend since end of December 2023.
What is the impact of cuts in spending?
When the Scottish Government presented their Fiscal Statement to parliament in early September, the Cabinet Secretary for Finance said that impact assessments had been done to understand the impact that the announced cuts could have on different groups.
These assessments were not published at the time, but finally were published last week. We welcome the publication of these, and although there are lots of criticisms that could be made of the assessments, it is good to see this transparency. One area of weakness is assuming that if funding was maintained at previous levels, there will be minimal impact, which assumes that previous levels was the correct level… so why was the budget being increased in the first place?
One of the main things to note though is the lack of analysis of cumulative impact on groups. A number of “minimal impacts” could still add up to something significant if they are affecting the same group.
Final report of the parliamentary Inquiry into the disability employment gap published
In 2016, the Scottish Government published A Fairer Scotland for Disabled People, which outlined how the government intended to shape policy – especially labour market policy – for disabled people living in Scotland.
One of the key goals this report outlined was reducing the gap in the employment rate between disabled and non-disabled adults. In 2016, 80.4% of non-disabled working aged adults were employed in Scotland, compared to 42.8% of disabled working aged adults, making for an employment gap of 37.5 percentage points. The government’s goal was to cut this gap in half by 2038.
In 2023, the Economy and Fair Work Committee in Scottish Parliament launched an inquiry into how this policy goal was going. In fact, in 2023, it seemed like it was going quite well.
The gap was down to 30.3 percentage points, which was actually ahead of schedule: if progress were linear, the disability employment gap would drop by about 0.85 percentage points each year, meaning that it would be 31.5 percentage points in 2023.
Two of our economists at the FAI, Allison Catalano and Christy McFadyen, contributed to this inquiry through a fellowship with the Scottish Parliament Information Centre (SPICe). Their work, which we published back in January, found that the majority of the change in disability employment is due to a rise in disability prevalence, rather than any specific policy.
Their report also highlighted some significant data issues: people with different types of disability have vastly different capacities for employment, vastly different support needs within employment, and vastly different rates of employment. Yet, in Scottish data and policymaking, disabled people are often treated as a singular entity, meaning that it is not possible to understand where policy interventions might be most effective.
The final inquiry publication highlights our work and a variety of other issues which will need to be addressed in order to improve work access for disabled people, all of which can be found here. They have produced 44 recommendations to improve employment prospects for disabled people.
TORY MSP MILES BRIGGS SUPPORTS SCOTTISH DISABILITY CHARITY’S CAMPAIGN TO PROTECT DISABLED PEOPLE FROM FUNDING CUTS
Miles Briggs is offering his full support to Spina Bifida Hydrocephalus (SBH) Scotland’s ‘Give us a chance’ campaign. The charity’s campaign comes as the Scottish Government announced £500m of cuts to public services and warned of further “difficult decisions” ahead in next year’s Scottish Budget.
Miles met with SBH Scotland CEO Lawrence Cowan, Chair Dr Margo Whiteford CBE and Amjid Majeed, who has spina bifida and receives support from SBH Scotland, to learn more about the charity’s campaign.
The ‘Give us a chance’ campaign calls on people to sign a letter to the First Minister, demanding that he protect disabled people from future cuts. The campaign also calls on the Scottish Government to release funding to protect the work of disability charities and to make the needs of disabled people across Scotland a priority.
SBH Scotland, which supports people with spina bifida and hydrocephalus across Scotland, is facing a 22% cut to support from Scottish Government this year – a total cut of 42% since 2018.
Half of all people in poverty live in a household where at least one member is disabled. Scottish Government figures show that disabled people are over twice as likely to experience loneliness compared to non-disabled people. They are also less likely to meet socially than non-disabled people.
Miles Briggs, MSP for Lothian, said:“I give my full support to SBH Scotland’s ‘Give us a chance’ campaign.
“The needs of disabled people in Scotland should be a priority for the Scottish Government and it is crucial that they protect disabled people from future cuts.
“It is important that the vital services that the most vulnerable in our society rely on are protected at all costs.
