GMB members across Scottish Local Government have overwhelmingly rejected the Scottish Government’s £800 increase for staff earning under £25,000 a year, sending a clear message to politicians and employers: “We’re worth more.”
Following the close of the union’s consultative ballot, 93 per cent of members voted to reject the offer tabled by the Finance Secretary Kate Forbes in the recent Scottish Budget, increasing the prospect of significant industrial action across local services this summer.
GMB, which represents 20,000 local government workers, pre-dominantly in services like home care, refuse, school support, and roads and maintenance, will now write to the First Minister and COSLA leaders to call for fresh negotiations and a significantly improved offer.
GMB Scotland Senior Organiser for Public Services Drew Duffy said: “This is a clear demonstration from key workers across Scottish local government that Kate Forbes’ valuation of their efforts isn’t anywhere near good enough.
“It’s been a wretched year and a desperate decade for council workers, especially the lowest paid and the services they deliver. Home carers, refuse workers, and school support staff have got on with the job for all of us despite being failed on PPE, testing and safe working guidelines. Furthermore, they did this after years of political austerity, which cut their pay in real-terms and gutted their services.
“After the applause and all the political platitudes, to recognise their dedication and sacrifice with an increase that won’t amount to much more than £10 a week for many staff is derisory, and the message to Ministers, politicians on the election trail, and councils is clear: “We’re worth more.””
Ahead of the start of the 124th STUC Annual Conference today, GMB Scotland members from care, nursing, refuse, ambulance, and school support services, will tell Ministers, “We’re worth more!” as they campaign for a rejection of the NHS and COSLA pay offers for 2021.
GMB workplace representatives in NHS Scotland and COSLA are strongly urging members to reject the respective 4 per cent and £800 increases for the lowest paid workers, arguing the Scottish Government can and should go further after the last twelve months.
The union’s consultative ballot in COSLA will run until Thursday 22 April, and until Wednesday 5 May in NHS Scotland.
GMB Scotland Senior Organiser Drew Duffy said:“We were told at the start of the pandemic that Scotland was prepared for COVID-19, but nothing could have been further from the truth.
“Health and social care staff tackled the first wave of COVID-19 without proper PPE, home carers were left without workplace testing until January, and school support staff were an afterthought in the education recovery plan.
“From PPE, testing, sick pay support and socially distanced working arrangements, everything that’s been put in place to protect the workers on which we all depend had to be fought for by the workers’ themselves.
“And after a wretched year and desperate decade, where their modest incomes have been cut by thousands of pounds, our members are prepared to fight again for their proper value, against pay offers that don’t amount to much more than a £10 a week increase for many.
“They’ve heard the applause and they’ve read all the political platitudes, but now they are telling the Scottish Government to listen, and the message is clear: “We’re worth more.”
The continuing safety concerns due to COVID-19 means that the 2021 annual Congress will be held as a digital event.
Delegates from over 50 affiliated unions and trades union councils, as well as the STUC equalities committees, will meet over three days to debate and agree new policies.
We will also hear from sisters and brothers from other Trade Union Centres and from politicians.
The STUC General Council will deliver its report of the past 6 months work.
The digital format of Congress limits some of the things we can do but we still have a busy fringe event as well as expo sessions from our sponsors and supportive organisations.
You can watch the whole of Congress live on Facebook or YouTube!
Over a thousand British Gas workers across Scotland will walk out again tomorrow (Friday 19 March) for strike days thirty-five, thirty-six, thirty-seven and thirty-eight, as the fight continues against their CEO Chris O’Shea’s shameful ‘fire and rehire’ imposition.
Engineers will walk out from 00.01 hours on Friday 19 March until 21.59 hours on Monday 22 March, and again on Friday 26 March to Monday 29 March, taking the total number of strike days in the dispute to forty-two.
Socially distanced picket lines will be in operation tomorrow morning at British Gas facilities in Edinburgh and Uddingston.
The latest wave of strikes was confirmed after workers across the UK voted by a resounding majority of four-to-one against proposals tabled through ACAS over the future of their terms and conditions, with Centrica refusing to lift the ‘fire and rehire’ imposition.
British Gas are set to issue dismissal notices on Monday 29 March to staff who refuse to accept the ‘fire and rehire’ imposition.
After thirty-four days of previous strike action, GMB understands that more than 250,000 homes across the UK are in a backlog for repairs and 350,000 planned annual service visits have been axed.
