A Tale of Two Pandemics: TUC exposes COVID Class Divide

NEW POLLING reveals the extent to which low-paid workers have borne the brunt of the pandemic

  • NEW POLLING reveals the extent to which low-paid workers have borne the brunt of the pandemic 
  • TUC analysis shows three industries furthest away from recovery are all low-paid  and have highest rates of furlough use 
  • TUC warns the end of furlough and Universal Credit cut will be a hammer blow for low-paid workers 
  • Union body says without an economic reset post-pandemic the government’s levelling up agenda will be “doomed to failure” 

The coronavirus crisis has been “a tale of two pandemics”, the TUC said today as it calls for an urgent “economic reset” to tackle the huge class divide in Britain that has been exposed by the pandemic. 

The call comes as the union body publishes new polling which shows how low-income workers have borne the brunt of the pandemic with little or no option to work from home, no or low sick pay and reduced living standards, while better-off workers have enjoyed greater flexibility with work, financial stability and increased spending power.  

Pandemic class divide 

New TUC polling, conducted by Britain Thinks, has revealed the extent of the pandemic class divide with the high-paid more financially comfortable than before, while the low-paid have been thrust into financial difficulty: 

  • Low-paid workers (those earning less than £15,000) are almost twice as likely as high-paid workers (those earning more than £50,000) to say they have cut back on spending since the pandemic began (28 per cent compared to 16 per cent) 
  • High earners are more than three times likely than low-paid workers to expect to receive a pay rise in the next 12 months (37 per cent compared to 12 per cent). 

This Covid class divide isn’t just apparent on personal finances. The polling also shows how low-paid workers are markedly more likely to get low or no sick pay compared to higher earners: 

  • Low-paid workers are four times more likely than high-paid workers to say they cannot afford to take time off work when sick (24 per cent compared to six per cent). 
  • Only a third (35 per cent) of low-paid workers say they get full pay when off sick compared to an overwhelming majority of high-paid workers (80 per cent) 

The TUC has long been calling for an increase to statutory sick pay, which stands at a derisory £96.35 a week, and from which more than two million low-paid workers – mostly women – are currently excluded because they do not earn enough to qualify.  

The union body recently criticised the government decision to “abandon” these two million workers by failing to expand eligibility of sick pay, as they had previously promised. 

This lack of decent sick pay is compounded by the fact that low-paid workers are more than three times more likely than high-paid workers to say they their job means they can only work outside the home (74 per cent compared to 20 per cent).  

This means that low-paid workers face greater risk of contracting the virus at work, and when ill, often face the impossible choice of doing the right thing but losing income or keeping full pay but potentially spreading the virus. 

Low-paid industries lag 

New TUC analysis shows that the three industries furthest away from a jobs recovery – arts and entertainment, accommodation and food and ‘other services’ – are all ‘low paid’ industries.  

These are also the three industries with the highest furlough rates according to HMRC stats, and three of the highest according to most recent ONS estimate.  

The end of furlough poses a serious threat to low-paid jobs in these industries – and combined with the “senseless” Universal Credit cut – will be a hammer blow for low-paid workers and push many further into hardship, the union body says. 

Time for an economic reset 

The TUC says its analysis and poll findings paint a picture of stark inequality in the UK, which has been further entrenched through the coronavirus crisis, and show that the country needs an urgent “economic reset” post-pandemic. 

The union body warns that without such a reset, the government’s levelling up agenda will be “doomed to failure” as ministers risk repeating the same mistakes which followed the financial crisis, allowing insecure work to spiral even further. 

To prevent unnecessary hardship in the coming months, the TUC is calling on the government to: 

  • Extend the furlough scheme for as long as is needed to protect jobs and livelihoods and put in place a permanent short-time working scheme to protect workers at times of economic change 
  • Cancel the planned £20 cut to Universal Credit 

And as part of a post-pandemic reset, the TUC says ministers must: 

  • Ban zero hours contracts 
  • Raise the minimum wage immediately to at least £10 
  • Increase statutory sick pay to a real Living Wage and make it available to all 
  • Introduce new rights for workers to bargain for better pay and conditions through their unions  

TUC General Secretary Frances O’Grady said: “Everyone deserves dignity at work and a job they can build a life on. But too many working people – often key workers – are struggling to pay the bills and put food on the table.  

“It has been a tale of two pandemics. This Covid class divide has seen low-paid workers bear the brunt of the pandemic, while the better off have enjoyed greater financial security, often getting richer. 

“This should be a wake up call – we need an economic reset. It’s time for a new age of dignity and security at work. 

“Without fundamental change, the government’s own levelling up agenda will be doomed to failure. And we risk repeating the same old mistakes of the past decade – allowing insecure work to spiral even further. 

“Ministers must start by banning zero-hours contracts, raising the minimum wage with immediate effect and increasing statutory sick pay to a real Living Wage, making it available to all.  

“And we know that the best way for workers to win better pay and conditions at work is through their union.” 

On the risk to low-paid workers this autumn, Frances said:  “The imminent end to the furlough scheme and cut to Universal Credit this autumn will be a hammer blow for low-paid workers and could plunge millions into hardship, many of whom are already teetering on the edge. 

“The government must reverse its senseless decision to cut Universal Credit and extend the furlough scheme for as long as is needed to protect jobs and livelihoods.” 