“I call on the First Minister John Swinney and Cabinet Secretary Shona Robison to properly invest in services to enable disabled people to thrive and lead full lives.”
Spina Bifida Hydrocephalus (SBH) Scotland CEO, Lawrence Cowan said: “The Scottish Government’s talk of further ‘difficult decisions’ ahead is incredibly concerning.
“We did not receive a commitment this week to protect people with disabilities from budget cuts. We will be seeking that commitment as we head into the Budget.
“People we work with say that they already have to constantly fight for basic support.
“If those services are worn away even further, we will see greater inequality and more injustices experienced by disabled people. We cannot let that happen.
“We also urgently need clarity on the future of funding for charities like ours. We’re facing a 22% cut in Scottish Government funding this year – a total cut of 42% since 2018. If that money doesn’t come through, we won’t be able to reach people who desperately need help right now.
“We are delighted to have the support of Miles Briggs as we ask the Scottish Government, on behalf of families across the country, to ‘give us a chance’.
“Give disabled kids a chance to fulfil their potential and follow their dreams and give our disabled adults a chance to live life to the full.”
Amjid Majeed said:“It is a sad day when we have to campaign to make sure those who need the most help are given the care and support they desperately need!
“SBH Scotland is a lifeline for so many people living with spina bifida and hydrocephalus.
“I personally can feel very lonely and isolated and rely on the groups provided by the charity as a chance to socialise, going out and meeting with the good friends I’ve made there.
“Charities can’t survive without funding, and I’d be devastated to think that the services SBH Scotland provides could be reduced or taken away because of these cuts.”
We are urging you to make sure that disabled people are protected from future cuts.
We and our loved ones are more reliant on good quality public services to live. Many of these services are already feeling the strain and further cuts could be devastating.
Half of all households living in poverty have at least one member with a disability. Disabled people are over twice as likely to experience loneliness compared to non-disabled people.
Charities like SBH Scotland give us a place to belong, to meet people who are going through the same things and for kids with spina bifida and hydrocephalus to have fun and just be kids. They are facing a 22% cut in funding from your government this year unless further funds are confirmed. We need the work of this charity more than ever.
We cannot let these inequalities become further entrenched. Please, protect disabled people from cuts and release funding for vital charities like SBH Scotland.
We all have so much to give our society and our economy. Give us a chance. With your support we can be unstoppable.
For clarity and completeness, this is the full letter I sent on behalf of many affected constituents who wrote to me. The Scottish Government is very strongly committed to supporting the arts and culture and, in a constructive spirit, I hope this particular fund can be restored.
The Creative Scotland Fund for individuals has now closed.
On behalf of Out of the Blue and our studio artists we’ve written to First Minster John Swinney, MSP Ben Macpherson and Angus Robertson, Cabinet Secretary for Constitution, External Affairs and Culture.
You can read the full statement below:
To Ben Macpherson, Angus Robertson & John Swinney:
Out of the Blue is an arts and education social enterprise that provides studio space to over 200 artists in four buildings across Edinburgh. We have been working with artists and arts organisations for thirty years.
Throughout that time we have been witness, time and again, to the vital contribution they make to communities. Artists produce inspiring work and bring creative opportunities to many people, improving the quality of life in cities, towns and rural areas. Economically, artists, arts organisations and creative enterprises contribute more than £5 billion to the Scottish economy every year.
However, in working with artists we are constantly reminded of the precarious position in which so many are trying to create new work. Working from project to project, uncertain of how much income they will make from month to month, struggling to find and rent space in which to create.
Yet despite this, our artists remain committed to creating art, and to enriching lives. Artists have always created more value for Scotland than what it has cost Scotland to support them. The least we can do is to treat artists with the same dignity and respect that is afforded to other workers. In a country committed to fair work, this should go without saying.
Cutting grants to individual artists will have a major impact on their ability to make a living and decimate the plethora of creative projects they undertake individually and with others. Without access to Creative Scotland grants many artists will not be able to continue with their creative practice, which in turn will have a huge impact on the organisations, communities and individuals they work with.