GMB Scotland Senior Organiser Hazel Nolan said:“British Gas is set to sack key workers if they do not accept Chris O’Shea’s ‘fire and rehire’ imposition – it’s a shameful way for any employer to behave let alone a great British industrial institution.
“Left unchallenged it also sets a dangerous precedent, where even the biggest employers can exploit a public health crisis to attack workers’ rights, and their terms and conditions of employment. That’s not modernisation, it’s Dickensian.
“But the message from our determined and dignified members is loud and clear: Stop the fire and rehire in British Gas, and let’s return to proper negotiations over the future of this business and its workers.”
GMB Scotland is urging all MSPs to support its campaign for a £15 an hour minimum wage for care workers.
In a letter to political party leaders ahead of a Scottish Parliamentary debate on the Independent Review of Adult Social Care this afternoon (Tuesday 16 February), the union calls on MSPs to grasp “a once in a generation opportunity to transform social care” by underpinning reforms with “proper value for the workers who will deliver it.”
The Cabinet Secretary for Health and Sport Jeane Freeman MSP will lead the debate for the Scottish Government and recommend the incoming Scottish parliament should implement the findings of the Independent Review “as quickly as practicable”, with opposition MSPs lining-up to back GMB’s pay increase plan for the sector.
The union’s ‘Fight for Fifteen’ campaign was launched following the publication of its sector report, ‘Show You Care: Voices from the frontline of Scotland’s broken social care sector’, which highlighted the significant challenges facing care workers before and during the first wave of the COVID-19 pandemic.
GMB Scotland’s Women’s Campaign Unit Organiser Rhea Wolfson said:“The recommendations of the independent review are a once in a generation opportunity to transform social care, but only if they are underpinned by proper value for the workers who will deliver them.
“The report is clear that every £1 spent on social care generates £2 for the wider economy, so if government and industry invest properly in this sector and its people, the effects could be transformative not just for workers and service users, but for society too.
“COVID-19 has exposed how poorly our care workers have been valued, a workforce of mainly low-paid and often exploited women who found themselves on the frontline of a crisis without proper safety or support.
“We owe them a huge debt and if we really want to put care on an equal footing with the NHS as the Cabinet Secretary suggests, then we have to back that up with the investment to match.
“Now is the time to be bold and today Holyrood can rise to the challenge. That’s why we are urging MSPs to stand with our members in care and support their campaign to fight for fifteen.”
Unions welcome announcement but slam Government inaction
Leading strategic infrastructure projects and physical asset lifecycle management company InfraStrata plc, is delighted to announce it has acquired the assets of the Scottish-based offshore energy fabrication company, Burntisland Fabrication (BiFab) Limited.The sites will trade under the Harland & Wolff name.
This highly strategic acquisition of assets and leases spans across two sites in prime Scottish locations with particular regard to renewable, oil & gas and defence projects: Methil on the east coast of Scotland and Arnish on the west coast of Scotland. The BurntIsland site will not form part of the transaction.
Both sites will trade under the Harland & Wolff brand and will represent the final fabrication piece of its UK footprint, positioning the company to fully deliver on its existing strategy quicker than it would have done with only its two existing sites: Harland & Wolff (Belfast) and Harland & Wolff (Appledore).
Methil, the larger of the two sites will be heavily focussed on fabrication for the oil and gas, commercial and renewables markets, whilst Arnish lends itself to multiple opportunities across all Harland & Wolff’s five markets: defence, oil & gas, renewables, commercial and cruise and ferry.
Through this strategic ambition across various geographical locations of the United Kingdom, InfraStrata emphasises its local and cross government support; aligned even closer to the UK Government’s “levelling-up” agenda and the “Green Industrial Revolution”.
The two Scottish sites will work symbiotically alongside Harland & Wolff (Belfast) and Harland & Wolff (Appledore).
John Wood, CEO of InfraStrata,commented: “With this acquisition, we now have a footprint in Scotland, which is the hotbed for major wind farm projects as well as for shipbuilding programmes. We have now positioned ourselves strategically across the UK with four sites capable of servicing our five core markets.
“This acquisition gives us the flexibility to optimise our operations across the Group and offer our clients the ability to fabricate faster and de-risk their exposure by offering multiple sites.
“As we move into larger contracts, it is crucial that we demonstrate the capacity to bid for and deliver on these projects. The acquisition of Bifab’s assets delivers that capability to us and will open up a larger demographic of tender opportunities.