“Millions more people now have a better chance to live happy, healthy and dignified lives”

Health and Social Care Secretary Sajid Javid justifies the Health and Care levy

This past year has been the most difficult in living memory for our country – and we have faced those difficulties together. The British people have made unprecedented sacrifices to our freedoms and our way of life to keep each other safe.

Whilst staff in the NHS and across social care have moved mountains to help those who needed care. They have treated over half a million patients with COVID-19, administered over 90 million life-saving vaccines, and cared for the elderly and most vulnerable in our society.

Despite these efforts, it was inevitable that this global pandemic would take its toll on a system that was already in need of reform. We now have a backlog of 5.5 million people waiting for treatment – and if we were to continue with business as usual this could rise in the coming years to as high as 13 million. Before the pandemic, we treated nine in 10 people within 24 weeks. That has now risen to 45 weeks.

The pressures of the pandemic have also been stark in social care, adding to the burdens of an unfair system in crisis. Around one in seven people end up paying over £100,000 for care, and often the heaviest burden falls on those least able to bear it. Meanwhile, staff in social care have worked tirelessly, even when we know they could have benefitted from better support and training.

No responsible government – especially a Conservative one – can bury its head in the sand and pass these problems onto the next one.

The Health and Care Levy announced yesterday will be a direct investment into the NHS and social care. But I appreciate it does not sit easily with everyone. No government would ever wish to go back on a promise it has made to the people – and I’ve always believed in making sure the tax burden is as low as possible.

Yet no government since the Second World War has faced unprecedented challenges of such magnitude. Last week I met health ministers from the world’s biggest economies at the G20: we are all having to deal with the consequences of this global pandemic. I am determined we face up to them.

We want the NHS to be a world-class service, and we need to put social care on the strongest possible foundation for the future. But we have to do that in a responsible way. That means spreading the burden across the broadest shoulders, and not simply borrowing in the short-term to pay for the long-term. That is what our levy does: it shares the burden across employers, employees and pensioners alike. The highest-earning 14 per cent in the country will pay over half the levy.

Together, we are making a critical investment in our country’s future. This will be the biggest catch-up plan in NHS history – delivering nine million more checks, scans, and treatments. We all know someone who has been waiting to long for such procedures.

We are going to ensure the vital work of routine operations, meaning things like hip replacements and cataract surgery do not stop. We are also investing in the next generation of scanners and screening equipment, so we are even quicker at finding and treating diseases like cancer.

The levy is also a vital first step for the reform of our broken care system. No one will have to pay more than £86,000 in care costs over their lifetime. That cap will apply to everyone – it will not matter what condition you have, where you live, how old you are or how much you earn.

We are also casting out the safety net further by expanding means-tested support, so many more people can benefit from having the costs of their care covered. In addition, care staff will now benefit from half a billion pounds of funding to deliver new qualifications, better career routes and much-needed mental health and wellbeing support.

Through these historic investments we are meeting the scale of the challenges we face together, just as we have done throughout this pandemic. In making these difficult decisions we are stepping up as a country to end the cruel care lottery and tackle the backlog. As a result, millions more people now have a better chance to live happy, healthy and dignified lives.

MPs voted through the NHS and Social Care tax rise last night

Lorna Slater MSP: Green agenda will benefit Edinburgh

Lothian MSP and Scottish Greens co-leader Lorna Slater has hailed the party’s influence on the Scottish Government programme for the year ahead.

The First Minister laid out an agenda heavily influenced by the Scottish Greens, in her first programme for government. This follows the historic cooperation agreement between the two parties.

The transformational programme will see the Greens in government for the first time; benefiting communities across Edinburgh by laying the foundations for a just transition to a low carbon economy, securing a new deal for tenants, increasing funding for home energy schemes and tackling fuel poverty.

Lothian MSP and Scottish Greens co-leader, Lorna Slater, said: This is a historic programme for government that will deliver huge benefits for communities in Edinburgh.”

“The investment announced today will allow us to begin the work of improving the energy efficiency of public buildings, an important measure as we bid to tackle the climate emergency, end fuel poverty and reduce energy bills.

“This bold and ambitious programme for government paves the way for a just transition for workers by creating jobs too, as we move to a renewables powered future.

“I’m particularly proud of our new deal for tenants. This programme commits us to delivering a new strategy within the next year which will ensure stronger rights and include a system of rent controls to tackle the spiralling costs for those renting a home in Edinburgh.”

Health and Social Care: Johnson bites the bullet

Prime Minister Boris Johnson’s statement at yesterday’s press conference on health and social care:

Good afternoon, I’m joined by the Chancellor of the Exchequer and the Secretary of State for Health and Social Care, because today we’re setting out our plan to help our NHS recover from the pandemic and build back better by fixing the problems in health and social care that governments have avoided for decades.

We all know someone whose test, scan or hip replacement was delayed or who helped to protect the NHS amid the immense pressures of Covid by putting off treatment for a new medical condition.

And now, as people come forward again, we need to pay for those missed operations and treatments; we need to pay good wages for the 50,000 extra nurses we are recruiting, we need to go beyond the record funding we’ve already provided to the NHS, and that means going further than the 48 hospitals and 50 million more GP appointments.

So today, following the most successful vaccine programme in the world, we’re beginning the biggest catch-up programme in the history of the NHS, increasing hospital capacity by 110 per cent, and enabling 9 million more appointments, scans and operations.

