Holyrood’s Acting Energy Secretary Gillian Martin and UK Energy Secretary Ed Miliband today signed a collaborative agreement on partnership between GB Energy and Scottish public bodies.
This aims to ensure that GB Energy maximises investment in Scotland:
Collaborative agreement between the Scottish Government and UK Department for Energy Security and Net Zero
Vision
The Scottish Government and DESNZ have a shared objective in ensuring that Great British Energy (GBE) is set up to deliver effectively and maximise the benefits of its activities in Scotland.
Our joint objective is to secure investment in domestic priority supply chains and infrastructure to increase the pace of delivery of clean energy technologies, and maximise the economic benefits arising from this, including through creating jobs. GBE’s mission is to drive clean energy deployment, to create jobs, boost energy independence, and ensure UK taxpayers, billpayers and communities reap the benefits of clean, secure, home-grown energy, as set out in its Founding Statement.
Developing partnerships with existing Scottish public bodies active within the clean energy sector – including Crown Estate Scotland, the Enterprise Agencies and the Scottish National Investment Bank – is a way in which GBE can deliver quickly and effectively, avoid duplication, and deliver maximum impact and value for money from Scottish projects. Scotland already has a strong pipeline of clean energy and supply chain opportunities, and is at the forefront of floating offshore wind development.
DESNZ and the Scottish Government will therefore explore opportunities for GBE to partner with these Scottish public bodies, as well as the Scottish Government’s Community and Renewable Energy Scheme (CARES). These partnerships will seek to deliver increased investment in the clean energy supply chain in Scotland and related areas of value, to support community and local energy, and to support parity between GBE’s activities in Scotland and those in the rest of the UK, recognising Scotland’s institutional landscape. The Scottish Government and DESNZ will continue to engage on areas of mutual interest as GBE’s activities and commercial models evolve to promote equivalent opportunities for Scottish public bodies, where organisations can work together to deliver joint objectives.
DESNZ and the Scottish Government will also explore how GBE’s activities support the delivery of priority supply chain and infrastructure development work already being undertaken in Scotland, and activity to support community and local energy in Scotland.
Our work will help ensure that GBE’s supply chain work aligns with and enhances these activities, thereby supporting accelerated deployment of the existing Scottish offshore wind pipeline and other clean energy projects.
This agreement makes no changes to the devolved or reserved competences of either party, and this agreement will operate consistently with the devolution settlement.
Potential activities in scope
The following are potential investment activities which could be supported through a partnership between GBE and the Scottish public bodies:
the clean energy supply chain, including ports infrastructure, manufacturing and construction activities
land to support these activities
services that support supply chain development, such as digital
community and local energy projects
The clean energy supply chain includes ports and harbours, wider clean energy infrastructure, manufacturing, fabrication and construction activities.
GBE will be operationally independent, with the ability to make decisions on its own activities, within the legal framework set out in the GBE Bill, and respecting the Scottish Ministers’ devolved competences.
Where there is any formal collaboration between the Scottish Government and DESNZ on supply chain and infrastructure investment activity, this will be developed and agreed on a case-by-case basis bringing in other delivery partners as required.
Nothing in this agreement should be construed as conflicting with the Scottish Ministers’ devolved powers and functions which take precedence over this statement. This agreement does not create legal obligations between the parties.
OVER 178 MILLION FREE BUS JOURNEYS MADE IN SCOTLAND IN 2023/24
ENGLAND’S ELDERLY WAIT AN ADDITIONAL SIX YEARS FOR FREE BUS PASS
SNP MSP for Edinburgh Pentlands Gordon Macdonald has welcomed figures showing 35,785,216 free bus journeys have been made in Edinburgh this year, thanks to the SNP protecting free bus passes for the over 60’s and those with disabilities, as well as introducing free bus travel for the under 22’s.
In Scotland, the SNP Government has consistently protected free bus passes for everyone over 60, and disabled people, while also extending the scheme to injured veterans. By contrast, in England, pensioners only receive their free bus pass upon reaching the state pension age of 66 – six years later than is the case in Scotland.
The free bus travel scheme for under 22s, introduced in 2022, is helping young people across Edinburgh access work, education, and further training, free of charge. No equivalent scheme exists anywhere else in the UK.
In Edinburgh 35,785,216 free bus journeys have been made under these schemes in 2023/24, contributing to the over 178 million free journeys recorded across Scotland this year.
Commenting, MSP for Edinburgh Pentlands Gordon Macdonald, said:“The delivery of almost 36 million free bus journeys across Edinburgh this year is a fantastic achievement, that demonstrates the SNP Government’s commitment to improving mobility for our youngest, oldest, and most vulnerable citizens.
“These free bus passes are a lifeline for many, helping people access essential services, education, and employment.
“While the UK Labour Government is determined to strip pensioners of their Winter Fuel Payment – the SNP Government is supporting our pensioners by protecting the free bus pass from age 60 – unlike in England, where it’s issued at age 66.
“While the UK Labour Government is busy increasing tuition fees in England, we’re supporting our young people by introducing free bus passes to support them going to work, school, education or further training.
“The SNP is committed to continuing to support all of Scotland – and it’s important to celebrate the difference that SNP policies are making here in Edinburgh, with 35,785,216 of free bus journeys made this year under the free bus travel schemes – part of over 178 million free bus journeys made across Scotland this year.”