“Finally, I wish to warmly welcome the personnel whom we have taken on at Methil and Arnish and I am confident that we will turn these facilities into highly successful businesses that generate jobs and investment into their local economies in due course.”
Harland & Wolff is a wholly-owned subsidiary of InfraStrata plc (AIM: INFA), a London Stock Exchange-listed firm focused on strategic infrastructure projects and physical asset life-cycle management.
Harland and Wolff (Belfast) is one of Europe’s largest heavy engineering facilities, with deep water access, deep water quayside berths and vast fabrication halls, with the addition of Harland & Wolff (Appledore) the company will be able to capitalise on opportunities at both ends of the market where it has strategic and unique assets that will be much in demand.
In addition to Harland & Wolff, it owns the Islandmagee gas storage project, which is expected to provide 25% of the UK’s natural gas storage capacity and to benefit the Northern Irish economy as a whole when completed. It is anticipated that the gas storage project will bring significant fabrication and construction work to the shipyard during its construction phase.
GMB Scotland and Unite Scotland have welcomed the announcement that two of the three BiFab fabrication yards have been bought out of administration by InfraStrata.
BiFab, which had three fabrication yards in Fife and the Isle of Lewis, went into administration in December last year following the Scottish Government withdrawing previous financial guarantees to support the manufacture of eight turbine jackets for the Neart na Gaoithe (NnG) offshore wind project at the yards.
InfraStrata as part of a £850,000 deal has bought the sites at Methil in Fife and Arnish on Lewis. It is understood that InfraStrata, which owns the Harland and Wolff shipyard in Belfast, will bring the Scottish sites under the Harland and Wolff name as it attempts to bid for offshore wind projects and shipbuilding contracts.
Unite and GMB have demanded concrete actions by the Scottish and UK Governments to strategically support the offshore wind sector. The trade unions criticised the announcement by the Prime Minister in October 2020 to commit 60 per cent of the turbines to be manufactured in the UK as ‘empty rhetoric’ without a review of the Contracts for Difference (CfD), which should include local content and enforcement clauses.
The trade unions also cited the various powers relating to planning, renewables energy, procurement, the Crown Estate and Marine Scotland which the Scottish Government should be using to exercise greater leverage in the contractual process.
In a joint statement,Unite Scotland Secretary Pat Rafferty and GMB Scotland Secretary Gary Smith said: “The announcement by InfraStrata that two of the BiFab yards will be bought out of administration is welcome news. It is also testimony to our members and their communities who have fought hard to keep these yards alive.
“We look forward to working with the company to ensure it is primed to win contracts for the offshore wind sector, and to having a positive working relationship underpinned by the Fair Work principles. We have always believed that the BiFab yards, and indeed yards and ports all over Scotland, are uniquely placed to capture the benefits of the offshore wind sector.
“However, the story so far has been one of government failure – thousands of jobs and billions of pounds have been outsourced around the world when Scottish communities should have been benefitting from these contracts. Now the Scottish and UK Governments have been given a reprieve and they need to step-up and support the new ownership.
“We urgently need an overhaul of the Contracts for Difference process to ensure local supply clauses are in-built at the outset of major contracts as part of a proper industrial and investment plan for the sector, otherwise the green jobs revolution will remain a fantasy.”
Coalition of Care and Support Providers welcome Independent Review of Adult Social Care in Scotland
CCPS(Coalition of Care and Support Providers) has welcomed the publication of the Independent Review of Adult Social Care in Scotland and its call for a renewed purpose for social care with human rights at its heart.
CCPS are delighted by the commitment to a new narrative which replaces crisis with prevention and wellbeing, burden with investment, competition with collaboration and variation with fairness and equity.
We strongly endorse the call to put people front and centre of social care delivery – people who are supported by social care, their families and carers, and people who work in social care services.
We agree that Scotland already has strong foundations on which to build a National Care Service. We want to work with the Scottish Government, national and local stakeholders – including those who support people and people who are supported – to redesign the system to make the ambitions set out in the Review happen.
We wholeheartedly back the Review’s assertion of a duty to co-produce a new system with people who it is designed to support.
Over the coming weeks we will be working closely with our members to explore the Review’s recommendations in detail. As the membership body for third sector providers, we are especially interested in participating in the conversation about the Review’s recommendations on commissioning and procurement.