I have to level with people – waiting lists will get worse before they get better, but compared with before Covid, by 2024/25 our plan will allow the NHS to aim to treat 30 per cent more patients who need elective care – like knee replacements or cancer screening.

A recovery on this scale cannot be delivered by cheese-paring budgets elsewhere and it would be irresponsible to cover a permanent increase in health and social care spending with higher day to day borrowing.

For more than 70 years, we’ve lived by the principle that everyone pays for the NHS through our taxes, so it’s there for all of us when we need it.

In that spirit, from April we will have a new UK-wide 1.25 per cent Health and Social Care Levy on earned income, with the money required by law to go directly to health and social care across the whole of our United Kingdom, and with dividends rates increasing by the same amount.

This will raise almost £36 billion over the next three years, not just funding more care but better care, including better screening equipment to diagnose cancer earlier and digital technologies allowing doctors to monitor patients in their homes.

The levy will share the cost as fairly as possible between people and businesses: because we all benefit from a well-supported NHS and all businesses benefit from a healthy workforce.

And those who earn more will pay more, including those who continue to work over the State Pension Age.

The highest earning 14 per cent of the population will pay around half of the revenue raised; no-one earning less than £9,568 will pay a penny, and most small businesses will be protected, with 40 per cent paying nothing extra at all.

And this new investment will go alongside vital reform, because we learned from the pandemic that we can’t fix the NHS unless we also fix social care.

When Covid struck, there were 30,000 hospital beds in England occupied by people who would have been better cared for elsewhere, and the inevitable consequence was that patients could not get the hip operations or cancer treatment or whatever other help they needed.

And those people were often in hospital because they feared the costs of care in a residential home.

If you suffer from cancer or heart disease, the NHS will cover the costs of your treatment in full.

But if you develop Alzheimer’s or Parkinson’s, then you have to pay for everything above a very low threshold.

Today, 1 in 7 of us can expect to face care costs exceeding £100,000 in our later years, and millions more live in fear that they could be among that 1 in 7.

Suppose you have a house worth £250,000 and you’re in a care home for eight years, then once you’ve paid your bills, you could be left with just £14,000 after a lifetime of work, effort and saving – having sacrificed everything else – everything that you would otherwise have passed on to your children – simply to avoid the indignity of suffering.

So we are doing something that, frankly, should have been done a long time ago, and share the risk of these catastrophic care costs, so everyone is relieved of that fear of financial ruin.

We’re setting a limit to what people will ever have to pay, regardless of assets or income.

In England, from October 2023, no-one starting care will pay more than £86,000 over their lifetime.

Nobody with assets of less than £20,000 will have to pay anything at all, and anyone with assets between £20,000 and £100,000 will be eligible for means-tested support.

And we’ll also address the fear many have about how their parents or grandparents will be looked after.

We’ll invest in the quality of care, and in carers themselves, with £500 million going to hundreds of thousands of new training places, mental health support for carers and improved recruitment, making sure that caring is a properly respected profession in its own right.

And we’ll integrate health and social care in England so that all elderly and disabled people are looked after with the dignity they deserve.

No Conservative Government wants to raise taxes, but nor could we in good conscience meet the cost of this plan simply by borrowing the money and imposing the burden on future generations.

So I will be absolutely frank with you: this new levy will break our manifesto commitment, but a global pandemic wasn’t in our manifesto either, and everyone knows in their bones that after everything we’ve spent to protect people through that crisis, we cannot now shirk the challenge of putting the NHS back on its feet, which requires fixing the problem of social care, and investing the money needed.

So we will do what is right, reasonable and fair, we’ll make up the Covid backlogs, we’ll fund more nurses and, I hope, we will remove the anxiety of millions of families up and down the land by taking forward reforms that have been delayed for far too long.

Chancellor Rishi Sunak’s statement on health and social care, delivered on 7 September 2021

Good afternoon.

I want to address straight away the following question:

Why do we need to raise taxes?

Three reasons.

First, we need to properly fund the NHS as we recover from the pandemic.

Senior NHS leaders have made clear that without more funding we will not properly be able to address the significant backlog…

…in people’s cancelled operations, delayed treatments, or missed diagnoses.

To get everyone the care they need is going to take time – and it is going to take money.

The second reason is that social care plans announced today have created an expanded safety net.

Instead of individuals having to bear the financial risks of catastrophic care costs themselves, we as a country are deciding to share more of that risk collectively.

This is a permanent, new role for the Government.

And as such we need a permanent, new way to fund it.

The only alternative would be to borrow more indefinitely.

But that would be irresponsible at a time when our national debt is already the highest it has been in peacetime.

And it would be dishonest – borrowing more today just means higher taxes tomorrow.

The third reason we need to raise taxes is to fund the Government’s vision for the future of health and social care.

Properly funded, we can tackle not just the NHS backlog and expand the social care safety net, we can afford the nurses pay rise;

Invest in the newest, most modern equipment;

Prepare for the next pandemic;

And provide one of the largest investments ever to upskill social care workers.

In other words, we can build the modern, more efficient health and social care services the British public deserves.

To fund this vital spending, we will introduce a new UK-wide Health and Social Care Levy.

From next April, we will ask businesses, employees and the self-employed to pay an extra 1.25% on earnings.

All the money we raise will be legally ringfenced, which means every pound from the Levy will go directly to health and social care.

The Levy is the best way to raise the funds we need.