Budget speculation, the economy returns to growth, the impact of cuts, and the disability employment gap
Three weeks still to go, and speculation about what will be in the Budget on 30th October continues (writes Fraser of Allander Institute’s MAIRI SPOWAGE, SANJAM SURI and EMMA CONGREVE).
Will the Chancellor change her fiscal rules? It looks likely that there will be some movement on this, whether in the definition of debt or something more fundamental, however much that could undermine their commitments in the manifesto.
Will there be increases in Capital Gains Tax? The speculation on this has reached fever pitch, with some stories suggested rates from 33% to 39% are being considered. (Interestingly, when we look at the ready reckoners from the HMRC, changes of this magnitude in some forms of CGT actually may result in less revenue when behavioural effects are taken into account). There certainly seems to be expectations out there in the economy that the rate may change, with lots of signs that disposals have increased hugely in anticipation.
Will there be increases to employer national insurance contributions? There has been much discussion about this, given the commitment of the UK Government not to “raise taxes on working people”, and due to the fact that the PM would not rule this out this week. A 1 percentage point rise in employers NICS would raise almost £9bn according to the ready reckoner (although we think that doesn’t include the additional costs to departments).
We’ll be going into the detail of some of these issues in the run up to the Budget, so there will be plenty for you all to chew over as we wait… and wait… for the Budget.
UK Economy Returns to growth in August
Data released this morning showed that the UK economy posted its first monthly GDP increase since May 2024. ONS reported this morning that monthly real GDP grew 0.2% in August 2024. There were no revisions made to the “no growth” months of June and July. While monthly numbers were in line with consensus forecasts, they show an economy that has slowed down from the beginning of 2024.
The good news is that growth in August came from all key sectors- with services rising by 0.1%, and production and construction rising by 0.5% and 0.4% respectively. Crucially- August was also the first time all three sectors positively contributed to growth since March 2024.
A more granular breakdown of service sector growth indicates that the biggest positive contribution came from the professional, scientific, and technical activities subsector- where monthly change in output was +1.6% from the previous month. Despite overall growth in services sector- seven subsectors saw decline in economic activity- with arts, entertainment, and recreation falling 2.5% over July 2024.
The production sector grew by 0.5% in August after hefty decline of 0.7% in July. Despite a rebound in August, the production output is essentially flat since the end of May 2024. The biggest contributor to production sector came from 1.1% rise in manufacturing activity- driven by transport equipment manufacturing However, mining and quarrying output declined 4.0% over July 2024- continuing their downward trend since end of December 2023.
What is the impact of cuts in spending?
When the Scottish Government presented their Fiscal Statement to parliament in early September, the Cabinet Secretary for Finance said that impact assessments had been done to understand the impact that the announced cuts could have on different groups.
These assessments were not published at the time, but finally were published last week. We welcome the publication of these, and although there are lots of criticisms that could be made of the assessments, it is good to see this transparency. One area of weakness is assuming that if funding was maintained at previous levels, there will be minimal impact, which assumes that previous levels was the correct level… so why was the budget being increased in the first place?
One of the main things to note though is the lack of analysis of cumulative impact on groups. A number of “minimal impacts” could still add up to something significant if they are affecting the same group.
Final report of the parliamentary Inquiry into the disability employment gap published
In 2016, the Scottish Government published A Fairer Scotland for Disabled People, which outlined how the government intended to shape policy – especially labour market policy – for disabled people living in Scotland.
One of the key goals this report outlined was reducing the gap in the employment rate between disabled and non-disabled adults. In 2016, 80.4% of non-disabled working aged adults were employed in Scotland, compared to 42.8% of disabled working aged adults, making for an employment gap of 37.5 percentage points. The government’s goal was to cut this gap in half by 2038.
In 2023, the Economy and Fair Work Committee in Scottish Parliament launched an inquiry into how this policy goal was going. In fact, in 2023, it seemed like it was going quite well.
The gap was down to 30.3 percentage points, which was actually ahead of schedule: if progress were linear, the disability employment gap would drop by about 0.85 percentage points each year, meaning that it would be 31.5 percentage points in 2023.
Two of our economists at the FAI, Allison Catalano and Christy McFadyen, contributed to this inquiry through a fellowship with the Scottish Parliament Information Centre (SPICe). Their work, which we published back in January, found that the majority of the change in disability employment is due to a rise in disability prevalence, rather than any specific policy.
Their report also highlighted some significant data issues: people with different types of disability have vastly different capacities for employment, vastly different support needs within employment, and vastly different rates of employment. Yet, in Scottish data and policymaking, disabled people are often treated as a singular entity, meaning that it is not possible to understand where policy interventions might be most effective.
The final inquiry publication highlights our work and a variety of other issues which will need to be addressed in order to improve work access for disabled people, all of which can be found here. They have produced 44 recommendations to improve employment prospects for disabled people.
The Scottish Parliament has announced the launch of a ‘people’s panel’ which will consider the question: ‘What does Scotland need to do differently to reduce drug related harms?’