In 2020, we published our own contribution to that conversation, a series of Big Ideas about changing the way social care is planned, purchased, and paid for. We are grateful to the Review team for citing those ideas. In particular, we thank them for including as one of their recommendations, our suggestion to press pause on all current procurement in the context of a National Care Service, with a view to rapid, carefully planned implementation.
We agree with the Review team that implementation is the most significant challenge. Now is the moment for whole system change, hand in hand with the implementation of The Promise and the recommendations of the Social Renewal Advisory Board.
We would echo the Review Team’s own words – ‘If not now, when? If not this way, how? And if not us – who?’
Annie Gunner Logan, Chief Executive of CCPS said:“CCPS congratulates Derek Feeley and the Review team on completing a mammoth task in record time and their willingness to listen to many voices including those of providers and the people we support.
“Reform of social care in Scotland is long overdue. The COVID-19 pandemic has exposed fault lines which require radical overhaul and long-term change. It has also revealed what can be achieved when obstacles are removed in a crisis.
“We are heartened by the direction of travel set out in the Review. The challenge now must be to turn aspiration into implementation. Change is needed urgently but how it is achieved matters too.
“The debate about a National Care Service must not become a bunfight at the expense of those who provide social care and the people they support.
“The upcoming election period provides an opportunity to discuss the Review’s recommendations openly and widely. But when the votes have been counted, and Scotland gets down to the series business of design and implementation, their voices must be in every room, every step of the way.”
Responding to the publication of the Independent Review of Adult Social Care in Scotland Report yesterday, GMB Scotland’s Women’s Campaign Unit Organiser Rhea Wolfson said:“Scotland has a once in a generation opportunity to transform social care, if the recommendations of this report are underpinned by proper value for the workers who will deliver it.
“We are pleased the report acknowledges our campaign for a £15 an hour minimum wage in social care and we would stress to the government and the industry this is very achievable with collaboration and political will.
“The report is clear that if government and the industry invest properly in the sector and its people, the economic multiplier effects of social care spending could have transformative effects not just for workers’ pay and the quality of care, but for the equalities agenda and the wider economy.
“The COVID-19 pandemic ruthlessly exposed the long-standing crises in social care which everyone well understood, and for a workforce of mainly low-paid and often exploited women this has meant a chronic struggle for proper value and respect.
“After the crises and tragedy of the last eleven months, and with tough times still ahead of us, there is hope in these recommendations.
“If we are serious about what we really value as a society, then we have a chance to finally get the social care agenda right.”
A series of new measures aimed at driving down coronavirus (COVID-19) rates in Scotland have been announced.
Current restrictions, including the ‘stay-at-home’ requirement, are set to remain in place until at least the end of February and schools will continue to be closed to most children for the rest of this month.
Nurseries and Primaries 1 to 3 are, however, now scheduled to return full-time on 22 February, subject to final confirmation two weeks from now that sufficient progress in tackling the virus has been achieved.
In an update to Parliament the First Minister confirmed that a managed quarantine system for anyone who arrives directly into Scotland regardless of which country they have come from will be introduced as soon as practicably possible.
In addition to guarding against the increased importation of new cases, access to testing to find cases and interrupt transmission already taking place in Scotland will be stepped up:
from the middle of February, routine testing of healthcare workers will be expanded to cover patient-facing primary care workers such as GPs, dentists, optometrists and pharmacists, as will testing for all patient-facing staff who work in hospices
from later this month, regular testing will be offered to support the return to schools and nurseries. Senior phase secondary school students, and all staff in primary, secondary and special schools, including school-based ELC staff, will be able to benefit from routine at-home testing two times a week
certain workplaces where the risk of transmission is greater and which provide essential or critical services, such as those within the food processing and distribution sectors and staff within emergency service control rooms, will also be supported to introduce routine workforce testing
targeted community testing will continue to be expanded – so that testing is available to people locally, regardless of whether or not they have symptoms
from mid-February tests will also be offered to all close contacts of people who have tested positive for COVID-enabling Test and Protect teams to identify their contacts and track, and break further, chains of transmission
In order to promote people’s ability to self-isolate when necessary, financial support will be significantly expanded to include all workers earning the Real Living Wage or less, as well as those in receipt of a council tax reduction because of low income.
The £500 Self-Isolation Support Grant will also be extended to people who cannot work because someone they have caring responsibilities for is asked to self-isolate.