It is fair: the more you earn, the more you pay.

It is honest: it is not a stealth tax or borrowed – the Levy will be there in black and white on people’s payslips.

And it is UK-wide, so people in England, Scotland, Wales and Northern Ireland will all pay the same amount.

To make sure everyone pays their fair share, we will also increase dividend tax rates by the same amount.

And, from 2023, people over the age of 66 will be asked to pay the Levy on their earnings too.

No Government wants to have to raise taxes.

But these are extraordinary times and we face extraordinary circumstances.

For more than 70 years, it has been an article of faith in this country that our national health service should be free at the point of use, funded by general taxation.

If we are serious about defending this principle in a post-Covid world …

… we have to be honest with ourselves about the costs that brings …

… and be prepared to take the difficult and responsible decisions to meet them.

Thank you.

PM Boris Johnson’s letter to the First Ministers of Scotland, Wales and Northern Ireland and Deputy First Minister of Northern Ireland on the new health and social care reform:

National Insurance Contributions increase ‘adds insult to injury’ for families facing devastating cut to Universal Credit

New Joseph Rowntree Foundation analysis estimates that around 2 million families on low incomes who receive Universal Credit or Working Tax Credit will pay on average around an extra £100 per year in National Insurance contributions under the Government’s proposed changes.  

Peter Matejic, Deputy Director of Evidence & Impact at JRF said: “We are concerned that around two million families on low incomes who receive Universal Credit or Working Tax Credit will pay on average around an extra £100 per year in national insurance contributions under the Government’s proposal. 

“This extra cost adds insult to injury for these families who are facing a historic £1,040 cut to their annual incomes when Universal Credit and Working Tax Credit are reduced in less than a month on 6 October. If it presses ahead, this Government will be responsible for the single biggest overnight cut to social security ever.  

“With inflation rising, the cost of living going up and an energy price rise coming in October, many struggling families are wondering how on earth they will be expected to make ends meet from next month. 

“The Chancellor is in denial if he seriously believes this cut will not impose unnecessary hardship on millions of families – the majority of whom are in low-paid work. 

“Any MP who is concerned about families on low incomes must urge the Prime Minister and Chancellor to reverse this damaging cut, which will have an immediate and devastating impact on their constituents’ living standards in just a few weeks’ time.”

RCEM welcomes Government funding, but warns it won’t be enough

Responding to the announcement of an extra £5.4 billion of funding for the NHS, Dr Katherine Henderson, President of the Royal College of Emergency Medicine, said: “The announcement of this additional funding for the NHS over the next six months is very welcome.

“It comes at a crucial time when the health service enters what will likely be its most challenging winter ever, as it exits the pandemic, seeks to recover the elective backlog and faces the worst ever levels of performance in the summer.

“It is particularly welcome to see the investment in improving infection prevention control measures in hospitals, as this will continue to be of the utmost importance in the coming months. It is also pleasing to see funding to continue to improve the timely discharge of hospital patients. It is vital for Emergency Care that there is good flow throughout the hospital, which includes making sure patients have a smooth discharge from the hospital.

“While this short-term funding is appreciated, there must also be an adequate response to the sharp increase in demand and equivalent deterioration in performance. It is unlikely that this funding will be enough to help enable longer term recovery.

“The challenges that our Emergency Departments face stem from workforce shortages and capacity issues. A shortage of beds can lead to crowding, corridor care and poor flow through the hospital. Workforce shortages spread existing staff thinly and put them under severe pressure.

“These are long term issues and the only way to tackle them will be via a long-term funding plan for the health service, including a workforce plan to recruit nurses and doctors by expanding student medical and nursing places and training places.”

Dr Katherine Henderson, commenting on the announcement of a three-year settlement for health and social care, continued: “The three-year funding settlement announced for health and social care is welcome.

“But the scale of the challenges faced across the health and social care service at a crucial time of recovery mean this will likely not be enough – and the government must be realistic in the colossal task ahead for the health and social care service. It is essential that a plan to address the workforce crisis is prioritised.

“It is also welcome to see the long overdue the first steps towards a plan for social care. There has been a crisis within social care for some time, so it will be good to see the government fulfil its pledge to reform and tackle the social care crisis.

“For that to happen, it is vital that an adequate proportion of the settlement is allocated to social care.”

Commenting on Tuesday’s social care announcement by the Prime Minister, TUC General Secretary Frances O’Grady said: “We need a social care system that delivers high-quality care and high-quality employment. 

“New funding for social care is long overdue. But today’s announcement will have been deeply disappointing both to those who use care, and to those who provide it. 

“The Prime Minister promised us a real plan for social care services, but what we got was vague promises of money tomorrow. 

“Care workers need to see more pay in their pockets now. Nothing today delivered that. Instead, the only difference it will make to low-paid care staff is to push up their taxes. 

“This is so disappointing after the dedication care workers have shown during this pandemic keeping services running and looking after our loved ones. 

“Proposals to tax dividends should have been just once piece in a plan to tax wealth, not an afterthought to a plan to tax the low-paid workers who’ve got us through the pandemic. 

“We know social care needs extra funding. But the prime minister is raiding the pockets of low-paid workers, while leaving the wealthy barely touched. 

“We need a genuine plan that will urgently tackle the endemic low pay and job insecurity that blights the social care sector – and is causing huge staff shortages and undermining the quality of care people receive.” 