The people’s panel, made up of 25 people from across Scotland who are broadly representative of the Scottish population, will work together to scrutinise the issue. The final report will help inform the cross-Committee scrutiny of matters related to reducing drug deaths and tackling problem drug use by the Criminal Justice Committee, the Health, Social Care and Sport Committee, and the Social Justice and Social Security Committee.
Last month, 5000 invitation letters were sent to residential households across Scotland, selected at random from the Royal Mail’s address database. 25 people were then chosen to form the panel.
The people’s panel will meet over two weekends – on October 25 -27 and November 15 – 17 – where they will hear testimony from those with lived experience of the issue, from academics and researchers, and from stakeholders who work in this area.
Organisations the panel shall hear from include Community Justice Scotland, Scottish Families Affected by Alcohol and Drugs and the Scottish Drugs Forum.
The panel will deliberate on the evidence they gather before a final report is produced which will identify what they see as the key issues and provide recommendations for action to tackle these issues.
Audrey Nicoll, Convener of the Criminal Justice Committee said:“The issue of how to tackle drug deaths and drug related harms is one of great and urgent national importance.
“This people’s panel can offer a fresh perspective on this issue.
“It is vital that the Scottish Parliament is proactive in involving the people of Scotland in its work. This is a unique opportunity for MSPs on our Committees to hear grassroots views which can help in holding the government to account.”
“It is an issue which deserves national attention and that’s why it’s so important a range of views from across Scotland are heard.
“Holding a people’s panel on this topic is an opportunity for a broad section of Scotland’s society to shape political discourse, to consider this matter in detail and to make recommendations which can help tackle this issue.”
“We know that drug related deaths and the myriad harms of drug use cause pain and distress to people and families across Scotland.
“Our Committees look forward to engaging with the panel and hearing their recommendations on what more they feel can and should be done to tackle this issue.”
Scotland’s former First Minister Alex Salmond died of a suspected heart attack yesterday while on a speaking engagement in North Macedonia. The Alba Party leader, the man who lead the independence movement for many years, was 69.
Mr Salmond was a political giant, by far the foremost politician of his generation in Scotland, and while his fallout with the Scottish National Party in recent years is well documented his death is a massive loss to the independence movement.
As often happens in the sometimes grubby world of politics, former political opponents and colleagues – many of whom had latterly plotted and briefed against Mr Salmond – have come forward with words of praise for the former leader.
In a message issued by Buckingham Palace, King Charles said: “My wife and I are greatly saddened to hear of the sudden death of Alex Salmond.
“His devotion to Scotland drove his decades of public service.
“We extend our deep condolences to his family and loved ones at this time.”
Commenting on news that the former First Minister and SNP Leader Alex Salmond has died, First Minister John Swinney said: “I am deeply shocked and saddened at the untimely death of the former First Minister Alex Salmond and I extend my deepest condolences to Alex’s wife Moira and to his family.
“Over many years, Alex made an enormous contribution to political life – not just within Scotland, but across the UK and beyond.
“Alex worked tirelessly and fought fearlessly for the country that he loved and for her Independence. He took the Scottish National Party from the fringes of Scottish politics into Government and led Scotland so close to becoming an Independent country.
“There will be much more opportunity to reflect in the coming days, but today all of our thoughts are with Alex’s family, and his many friends and right across the political spectrum.”
UK Prime Minister Sir Keir Starmer said: “For more than 30 years, Alex Salmond was a monumental figure of Scottish and UK politics. He leaves behind a lasting legacy.
“My thoughts are with those who knew him, his family, and his loved ones. On behalf of the UK government I offer them our condolences today.”
Former Prime Minister David Cameron said: “We disagreed about many things, but there is no doubt that Alex Salmond was a giant of Scottish and British politics.
“Hugely passionate about the causes he championed, he was one of those rare politicians with both enormous charisma and genuine conviction, who always held the room.
“No matter your own point of view, you couldn’t help but stop and listen to his every word. He might have had his faults, but he was as sharp as a button with a strategic mind – I once said you had to count your fingers on the way out of a meeting with Alex! He has been taken far too young; my thoughts and prayers are with Alex’s family.”
Presiding Officer of the Scottish Parliament Alison Johnstone said: “On behalf of @ScotParl, on the sad news of the passing of Rt Hon Alex Salmond, First Minister of Scotland from 2007 to 2014, my most sincere condolences to his wife Moira, his family and friends at this difficult time. Our thoughts are with you.
“Flags at the Parliament have been lowered as a mark of respect.”
Nicola Sturgeon has also paid tribute to her former SNP colleague and political mentor Alex Salmond.
The pair were almost inseperable for more than three decades as they helped transform the Nationalists from a noisy fringe movement into what became an impressive election-winning machine.
The pair were also the driving force behind the 2014 independence referendum and the campaign for a Yes vote.
But there was a dramatic parting of the ways for the Indy ‘dream team’ after allegations of sexual assault were made against Salmond by several women, which led to a criminal trial in 2020. Alex Salmond was cleared on all charges, and questions remain over some aspects of the case against Salmond.
Ms Sturgeon said: “I am shocked and sorry to learn of Alex Salmond’s death. “Obviously, I cannot pretend that the events of the past few years which led to the breakdown of our relationship did not happen, and it would not be right for me to try.