With local Government spending on the arts also decreasing rapidly we are facing a tipping point. The devastation that this lack of funding will cause to the cultural sector in Scotland may take a generation to recover from. Pursuing a career as an artist will be for the few, not the many, and the lives of every person in Scotland will be poorer because of it.
We call on you to urgently release the outstanding funding to Creative Scotland and set out a clear timeframe by which you will deliver your commitment to increase funding for culture by £100 million. Each day you delay, more artists will abandon hope and with it their careers.
Regards
Rob Hoon – Out of the Blue CEO
Professor David Stevenson – Chair, Out of the Blue Board
And signed by the following Out of the Blue studio artists:
Ailis Mundin (Strange Town)
Alison McConachie
Ally Hill (The Bongo Club)
Andres Perez (Urban Works)
Aoife O’Callaghan
Beck Elphinstone
Bethany Thompson (Out of the Blueprint)
Blyth Mackenzie (Little Yellow Scribbles)
Bob Giulianotti (Out of the Blue and Strange Town Youth Theatre)
Calum Duncan (Calum Duncan Architects)
Cameron Murdoch (Cam Life Designs)
Caroline Grevers
Casey Campbell
Catherine Lazcano – Thornton (Catherine Giselle)
Clare Duffy (Civic Digits)
Cosimo Damiano Angiulli
Daisy Crooke (Take One Action Film Festival)
Daniel Murray (Daniel Murray Artist)
Dee Thangden
Duncan Jones (Knockwood Studios)
Elaine Wilson
Felicity Inkpen
Fiona Fraser (Fi Fraser Production Management)
Frances Priest
Francesca Grech
Graeme Walker
Helen Miles (Helen Miles Mosaics)
Holly Summerson
Ian Gonczarow
Jen Byrne
Jennifer Paterson (All or Nothing)
Johnny Gailey (Out of the Blueprint)
Jolon Yeoman (Knockwood Studios)
Judy Clark
Julija Pustovrh (Emporium Julium Ceramics)
Kate Livingstone
Kelly Zou
Kuluna Yoga
Leanne Bell Gonczarow
Leigh Robieson-Cleaver (Curious Seed)
Louise Lacaille
Mairi MacSween (Mairi MacSween Designs) Mark Whyles (Mark Whyles Management) Matthew Shepherd
Max Machen
Meg Buick
Megan Chapman
Nicole Lambeng (Out of the Blue) Pierre Forissier (Biomorphis)
Pippa Lobban
Rabiya Choudray
Remode Collective
Robin Paine
Sandy Lobban
Sheena Walker (The Clarsach Society) Snap Elastic
Solen Collet (Solen Collet Photography) Steve Small (Strange Town)
Creative Scotland has taken the difficult decision to close the Open Fund for Individuals to new applications due to the Scottish Government being unable to confirm release of £6.6m in Grant-in-Aid budget in the current financial year, 2024-25.
The Fund will close to new applications from 2pm on Friday 30th August 2024.
Creative Scotland planned to apply £3m of the £6.6m budget to support the Open Fund for Individuals in 2024-25, alongside £3m of National Lottery income.
Without confirmation of release of this budget, Creative Scotland does not have enough funds available to support all the funding routes that we currently provide, as set out in our Annual Plan for 2024-25.
All currently submitted Open Fund for Individuals applications will be processed as per the published Guidance. The National Lottery Open Fund for Organisations remains open.
Iain Munro, CEO of Creative Scotland said: “The level of uncertainty regarding the provision of Grant-in-Aid budgets from the Scottish Government is creating critical problems for the ongoing support we can provide to Scotland’s culture sector.
“This decision to close the Open Fund for Individuals is not one we would have wanted to take but is unavoidable without the funding from the Scottish Government being available.
“Like everyone working in Scotland’s culture and creative sector, we understand the extreme pressures on public finances but want to see longer term budget certainty from the Scottish Government, including the additional £100m announced in October 2023, details of which have yet to emerge.”
EVOC has announced a strategic review that puts a renewed commitment to supporting the community and voluntary sector in Edinburgh at its heart.
The ongoing cost of living crisis is hitting groups and organisations hard and this is a chance to refocus on creating a strong sector for a strong city.