The TUC published proposals on Sunday to fund social care and a pay rise for the workforce by increasing Capital Gains Tax. 

The union body says increasing tax on dividends is a welcome first step to reforming the way we tax wealth, but that it won’t generate the revenue needed to deliver a social care system this country deserves. 

Instead, by taxing wealth and assets at the same level as income tax, the government could raise up to £17bn a year to invest in services and give all care staff a minimum wage of £10 an hour. 

TUC analysis shows that seven in 10 social care workers earn less than £10 an hour and one in four are on zero-hours contracts. 

Polling published on Sunday by the TUC showed that eight in 10 working adults – including seven in 10 Conservative voters – support a £10 minimum wage for care workers. 

A Fairer, Greener Scotland?

First Minister lays out her Programme for Government 2021/22

Leading Scotland safely out of the pandemic, urgently confronting climate change, driving a green, fair economic recovery, and boosting opportunities for children and young people are among the core priorities in this year’s Programme for Government (PfG), published yesterday. Oh … and there’s a referendum in there, too …

The programme sets out plans for a record increase in frontline health spending, new legislation for a National Care Service, a system providing low-income families with free childcare before and after school and during holidays, and actions to drive forward Scotland’s national mission to end child poverty.

The programme also includes plans to help secure a just transition to net zero – creating opportunities for new, good and green jobs, making homes easier and greener to heat, and encouraging people to walk, wheel or cycle instead of driving.

Speaking in Parliament, the First Minister said: “This programme addresses the key challenges Scotland faces, and aims to shape a better future.

“It sets out how we will tackle the challenge of Covid, and rebuild from it. It outlines how we will address the deep-seated inequalities in our society. It shows how we will confront with urgency the climate emergency, in a way that captures maximum economic benefit. And it details the steps we will take to mitigate, as far as we can, the damaging consequences of Brexit while offering a better alternative.

“In the face of these challenges, our ambition must be bold. This programme sets out clear plans to lead Scotland out of the greatest health crisis in a century and transform our nation and the lives of those who live here.

“We will deliver a National Care Service; double the Scottish Child Payment; and invest in affordable, energy efficient homes and green travel. We will ensure that businesses have the support, and people have the skills, to succeed in the low carbon economy of the future. We will show global leadership in tackling the climate crisis. And we will offer people an informed choice on Scotland’s future.

“To that end, I can confirm that the Scottish Government will now restart work on the detailed prospectus that will guide the decision. The case for independence is a strong one and we will present it openly, frankly and with confidence and ambition.

“This programme addresses our current reality, but it also looks forward with confidence and ambition to a brighter future. It recognises that out of the many challenges we currently face, a better Scotland – as part of a better world – is waiting to be built.”

Building on the progress from the first 100 days of this government, with the co-operation agreement with the Scottish Green Party at its heart, the PfG sets the scene for the next five years.

Key commitments for over the course of this Parliament include:

  • increasing frontline health spending by 20%, leading to an increase of at least £2.5 billion by 2026-27
  • undertaking the biggest public service reform since the founding of the NHS – the creation of a National Care Service – with legislation brought forward by June next year
  • improving national wellbeing with increased direct mental health investment of at least 25%, with £120 million this year to support the recovery and transformation of services
  • investing £250 million to tackle the drugs deaths emergency over the next five years
  • expanding the Scottish Child Payment to under-16s by the end of next year and doubling it to £20 a week as soon as possible after that, with a £520 bridging payment given to every child in receipt of free school meals this year
  • investing a further £1 billion to tackle the poverty-related attainment gap and providing councils with funding to recruit 3,500 additional teachers and 500 classroom assistants
  • providing free childcare to low income families before and after school and during holidays, and expanding free early learning and childcare to one and two year olds
  • investing £100 million over the next three years to support frontline services for preventing violence against women and girls
  • providing £1.8 billion to make homes easier and greener to heat, as part of a commitment to decarbonise 1 million homes by 2030
  • ensuring that at least 10% of the total transport budget goes on active travel by 2024-25, helping more people to cycle, wheel or walk instead of drive
  • delivering a revolution in children’s rights, including across the justice system
  • supporting a just transition to a low-carbon economy for people and businesses, including a £500 million Just Transition Fund for the North East and Moray
  • investing an additional £500 million to support the new, good and green jobs of the future, including by helping people access training
  • delivering 110,000 affordable homes by 2032 and investing an additional £50 million to tackle homelessness and rough sleeping
  • taking forward the democratic mandate for a referendum on independence to be held within this Parliament and, if the Covid crisis is over, within the first half of this Parliament, while providing the people of Scotland with the information they need to make an informed choice on their future.

Programme for Government 2021-22

First Minister statement to the Scottish Parliament, 7 September 2021

Commenting on yesterday’s Programme for Government announcement, Chris Birt, Associate Director for Scotland at the Joseph Rowntree Foundation said: “Alarm bells should already be ringing in both the Scottish Government and Parliament that we are currently set to miss our child poverty targets, with no clear plan on how to achieve them. 

“The Programme for Government published today pushes that plan further down the road, both to the budget later in the year and next year’s Tackling Child Poverty Delivery Plan. 

“Time is running out on the targets. Families on low incomes across Scotland are experiencing growing financial pressure and uncertainty .  They will hope the commitment to double the child payment “sooner rather than later” happens very soon and that our national mission to end child poverty gathers urgency and scale.”