“However, it remains the fact that for many years Alex was an incredibly significant figure in my life. He was my mentor, and for more than a decade we formed one of the most successful partnerships in UK politics.
“Alex modernised the SNP and led us into government for the first time, becoming Scotland’s fourth First Minister and paving the way for the 2014 referendum which took Scotland to the brink of independence.
“He will be remembered for all of that. My thoughts are with Moira, his wider family and his friends.”
Former Westminster colleague Joanna Cherry said: “I am devastated to hear that Alex Salmond has died. He was one of the most talented politicians of his generation, and, by any measure, the finest First Minister our country has had. He changed the face of Scottish politics.
“Sadly, he was ill used by some of his former comrades, and I am sorry that he has not lived to see his vindication. I shall remember him as an inspiration and a loyal friend. My heartfelt condolences go to Moira, his family, and all who loved him.”
City of Edinburgh Council leader Cllr Cammy Day said:
ALBA Party MSP Ash Regan tweeted: “A tour de force in politics, who took us close to independence. Alex had the nation believe in itself.
“My thoughts to his family, friends and all those who he inspired to dream. ”
Journalist and independence campaigner Lesley Riddoch commented: “Maybe naysayers will think Alex Salmond’s death marks an end to the campaign for independence. I’d suggest it’s quite the opposite.
“The responsibility has been handed on to everyone who would now vote Yes. And the baton has been handed over to new generations.”
The Economy and Fair Work Committee is calling on the Scottish Government to deliver a clear and measurable action plan that focuses on the needs of people with a learning disability and neurodiverse people, if the ambition to halve the disability employment gap by 2038 is to become a reality.
The call comes as the Committee publishes a report following an inquiry into the disability employment gap.
During evidence, the Committee heard that the current strategy does not contain enough detail on how the target will be achieved. The Committee says that the Scottish Government must now listen to voices of people with lived experience to understand where improvements are needed to help disabled people into employment, particularly those who are the furthest from the workplace.
The Committee’s report considers the specific barriers disabled people face, what help is available for them to access the labour market, and the support available for employers for more inclusive recruitment practices and workplaces.
As part of its work, the Committee took evidence from, and engaged with, disabled people seeking employment as well as those who support them. It repeatedly heard that the way society views disabled people needs to change if they are to gain qualifications, access suitable jobs and thrive in the workplace.
The Committee also heard how most business owners want to employ disabled people, but that the fear of “getting things wrong” often stops them from doing so and that current guidance for employers is often too long and inaccessible.
The report now calls on government, local authorities, businesses, and employability services to work together to reduce the disability employment gap. This will require changes to be made across the different sectors to help prepare all young people for work, as well as finding work and staying in employment.
The Committee also asks that the Scottish Government provides an update on progress around its fair work resource for employers, which should address employers’ concerns and be easily accessible.
Claire Baker MSP, Convener of the Economy and Fair Work Committee, said:“Progress has been made in reducing the disability employment gap, but this is at risk of stalling unless the Scottish Government focuses on the needs of people with learning disabilities and neurodiverse people. They are the furthest from the workplace and supporting them into employment is crucial if the gap is to be halved by 2038.
“Today we have shone a light on the barriers that disabled people face in actively looking for employment. By hearing directly from people with lived experience, our inquiry has made it clearer what actions needs to be taken, and by whom, to help more people into fulfilling, long-term work.
“We know that in some workplaces everyone, regardless of their background, is able to get and keep a job. But disabled people everywhere who are actively looking for employment should have an equitable experience.
“Policymakers, together with public, private and third sectors, can all help by working together across the sectors. This starts at school, by building confidence, resilience, aspiration in all young people, with support on transitioning to adulthood and entering further education or work. If disabled people want to work, they should be offered support to both find and sustain it.
“The Committee is concerned that unless we see action on our recommendations, the target will not be met.”
Other findings and recommendations include:
Applications for the UK Government’s Access to Work scheme, which provides funding for reasonable adjustments and specialist equipment to assist disabled people in the workplace, can take a long time and the funding cap can be too restrictive. Witnesses also said that the current scheme is not particularly helpful to self-employed or freelance workers. The Committee asks the UK Government whether it plans to review the scheme to address these concerns.
The 2024-25 budget contained a 24.2% cut to employability services. Additionally, the Committee heard there can be delays in employability services receiving funding, and only receiving funding on an annual basis, which makes planning and employing properly qualified staff to provide services more challenging. Given the clear link between the work of employability services and the ambition to halve the disability employment gap by 2038, the Committee asks the Scottish Government to outline how it will provide long-term funding certainty to these services.
Disabled and neurodiverse young people often do not receive the correct support in transitioning to adulthood. The Committee heard that teaching staff and careers advisors are overburdened and are sometimes not given proper training to best assist disabled and neurodiverse young people. The Committee asks that training for teachers and careers advisors be included in the Scottish Government’s upcoming National Transitions to adulthood strategy, and that the Scottish Government considers the provision of transition coordinators in schools to provide better support.
A year on from the Scottish Government commitment to increase investment in culture by £100 million annually by 2028-29, stakeholders have indicated confidence in the culture sector remains low due to the lack of clarity from the Government regarding how the additional investment will be rolled out, say the Constitution, Europe, External Affairs and Culture Committee.