First Minister Nicola Sturgeon said: “As levels of the virus continue to fall in Scotland, it becomes ever more important that we stop the virus from being imported again. The threat of new variants is real and we must be ever-more vigilant.
“That is why we intend to introduce a managed quarantine requirement for anyone who arrives directly into Scotland, regardless of which country they have come from.
“We want to work with the UK Government to avoid travellers sidestepping restrictions and arriving in other parts of the UK before travelling to Scotland, however the most effective approach to prevent this and to stop new variants being imported is for the UK Government to introduce a compulsory quarantine for anyone travelling into the UK from overseas.
“Since we still have work to do these measures will not be introduced this week and more detail will follow shortly.
“We believe that targeted community testing can play a particularly valuable role in communities where prevalence is starting to rise rapidly which is why we have expanded our testing programme to identify cases and break chains of transmission.
“Lockdown is starting to slow down the virus. But we also need to pick up the pace in our vaccination programme. We are doing that and will accelerate the programme further over the next fortnight – providing that we have sufficient supplies of the vaccine – as we work towards being able to vaccinate 400,000 people a week by the end of the month. We are making rapid progress in protecting those who are most at risk from COVID-19.”
On schooling, the First Minister added: “I am acutely aware of the pressure school closures is putting on working parents and on family life more generally.
“Our room for manoeuvre, given the current state of the pandemic, is limited. But the government is determined to use every inch of headroom we have to get children back to school.
“Based on the advice of our expert advisers, if we all agree to abide with the lockdown restrictions for a bit longer so that our progress in suppressing the virus continues, we can begin a phased, albeit gradual, return to school from 22 February.”
The EIS has responded to the First Minister’s statement on a planned phased return for schools, welcoming the planned roll-out of regular testing for staff and students – but warning that virus levels must fall ‘substantially’ before the plans for a phased return for pupils can be confirmed.
Commenting, EIS General Secretary Larry Flanagan said, “Clearly, any school return remains contingent upon continued progress on community suppression of the virus and that is not a given so we need to see infection levels coming down substantially before the return date can be confirmed.”
Mr Flanagan continued, “Whilst a phased return is a more cautious approach, we are surprised that the First Minister did not discuss the need for physical distancing amongst P1-P3 pupils, given that she clearly stated the new variant impacts on all age groups, whereas previously younger children seemed to be less directly involved in transmission than adults.
“The EIS believes that a blended learning model, i.e. implementing physical distancing, would be a safer strategy to deploy and we would need to see strong scientific evidence to justify the Government’s approach. Frankly, in the absence of such evidence this model creates unnecessary risk for staff and pupils.”
On the planned rollout of testing for school staff and some secondary pupils, Mr Flanagan added, “The availability of regular testing for staff is something the EIS has called for, so that is welcome, as is its extension to senior phase pupils which will offer some reassurance to their families.”
“The EIS also notes the limited number of senior pupils able to return at any one time, but this must be organised in a way which explicitly enables physical distancing amongst pupils.”
Responding to the First Minister’s COVID-19 update concerning a phased return to schools in Scotland, GMB Scotland Senior Organiser for Public Services Drew Duffy said: “Yet again the Scottish Government failed to acknowledge the role of school support staff in the response to COVID-19.
“This morning over 1,000 of our members in support staff jobs, including cleaners, caterers, and pupil support staff, wrote to the First Minister asking her to strengthen school safety guidelines and the implementation of them across our thirty-two councils.
“This afternoon’s statement said little to these workers, despite the fact support staff are most at risk against the backdrop of more virulent strains of COVID-19 because many continue to work in our schools throughout this lockdown.
“We need full consultation with Ministers on a consistent approach to worker safety in the phased return of schools. That’s the only way we are going to give these forgotten key workers some badly needed confidence their safety is a priority for this government.”
Education leaders in Edinburgh have welcomed the phased return of school pupils announced by the Scottish Government.
Cllr Ian Perry, Education, Children and Families Convener for the City of Edinburgh Council, said: “I know many families across the city will be pleased to hear that a phased return to schooling will be in place by the end of the month.
“Our teaching staff are doing a tremendous amount of great work with home learning but we all know there’s no better place for our children than being back in school with their peers and learning face to face.
“Our schools will now work really hard to put plans in place so P1 to P3 pupils and some senior phase pupils can return on February 22 which will hopefully be confirmed by the Scottish Government in two weeks time.
“In the meantime home learning will continue and we hope to be to welcome more pupils back to school in the coming months as long as the virus continues to be suppressed.”