An engagement programme will take place in the coming months, involving the sector in shaping a new EVOC strategy, and to ensure stakeholders are fully briefed on the changes.
After 3 years, Bridie Ashrowan has decided to step down as Chief Executive of EVOC to concentrate on research interests around nature-based learning and biodiversity recovery.
In the meantime, two interims have been appointed to lead EVOC through this period of change – David Peace (Interim Chief Executive) and Claire Ritchie (Strategic Advisor to the Board).
Bridie’s tenure at EVOC has brought many successes. She has been a strong advocate for investment in the community and voluntary sector, to support organisations through the ongoing cost crisis, and to strengthen sector capabilities to lead change.
Against a background of decreased funding and increased running costs, EVOC is focused on reducing costs and delivering a balanced budget for the year ahead. This will include an analysis of the current organisational structure.
EVOC Convenor, Diarmaid Lawlor said:“Firstly, I would like to thank Bridie for her commitment, passion and advocacy for the voluntary sector during her tenure at EVOC and we wish her well in her next ventures.
“Our focus continues to be the wellbeing of the many community and voluntary organisations who play such a vital role in the city. We are working with partners and funders to make sure that remains our top priority throughout this strategic review.”
David Peace added: “As Interim Chief Executive, I will be working with staff, Claire and the Board to refocus our efforts and ensure we continue to support voluntary and community groups in delivering core programmes and activities in the city.
“As a sector leader we remain focused on building a strong, sustainable and resilient future for our sector. I welcome engagement with the sector, partners and funders to help shape the way ahead collectively.”
An ambitious new report by Scottish Book Trust has revealed that one in three librarians in Scotland believe that their whole service is at risk of reduction or loss.
The Survey of Public Librarians, as part of the Value and Impact of Scotland’s Libraries research, published by Scottish Book Trust, Scotland’s national book charity, also revealed a vital service under threat from underinvestment. It reports:
82% of public libraries reported a restriction in their resources and funding
One in three public librarians said they had lost librarians and other library staff
One in three public librarians reported that their whole service is at risk of reduction or losses
The report reveals the vital role libraries play in the community as they help to close the poverty-attainment gap. Librarians overwhelmingly agreed that they not only provide free access to all forms of books, but offer a safe, warm and accessible space where those without computers can access digital resources and support, with help from knowledgeable and approachable staff.
While libraries across Scotland are facing ongoing cuts, librarians reported a widespread lack of understanding from their local authorities about the social, long-term impact of their service.
Two thirds of the librarians surveyed reported that their community faces digital poverty, and libraries are bridging the divide.
96% of librarians reported that their library offers access to Wi-Fi, 99% to computers with internet, 71% to ebooks and eReaders and 40% to courses in digital skills
These are lifelines for those with limited resources, including the homeless, the elderly and those who have been released from prison.
Librarians also reported that their libraries are a safe space for refugees and asylum seekers, LGBTQ+ people and disabled or neurodiverse people.
As one librarian stated: “We are the first place that people come when they need help, possibly the only place in a landscape of shrinking services. When we are gone then these other agencies will need to foot the time bill and the mental health crisis we are averting.”
This survey of public librarians is part of a wider study of both public and school libraries in Scotland, as conducted by Scottish Book Trust, in partnership with the National Library of Scotland (NLS), the Scottish Library and Information Council (SLIC), and the Chartered Institute of Library and Information Professionals in Scotland (CILIPS).
Preliminary findings from school librarians will be published over the summer, with the final report published later this year.
Marc Lambert, Chief Executive of Scottish Book Trust, said: ‘Libraries are a vital lifeline for communities across Scotland. Not only do they provide free access to books in a warm and safe environment, but, as this wide-ranging report reveals, they are also a levelling up factory that sends people in a positive direction.
‘There is no other public space where people can access information, combat digital poverty, learn new skills, socialise with others, express themselves creatively, and seek to self-improve, entirely for free. It’s incredibly concerning that these important institutions are endangered.’
Scottish Book Trust is also conducting a survey of public library users, which will be open for responses until the end of June 2024.