The Committee say the Scottish Government should provide this greater clarity and certainty to the sector following the UK Spending Review, when it has more clarity on its longer-term budgetary outlook. The findings are part of the Committee’s pre-budget scrutiny of the culture portfolio ahead of the Scottish Government Budget 2025-26.
The Committee says it recognises the challenging environment facing public finances currently and welcome the Scottish Government’s commitment to increase investment in culture by £100 million annually by 2028-29. It also welcomes the intended minimum £25 million increase in culture funding for 2025-26.
The Committee say the recent temporary closure of the Open Fund for Individuals was unhelpful given the urgent need to restore confidence in the culture sector.
It says it’s unclear why Creative Scotland and the Scottish Government were unable to resolve any issues before the fund closure was announced and is seeking reassurances from both that lessons have been learned from the significant uncertainty this caused to the sector.
The Committee add that the recent postponement of announcing the Multi-Year Funding Programme outcomes until January 2025, a matter of weeks before those decisions were scheduled to be announced, has led to yet more uncertainty for the sector.
The Committee say there is a need for a substantially improved relationship between Creative Scotland and the Scottish Government and therefore welcome the proposed review of Creative Scotland.
As part of this review the Committee say it should review the legislation which sets out Creative Scotland’s statutory roles and responsibilities, consider where it sits within the wider culture sector, and the level of resourcing it requires to fulfil its functions.
Following the significant concerns highlighted by the Committee regarding Creative Scotland’s handling of the funding for Rein, the Committee say the review must also consider effective governance and transparency.
The Committee also welcome that this will form part of a wider review of the way the culture sector is supported, which it says will be valuable in supporting the effective distribution and investment of additional funding for the sector. However, the Committee say it is key this review does not delay the delivery of additional investment, including the planned minimum £25 million additional funding for 2025-26.
The Convener of the Constitution, Europe, External Affairs and Culture Committee, Clare Adamson MSP, said:“We recognise the funding challenges facing the Scottish Government and we welcome their commitment to increase investment in culture by £100 million annually by 2028-29 and the intended £25 million at least increase for culture in 2025-26.
“We think the Scottish Government should provide greater clarity and certainty to the culture sector on planned funding increases following the UK Spending Review, when it has greater clarity on its own budgetary outlook as this can increase confidence in the sector.
“There must also be a strategic approach taken for any increased funding to ensure the Scottish Government maximises the impact of the increased investment in culture that it has committed to deliver. That’s why we welcome the review of the way the culture sector is supported.”
The Deputy Convener, Alexander Stewart MSP added: “The temporary closure of Creative Scotland’s Open Fund for Individuals and the postponement of announcing the outcomes of their Multi-Year Funding Programme only add to the feeling of uncertainty and precariousness across the culture sector.
“We believe the relationship between Creative Scotland and the Scottish Government must substantially improve and while we welcome the proposed review of Creative Scotland, we recommend it should be independent and look at effective governance and transparency.
“We support this forming part of a wider review of the whole culture sector, how it is supported and funded, in order to foster a sustainable and thriving sector for all.”
Victims of crime will receive improved support, advice and information as part of planned reforms to the Victim Notification Scheme (VNS).
Under proposed changes to the scheme – which entitles victims or close relatives of victims to certain information about the person responsible for the crime – a new Victim Contact Team will be set up to give personalised support to victims, based on their individual needs.
Victims will automatically be referred to the team for a trauma-informed discussion about their options for registering for the VNS and for an explanation of their rights. The amount of information available to victims about the offender(s), which includes information about their release, will also be expanded.
The Scottish Government will introduce the reforms as part of its response to recommendations in the Independent Review of the Victim Notification Scheme, which heard directly from victims about their experiences of the justice system and the VNS. Recent experiences with how the VNS operated in relation to measures to manage the prison population have also informed the response to the Review.
The Scottish Government has agreed the majority of the Review’s recommendations, including the central proposal of creating a Victim Contact Team, with plans developed following discussions with justice and victim support organisations. Legislation to underpin the creation of the Contact Team will be progressed through the Victims, Witnesses and Justice Reform (Scotland) Bill, which is continuing its passage through Parliament.
Victims Minister Siobhian Brown said: “These reforms will put the needs of victims firmly at the heart of the Notification Scheme. By increasing the information available to victims, improving communication across justice agencies and making the system more accountable, we can ensure the scheme continues to be as effective and trusted as possible.
“We have already begun work to implement the Independent Review’s recommendations, including to create a Victim Contact Team to provide personalised support for victims. Each victim has different needs that deserve to be handled sensitively and victims will automatically be referred to the team, who will explain their rights and provide support.
“This is a priority for the Scottish Government and we will use the Victims, Witnesses and Justice Reform (Scotland) Bill already progressing through Parliament to ensure the reforms are taken forward at pace.
“I am grateful to all those who shared their experiences during the Independent Review, particularly victims and their families. We will continue to listen to their voices as we continue strengthening support for them and progress these latest reforms to the Victim Notification Scheme.”
VNS Independent Review Chair Alastair MacDonald and Vice Chair Fiona Young said: “The agreement to establish a Victim Contact Team to help victims understand what information they may receive and to get that information in a way that helps them is welcome.