Cllr Alison Dickie, Education, Children and Families Vice Convener for the City of Edinburgh Council, said: “These are extremely challenging times for families and no one can underestimate the impact the pandemic has had especially for those struggling at home.
“Everyone’s mental health and wellbeing is really important so it’s welcome that early years, childcare and P1 to P3 pupils will be back in school where they belong in a few weeks time.
“Supporting the children who need it most is vital and I’m glad they will continue to attend their schools as we all work together to get through this. With the number of positive cases coming down in Edinburgh and the rollout of the vaccination programme we hope even more pupils will be able to come back to school when it is safe to do so.
“We will continue to follow the latest Scottish Government and health advice in ensuring our schools continue to be safe learning and teaching environments for all our young people and teaching staff.”
Deputy First Minister John Swinney said: “I appreciate only too well the burden being placed on many families as they navigate this COVID pandemic. I am also acutely aware of the need to maintain teaching and learning wherever possible. In doing so, the health and wellbeing of our children, young people and staff is paramount.
“My priority has been to ensure a safe return for children and young people to school and nursery as quickly as possible. That is why the steps that have been announced today are guided by the advice of the Chief Medical Officer and public health experts.
“Children and young people will begin a gradual, phased return to classrooms supported by a testing regime and enhanced guidance. A sense of caution underpins the plans unveiled today, but this is essential as we work to return to full time teaching in schools.”
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.”
GMB welcomes announcement to bring forward home care testing roll-out – but warns any failure will be met with action
GMB has warned the Scottish Government and local authority health and social care partnership (HSCPs) that any failures in the roll-out of COVID-19 workplace testing for home care workers “will be met with collective action”.
Following the threat of a full industrial action ballot by GMB members in Glasgow HSCP, Scotland’s biggest home care service, Cabinet Secretary Jeane Freeman confirmed at Friday’s press briefing that testing for all home care workers will be brought forward from March to Monday 18 January.
And after meetings between GMB, Scottish Government and COSLA representatives this morning, where assurances were given on the delivery of testing kits and support measures, the union has agreed to suspend next week’s scheduled industrial action ballot in Glasgow HSCP.
Rhea Wolfson of GMB Scotland Women’s Campaigns Unit said: “It’s a significant step forward for the safety of home care workers across Scotland in the fight against COVID-19 – our members have fought hard for this.
“But the Scottish Government and local authority employers have done more in a week than they have for ten months on testing for home carers, and neither should be congratulating themselves here.
“People should be asking why it’s taken nearly a year of struggle, and in the case of Glasgow HSCP to the brink of a strike ballot, for a workforce of predominantly low-paid women to get COVID-19 testing at work?
“GMB called for a national plan for social care last March, we called for testing, but the First Minister told us that Scotland was prepared for COVID-19. We know now the country wasn’t prepared and what we got was negligence while home carers struggled with only PPE for safety.
“The Scottish Government and HSCPs across Scotland should be well-aware that we will be carefully monitoring the roll-out of testing for our members and any failure to protect their safety and rights will be met with collective action.”
Home carers in Glasgow City Council’s Health and Social Care Partnership (HSCP) will launch a ballot for industrial action next week, warning they have “no confidence” over plans for workplace testing of COVID-19 and amid ongoing uncertainty surrounding the vaccination programme.
Over 1,700 GMB Scotland members will take part in a three-week ballot, running from Tuesday 19 January to Monday 8 February, meaning service delivery in the HSCP could be affected by action as early as the week beginning Monday 22 February.
It follows a massive 93 per cent support for action among GMB members in a consultative ballot last month, a direct response to the Scottish Government’s Winter Preparedness Plan which put home carers to the back of the queue in the roll-out of workplace testing delivery.
GMB Scotland Organiser David Hume said:“There is no confidence whatsoever among our members in their employer or the government to sufficiently protect their health and safety at work. And why should there be?
“They were failed on PPE at the outset of this pandemic, they have been left waiting ten months for workplace testing, and some are already encountering problems getting their first vaccine.
“The HSCP should have been fighting tooth and nail for every resource to protect the safety of their employees and their service users. Instead they have been sitting on zoom calls for nearly a year waiting on guidance from the Scottish Government, only for Ministers to leave councils carrying the can for testing delivery.
“The interests of these key workers have been consistently forgotten and they are being treated negligently by their employer, and this government.”