The STUC welcomed the Scottish Government’s Programme for Government, specifically highlighting the commitments from the First Minister to implement national bargaining in the care sector, additional funding for the health service, gender recognition reform and justice for Scotland’s miners wrongfully arrested in the 1980s.

STUC General Secretary, Roz Foyer said: “Reform of our care sector cannot come quick enough and the STUC will engage fully in this legislation, campaigning for a National Care Service based on sectoral collective bargaining and not for profit delivery.

“The commitment of the First Minister to National Bargaining is therefore very welcome. However, the £800 million additional funding announced over the course of the Parliament is less than a quarter of the expenditure which the Feeley Review said was necessary for the social care sector.

“Yet we still have concerns that the Programme of Government tries too hard be all things to all people. It is simply not credible to raise the levels of investment required to tackle climate change, reduce inequality and create jobs while at the same time boasting about the lowest business taxes in UK and freezing income tax rates for the duration of the Parliament.

“The same lack of ambition is reflected in today’s Scottish Government response to the report of the Just Transition Commission which leaves much to be desired on future job creation and ensuring the burden of climate change is not carried by workers and the less well off.

“Fighting discrimination and inequality is at the heart of trade unions, we know trans people are some of the most disadvantaged and discriminated people in Scotland and the gender recognition bill is therefore extremely welcome in enabling trans people to access their human rights.

“Finally, I welcome the proposed Miners’ Strike Pardon Bill. It has been all too clear for decades that the miners were the victims of a politically inspired political attack and that organs of the state, including the police, were used to repress their legitimate industrial action.

“This Bill will help provide some relief to the thousands of lives were wrecked by wrongful arrest and is a testament to years of campaigning by working class families who refused to give up.”

GMB Scotland Secretary Louise Gilmour said: “The need to tackle the crisis in care is accepted, but the challenge is to end years of exploitation by giving care workers substantial pay increases. That’s how we’ll confront the understaffing crisis and transform the sector.

“It’s why GMB is campaigning for £15 an hour minimum for care workers. The prospect of staff remaining mired in wages of just under or over £10 an hour isn’t credible. 

“And there is a growing consensus supporting that view, including among Cabinet Secretaries as the Greens committed to a £15 minimum in their recent manifesto, so we need to make it happen. 

“If we are prepared to be bold and deliver proper value for workers across the social care sector then there is a huge opportunity to be grasped, everyone will benefit and Scotland will be fairer for it.” 

Joanne Smith, policy and public affairs manager for NSPCC Scotland, said: “Recovery and reform are very much needed as we move forward from the pandemic, and this year’s Programme for Government is the first step in this journey.  

“For children in Scotland to have the best start in life, it is vital that all families can access holistic support, where and when they need it, and so we are heartened by the Scottish Government’s announcement of a Whole Family Wellbeing Fund.

“In line with the Promise’s recommendations we would like to see that national spending prioritises early, preventative support for families, therefore stripping out demand for crisis-led services.

“We are also greatly encouraged by the Scottish Government’s commitment to review and redesign the Children’s Hearing System. Through our work with very young children and families in Glasgow, we see the limitations of current justice processes in meeting the distinct needs of infants and their families.

“Given that around a third of children who come into care in Scotland are under the age of five, we need to ensure justice processes are better aligned with infants’ developmental timescales. We look forward to working alongside the Review team to ensure that the rights of infants are upheld throughout the process.”

Mary Glasgow Chief Executive of the charity Children 1st said:  “Today’s Programme for Government has rightly prioritised the right of children and their families to know they can access the help and support they need whenever they need it.  

“Children 1st have long called for a transformation in the support available to families, which must be based on learning from the – often difficult – experiences of children and their families when they have needed practical, emotional or financial help.

“The proposed £500m investment in a ‘Whole Family Wellbeing Fund’ is a hugely welcome step forward and we are committed to working alongside children and their families, and the Scottish Government, to turn this significant investment into practical action.” 

Tracy Black, CBI Scotland Director, said: “With Glasgow hosting COP26 later this year, the Scottish Government is right to focus on its plans for a net zero economy. Yet given the need to cement Scotland’s economic recovery post-pandemic, businesses will feel there ought to have been a greater focus on boosting growth. While there were encouraging mentions of greater access to finance, the devil will be in the detail.

“Firms are already decarbonising their operations, and, by working alongside government, can help urgently transform net zero ambitions into action. Reforming the planning and business rates systems – enabling much needed in investment in low carbon infrastructure – would help achieve ambitious climate targets.  

“The First Minister is also right to highlight that COVID hasn’t gone away. Scottish firms have worked tirelessly throughout the crisis to keep staff and customers safe. Businesses are not calling for a rushed return to the workplace, though employers will rightly be speaking with their employees about a gradual return in line with the latest guidance.

“As the economy reopens, skills shortages remain a key concern, so employers will be frustrated not to hear more about plans for upskilling and retraining.

“Business investment is absolutely vital to Scotland’s economic recovery, and the government should do everything in its power to attract – not repel – investment and the very best talent. Ultimately, by working more closely with business to create sustainable economic growth, ministers will be able to achieve their goals of improving people’s living standards and public services.”

Delayed Discharge in NHS Lothian returns to pre Covid-19 levels

The number of days that patients who have been delayed from leaving hospital because of no appropriate place to go to has risen to 7,829 for July 2021, the latest month statistics are available for.