“It is hoped that implementation of other recommendations will also be prioritised.”
Ann Fehilly, of domestic abuse court advocacy service ASSIST, said: “ASSIST has long advocated for the Victim Notification Scheme to be victim-centred, trauma-informed and responsive to the needs of victims.
“We welcome the Scottish Government’s acceptance of almost all of the Review recommendations and look forward to working collaboratively with them to put into effect the plan.
“We are pleased that choice for victims is at the heart of the process, alongside a commitment to work with organisations which support victims to access the right information timeously. It is crucial that victims of domestic abuse are kept informed to ensure they are safe from further harm.”
Ministers have unveiled the Employment Rights Bill to help deliver economic security and growth to businesses, workers and communities across the UK
Legislation introduced in Parliament to upgrade workers’ rights across the UK, tackle poor working conditions and benefit businesses and workers alike
Ahead of International Investment Summit, government reveals landmark reforms in under 100 days to boost pay and productivity, showing the benefits of a ‘pro-business, pro-worker’ approach
New balance for early months of a job at heart of pragmatic reforms to help drive growth in the economy and support more people into secure work
Employment Rights Bill will end exploitative zero-hour contracts and unscrupulous fire and rehire practices, while establishing rights to bereavement and parental leave from day one
Today (10 October) ministers have unveiled the Employment Rights Bill to help deliver economic security and growth to businesses, workers and communities across the UK.
Getting the labour market moving again is essential to economic growth with one in five UK businesses with more than 10 employees reporting staff shortages. Flexibility, for workers and businesses alike, is key to answering this challenge and is at the heart of the legislation to upgrade the law to ensure it is fit for modern life and a modern economy.
The existing two-year qualifying period for protections from unfair dismissal will be removed, delivering on the manifesto commitment to ensure that all workers have a right to these protections from day one on the job.
The government will also consult on a new statutory probation period for companies’ new hires. This will allow for a proper assessment of an employee’s suitability to a role as well as reassuring employees that they have rights from day one, enabling businesses to take chances on hires while giving more people confidence to re-enter the job market or change careers, improving their living standards.
The bill will bring forward 28 individual employment reforms, from ending exploitative zero hours contracts and fire and rehire practices to establishing day one rights for paternity, parental and bereavement leave for millions of workers. Statutory sick pay will also be strengthened, removing the lower earnings limit for all workers and cutting out the waiting period before sick pay kicks in.
Accompanying this will be measures to help make the workplace more compatible with people’s lives, with flexible working made the default where practical. Large employers will also be required to create action plans on addressing gender pay gaps and supporting employees through the menopause, and protections against dismissal will be strengthened for pregnant women and new mothers.
This is all with the intention of keeping people in work for longer, reducing recruitment costs for employers by increasing staff retention and helping the economy grow.
A new Fair Work Agency bringing together existing enforcement bodies will also be established to enforce rights such as holiday pay and support employers looking for guidance on how to comply with the law.
Deputy Prime Minister Angela Rayner said: “This government is delivering the biggest upgrade to rights at work for a generation, boosting pay and productivity with employment laws fit for a modern economy.
“We’re turning the page on an economy riven with insecurity, ravaged by dire productivity and blighted by low pay.
“The UK’s out-of-date employment laws are holding our country back and failing business and workers alike. Our plans to make work pay will deliver security in work as the foundation for boosting productivity and growing our economy to make working people better off and realise our potential.
“Too many people are drawn into a race to the bottom, denied the security they need to raise a family while businesses are unable to retain the workers they need to grow. We’re raising the floor on rights at work to deliver a stronger, fairer and brighter future of work for Britain.”
Business Secretary Jonathan Reynolds said: “It is our mission to get the economy moving and create the long term, sustainable growth that people and businesses across the country need. Our plan will give the world of work a much needed upgrade, boosting pay and productivity.
“The best employers know that employees are more productive when they are happy at work. That is why it’s vital to give employers the flexibility they need to grow whilst ending unscrupulous and unfair practices.
“This upgrade to our laws will ensure they are fit for modern life, raise living standards and provide opportunity and security for businesses, workers and communities across the country.”
Alongside the legislation, a ‘Next Steps’ document for the Make Work Pay Plan has been published outlining the government’s vision and long-term plans and setting out our ambitions for the plan to grow the economy, raise living standards across the country and create opportunities for all.
Ending one-sided flexibility
The legislation will level the playing field where all parties understand what is required of them and good employers aren’t undercut by bad ones.
The bill will end exploitative zero hours contracts, following research that shows 84% of zero hours workers would rather have guaranteed hours. They, along with those on low hours contracts, will now have the right to a guaranteed hours contract if they work regular hours over a defined period, giving them security of earnings whilst allowing people to remain on zero hours contracts where they prefer to. According to TUC research nearly two thirds of managers (64%) believe ending zero hours contracts would have a positive impact on their business.
Ending unscrupulous employment practices is a priority for this government and none more so than shutting down the loopholes that allow bullying fire and rehire and fire and replace to continue. The government is closing these loopholes and putting in place measures to give greater protections against unfair dismissal from day one, ensuring that the feeling of security at work is no longer a luxury for the privileged few.
This bill turns the page on the previously ineffective, costly and conflicting approach to dealing with industrial relations that has brought so much disruption to businesses and livelihoods. lt repeals the anti-union legislation put in place by the previous administration, including the Minimum Service Levels (Strikes) Act legislation that failed to prevent a single day of industrial action while in force.
Employment Rights Minister Justin Madders said: “We know that most employers proudly treat their staff well. However, for decades as the world of work has changed, employment rights have failed to keep pace, with an increase in one-sided flexibility slowing the potential for growth in the economy.
“The steps we’re taking today will finally right these wrongs, working in partnership with business and unions to kickstart economic growth that will benefit them, their workers and local communities.
“From tackling fire and rehire to ending exploitative zero hours contracts, we are delivering a modern economy that drives up living standards for families across the UK.”
Supporting working families
Too many people find that the current system isn’t compatible with the realities of everyday life, whether that’s raising children or supporting a loved one with a health condition. The government wants to make sure that everyone can get on in work and not be held back because work isn’t compatible with important family responsibilities.
That is why the government will:
Change the law to make flexible working the default for all, unless the employer can prove it’s unreasonable.
Set a clear standard for employers by establishing a new right to bereavement leave, with the entitlement sculpted with the needs of employees and the concerns of employers at the forefront.
Deliver stronger protections for pregnant women and new mothers returning to work including protection from dismissal whilst pregnant, on maternity leave and within six months of returning to work.
Tackle low pay by accounting for cost of living when setting the Minimum Wage and remove discriminatory age bands.
Establish a new Fair Work Agency that will bring together different government enforcement bodies, enforce holiday pay for the first time and strengthen statutory sick pay. It will create a stronger, recognisable single organisation that people know where to go for help – with better support for employers who want to comply with the law and tough action on the minority who deliberately flout it.
Beyond the bill
The Make Work Pay Plan doesn’t stop with this bill. Continuing to reform employment rights in line with changes to the economy and labour market is critical to maintaining growth, prosperity and opportunity. As an outlook to the future, the government has also today published a Next Steps document that outlines reforms it will look to implement in the future.
Subject to consultations, this includes:
A Right to Switch Off, preventing employees from being contacted out of hours, except in exceptional circumstances, to allow them the rest and get the recuperation they need to give 100% during their shift.
A strong commitment to end pay discrimination by expanding the Equality (Race and Disparity) Bill to make it mandatory for large employers to report their ethnicity and disability pay gap.
A move towards a single status of worker and transition towards a simpler two-part framework for employment status.
Reviews into the parental leave and carers leave systems to ensure they are delivering for employers, workers and their loved ones.
Responding to the government’s initiative, these businesses and employee groups have said:
Shirine Khoury-Haq, CEO of the Co-op, said: “We support the Government’s ambitions to strengthen rights for workers and value the co-operative approach to involve employers in the reforms.
“As the UK’s largest consumer co-operative, Co-op has long supported colleagues to have good working lives, with policies like our leading bereavement leave, day one right to request flexible working arrangements, and menopause support already in place. The positive impact of these policies is clear to see.
“Being able to support colleagues when they need it, and in particular women, parents and carers, helps retain valuable talent and makes good business sense. We look forward to continuing to work with Government to make work pay and to deliver economic growth.”
Paul Nowak, TUC General Secretary, said: “After 14 years of stagnating living standards, working people desperately need secure jobs they can build a decent life on.
“Whether it’s tackling the scourge of zero-hours contracts and fire and rehire, improving access to sick pay and parental leave, or clamping down on exploitation – this Bill highlights the Government’s commitment to upgrade rights and protections for millions.
“Driving up employment standards is good for workers, good for business and good for growth. While there is still detail to be worked through, it is time to write a positive new chapter for working people in this country.”
Jane van Zyl, CEO at Working Families, said: “As campaigners for better rights for working parents and carers, we’re pleased there is hope on the horizon for the millions who stand to benefit from the transformational changes in the proposed Employment Bill.
“Establishing workplace rights from day one and making flexible working the default could be the key to unlocking labour market mobility, with the promise of getting the economy moving and ensuring parents and carers are not held back in their careers.
“In addition, we welcome any strengthening of legislation that helps protect pregnant women and new mothers against losing their jobs unfairly at a vulnerable time in their lives.
“The proposals in the Plan to Make Work Pay have the potential to remove barriers in the workplace, give a better start for new parents and reduce gendered roles in caring. The message it sends that worker’s rights matter, and the willingness to address inequalities, is very promising.”
Simon Roberts, Chief Executive of Sainsbury’s, said: “As one of the UK’s largest employers we put our colleagues at the heart of everything we do. We see the clear link between engaged, motivated colleagues and business performance and that is why we have increased colleague pay by over 50% in the last 5 years.
“We share the Government’s vision of making work pay, enabling growth and driving productivity. We welcome today’s announcement and Government engagement with business to date and look forward to seeing progress on business rates reform, which would deliver real benefits for our colleagues, customers and communities.”
Peter Cheese, Chief Executive of CIPD, the professional body for HR and Learning & Development professionals, said: “We share the Government’s ambition to raise employment standards and job quality through the Employment Rights Bill as part of the wider Make Work Pay agenda.