This is an increase of 2,004 from 5,825 delays throughout June and triple the number of bed days occupied from delayed discharge at the start of the Covid-19 pandemic when 2,531 delays occurred.

At the start of the Covid-19 pandemic SNP Ministers made the decision to move hospital patients into care homes, to free up hospital space for dealing with the Covid-19 pandemic. It later emerged that patients being moved from hospitals to care homes where not tested for Covid-19 leading to higher rates of Covid-19 deaths in care homes than anywhere else in Scotland.

The level of delayed discharge in NHS Lothian has now returned to pre- pandemic levels with the number of bed days in hospital for delayed discharge being 11 higher than March 2020, 7,278, when hospital patients where moved to care homes.

Edinburgh and the Lothians were in the process of recovering from a Social Care crisis before the pandemic hit, with the peak of delayed discharge in hospitals being in October 2018, when 11,855 combined days when patients were not able to leave hospital, despite being back to health.

Lothian MSP, Miles Briggs, said: “These figures are very concerning, with the number of patients being stuck in hospital without a suitable destination, returning to pre pandemic levels.

“In Edinburgh and the Lothians there has been a long standing challenge to provide social care, which started to shift towards care in the community.

“We are now seeing increasing numbers of patients not able to leave hospital and the Edinburgh Integrated Joint Board are planning on closing more care homes.

“Patients leaving hospital must have a suitable destination to go once recovered, so that we are not in a position where people are waiting days on end in hospital, when they don’t need to be there.”

Additional £5.4 billion for NHS COVID-19 response in England over next six months

Includes £1 billion to help tackle COVID-19 backlogs, delivering routine surgery and treatments for patients

The NHS will receive an extra £5.4 billion over the next six months to support its response to COVID-19 and help tackle waiting lists, the Prime Minister and Health and Social Care Secretary Sajid Javid have announced.

The funding will immediately go towards supporting the NHS to manage the immediate pressures of the pandemic. This includes an extra £1 billion to help tackle the COVID-19 backlog, £2.8 billion to cover related costs such as enhanced infection control measures to keep staff and patients safe from the virus and £478 million to continue the hospital discharge programme, freeing up beds.

The additional £5.4 billion brings the government’s total investment to health services for COVID-19 so far this year to over £34 billion, with £2 billion in total for the NHS to tackle the elective backlog.

Prime Minister Boris Johnson said: “The NHS was there for us during the pandemic – but treating Covid patients has created huge backlogs.

“This funding will go straight to the frontline, to provide more patients with the treatments they need but aren’t getting quickly enough.

“We will continue to make sure our NHS has what it needs to bust the Covid backlogs and help the health service build back better from the worst pandemic in a century.”

Health and Social Care Secretary Sajid Javid said: “The NHS has been phenomenal as it has faced one of the biggest challenges in its history.

“Today’s additional £5.4 billion funding over the next 6 months is critical to ensuring the health service has what it needs to manage the ongoing pandemic and helping to tackle waiting lists.

“We know waiting lists will get worse before they get better as people come forward for help, and I want to reassure you the NHS is open, and we are doing what we can to support the NHS to deliver routine operations and treatment to patients across the country.”

Amanda Pritchard, NHS chief executive, said: “This funding provides welcome certainty for the NHS, which has pulled out all the stops to restore services, while caring for thousands of seriously ill Covid patients requiring hospital treatment during the toughest summer on record.

“This additional investment will enable the NHS to deliver more checks, scans and procedures as well as helping to deal with the ongoing costs and pressures of the pandemic as the NHS heads in to winter.”

The UK Government has been clear that the NHS will ‘get what it needs’ to recover its usual services and deliver quality care to patients.

The waiting list for routine operations and treatments such as hip replacements and eye cataract surgery could potentially increase to as high as 13 million. While today’s extra £1 billion funding will go some way to help reduce this number, waiting lists will rise before they improve as more people who didn’t seek care over the pandemic come forward.

£478 million of this new funding has been dedicated to continue the hospital discharge programme so staff can ensure patients leave hospital as quickly and as safely as possible, with the right community or at-home support.

This will free up thousands of extra beds and staff time to help the NHS recover services. The government has also invested £500 million in capital funding for extra theatre capacity and productivity-boosting technology, to increase the number of surgeries able to take place.

This funding is for England only. The devolved administrations will receive up to £1 billion in Barnett consequentials in 2021-22. The final amount will be confirmed and allocated at Supplementary Estimates 2021-22.

On top of this funding, the NHS recently launched a £160 million initiative to tackle waiting lists. This is looking to accelerate the recovery of routine treatments and operations by trialling new ways of working, including a high-volume cataract service, one stop testing facilities where people can get tests done quickly and efficiently, to speed up the time to treatment, greater access to specialist advice for GPs and pop-up clinics so patients can be seen and discharged closer to home.

The UK government is ‘committed to delivering the greatest hospital building programme in a generation with 40 new hospitals by 2030’, backed by an initial £3.7 billion.

Yesterday’s announcement is in addition to the £3 billion announced at Spending Review 2020 to support the NHS.

First Minister Nicola Sturgeon is expected to announce a further £2.5 billion increase in NHS spending in Scotland when she lays out her Programme for Government later today.

Programme for Government: Record investment to ‘transform’ Scotland’s NHS

FM to confirm £2.5 billion increase in spending

Record investment to ensure Scotland’s NHS is ready to meet changing patient demands and the impact of the Coronavirus (COVID-19) pandemic will be at the heart of the 2021/22 Programme for Government (PFG) this week.

The PfG will confirm plans to introduce an unprecedented increase in frontline health spending of 20% over the current Parliament.

The first rise will be confirmed in the 2022/23 budget being published later this year and will provide additional funding of at least £2.5 billion by 2026/27.

The PfG will be set out by First Minister Nicola Sturgeon in the Scottish Parliament tomorrow (Tuesday 7 September), and will also include measures to drive a green, fair economic recovery, create a land of opportunity for our children and young people, and achieve a just transition to net zero.

It will also confirm plans to introduce legislation in the coming year to establish a new National Care Service in Scotland by the end of the current Parliament, transforming the way health and social care services are provided. 

The First Minister said: “We owe our health and social care services, and the extraordinary staff who kept them running in the toughest of years, our immense gratitude.

“As we emerge from the pandemic, we will strengthen and improve our health and social care system so that everyone gets the care they need, while recognising and repaying the efforts of staff given the toll the pandemic has had on them.

“We are already investing record amounts in out NHS, but this 20% increase will help transform the way we deliver services and ensure the system is ready to meet the challenges which still lie ahead.

“Our recent NHS recovery plan set out measures to establish a network of cancer diagnostic centres, refurbish NHS facilities across Scotland and make unprecedented investment in mental health services.

“The creation of a National Care Service will also mark the biggest reform of health and social care since the creation of the NHS and will help ensure every patient’s care journey is focused on the individual.

“Recovery from COVID-19 across all of society is the Scottish Government’s first and most pressing priority and I am determined that this Programme for Government will allow our health service to continue managing COVID-19 and our longer term population health challenges.”

Primary care funding will go up by 25% over the course of this parliament, with half of all frontline health spending invested in community health services.

The PfG will also confirm plans to invest £29 million to provide an additional 78,000 diagnostic procedures, as well as increasing inpatient and day case activity by 10% in 2022/23 and outpatient activity by 10% by 2025/26.

The first £50 million, of the planned £250 million increased investment to tackle the drugs death emergency, will also be provided.

Scottish Office minister goes back to the future in Orkney

Clean energy and tourism were top of the agenda as UK Government Minister for Scotland Iain Stewart took a fact finding trip to Orkney at the end of August.

The Minister met with Orkney Islands Council leaders and key stakeholders as he toured the archipelago to see first hand how it’s using its Neolithic ruins and world leading renewables expertise to deliver a bright future.

He heard how the UK Government’s £50 million contribution to the Islands Growth Deal will help Orkney stay at the cutting edge of green energy and boost tourism.

The £335 million Islands Growth Deal is a partnership between the UK and Scottish governments and organisations across Orkney, Shetland and the Outer Hebrides.

Among the facilities the Minister visited in Stromness were the Orkney Research and Innovation Campus for renewables research and Aquatera/European Marine Energy Centre (EMEC) who have established the Islands Centre for Net Zero to pool efforts in the race to reach net zero.

The Minister met with Highlands and Islands Airport Ltd at Kirkwall Airport to hear about the development of electric planes and saw a Hydrogen Filling Station in action at Hatston, before meetings with council leaders for a discussion on energy, digital connectivity and COP26, which Shetland Islands Council also joined.

He completed his visits with the world famous, 5,000-years-old Skara Brae village and heard about plans to increase visitor numbers to boost the local economy.

https://youtu.be/xUn5MBZYntQ

Minister Stewart said: “It was a great experience to visit Orkney and I’m delighted the Islands Deal Growth deal is going to help develop the future of the archipelago alongside Shetland and the Outer Hebrides.

“I saw how Orkney has the potential to generate through wind, waves and tides, a vast amount of the renewable energy that the UK needs to get towards net-zero. I really do believe that Orkney can be a trailblazer.

“But it’s not all about the present and future. Skara Brae, a 5000-years-old Neolithic village, is an incredibly important tourist destination, not just in Orkney, but a World Heritage Site.

“I look forward to seeing how, with the help of UK Government funding, experts will develop this as a destination both to make it more sustainable and cope with hopefully ever-increasing numbers as tourism returns after the pandemic.

Alex Cole-Hamilton: Lib-Dems say NO to ‘COVID ID cards’

Vaccinations are undoubtedly the route out of this. But vaccine passports are not.”

Scottish Liberal Democrats leader Alex Cole-Hamilton has spoken out against Scottish Government proposals to introduce a vaccine certificate in Scotland.

The Edinburgh Western MSP said: “Next week the Scottish Parliament will vote on SNP/Green proposals to introduce vaccine certification in Scotland.

“For the first time, Scottish People will have to share private medical data with strangers in order to access venues and services. 

“These are COVID ID cards in all but name and the Scottish Liberal Democrats are leading the opposition to their introduction.

“Our hospitality and events businesses see COVID ID cards as a threat to their recovery.

“COVID ID cards will not stop the spread of the virus, reduce case numbers or make up for the week-long delays in contact tracing. There are no time limits on their use and the door will be left open to expand their use in the future. 

“Vaccines are our way out of the pandemic and I urge everyone who can receive a vaccine to get one. But COVID ID cards are illiberal and dangerous precedent and are not part of the answer.”