“The changes being proposed represent the greatest update in employment legislation in decades. We’re pleased to see the ongoing commitment from Government to engage with the business community to work through the important details to ensure they have a positive impact for both employers and workers.”
Jemima Olchawski, CEO of Fawcett Society, said: “Today’s draft employment bill is a win for women. Fawcett and our members have campaigned long and hard to see government chart a new course for inclusive economic growth and to improve women’s working lives.
“We share this government’s ambition to ensure all women can thrive at work and fully contribute to the economy.”
Mark Reynolds, Mace Group Chair and Chief Executive, said: “Ensuring British workers are supported with strong employment rights benefits everyone – employers as well as employees.
“This package of reforms is a welcome insight into the Government’s plans and show that they have engaged extensively with businesses and taken a pragmatic approach. We’re pleased to support it; both on behalf of Mace and the wider construction industry. We look forward to working closely with the Government as they take these plans forward.”
Brian McNamara, CEO of Haleon, said: “It is crucial that the Government continues to engage with the business community on such an important piece of legislation and we welcome the dialogue to date.
“Haleon is committed to creating an inclusive culture that provides all employees with equal opportunities. This is central to our company strategy and will be core to our future success.”
Greg Jackson, CEO of Octopus Energy, said: “In formulating these proposals it’s clear that the government has listened to both workers and employers to create protections against bad practices while enabling good businesses to invest in growth and training.
“For example, the probation period will allow progressive employers to give a chance to people without typical experience or educational backgrounds, opening up new opportunities for them in great careers.”
Chris O’Shea, CEO of Centrica, said: “As the largest Unionised workforce in the energy sector, we are pleased to see the Government publish their landmark legislation providing more rights and flexibility to employees.
“At Centrica, we offer a range of policies to support our 21,000 colleagues including flexible working and health and wellbeing support from day one, a leading 10 days paid carers policy, our Pathway to Parenthood which offers comprehensive financial support towards fertility treatment alongside paid leave to for any fertility, adoption or surrogacy appointments, and additional support for neurodivergent colleagues.
“It’s the right thing to do and we want to help our employees and share best practices with others. Our experience shows that there is a clear business case for doing this with savings from increased retention and ensuring colleagues don’t have to take unplanned absences.”
Helen Dickinson OBE, CEO of the British Retail Consortium, said: “As the country’s largest private sector employer, employing three million people, the industry stands ready to work with government to ensure these reforms are a win:win for employers and colleagues, and maximise employment opportunities, investment, and growth.
“Many of the expected provisions, including stopping exploitative contracts and offering flexibility in employment, are things that responsible retailers already do. Introducing these standards for everyone means good employers should be competing on a level playing field.
“We look forward to engaging the government on the details, including around seasonal hiring and the use of probation periods.”
Kate Nicholls, CEO of UKHospitality, said: “I’m pleased the Government has recognised the importance of flexibility to both workers and businesses. This is crucial for hospitality, which employs 3.5m people and provides countless flexible roles for working parents, students, carers and many more.
“We look forward to continuing our engagement and consultation with the Government on its plans, which are not without cost, to get the details right for all parties.”
A BT Group spokesperson, said: “BT Group believes that a strong economy is one that works for everyone, and has already adopted many of the measures that will be covered by this legislation.
“It will be crucial to get the details right, to avoid unintended consequences and keep the UK competitive, and we welcome the constructive, consultative approach that the Government is taking.”
Not all employers’ organisations are rejoicing, however. The Federation for Small Businesses (FSB) says the legislation will be devastating for the industry.
Edinburgh North and Leith MP Tracy Gilbert has today called for the GB Energy Satellite Site due to be located in Edinburgh to be based in Leith.
The UK Labour Government was elected on a manifesto to establish Great British Energy, a publicly-owned energy generation company. Last month, the Prime Minister announced that GB Energy would be headquartered in Aberdeen with two satellite sites – one based in Edinburgh and another in Glasgow.
GB Energy is one of the key ways the UK Labour Government is decarbonising the economy while ensuring energy security and lower energy bills in the long term.
Today in the House of Commons, Tracy Gilbert MP called for the Edinburgh site to be located in Leith due to growing renewables sector that has already developed in the area.
In the House of Commons, Tracy Gilbert MP asked, “Can I welcome the actions outlined by my right honourable friend. In particular, I would like to welcome the announcement over the conference recess that GB Energy will be headquartered in Aberdeen with satellite sites in Edinburgh and Glasgow.
“Can my right honourable friend outline the role he expects the satellite sites will have and given the investment already underway at the Port of Leith, the number of renewables companies already based in Leith and the potential for supply chains and manufacturing nearby will he consider locating the Edinburgh site in Leith?”
Speaking after her question, Tracy Gilbert MP said, “The transition to renewables is already taking place across Edinburgh and Leith, from the multi-million pound investment at the Port of Leith to support renewable infrastructure as part of the Forth Green Freeport deal.
“Alongside the number of renewables companies and manufacturers based locally and with the proximity to research and academic Leith is the ideal place for a GBE satellite site.
“I look forward to working with stakeholders in Leith to make the case for Leith to be chosen as the location for the GBE satellite site.”
The full exchange between Tracy Gilbert MP and the Secretary of State for Energy Security and Net Zero can be found here:
