Colleges: Financial challenges mount

Scotland’s colleges need more clarity from ministers on what parts of their role to prioritise, as the sector’s financial challenges mount, according to Audit Scotland.

The public spending watchdog released their latest ‘Scotland’s Colleges’ report this morning.

Scottish Government funding for colleges reduced by £32.7 million in cash terms in 2024/25. Funding has reduced by 17 per cent in real terms since 2021/22. Cash balances held by colleges are also forecast to fall.

Colleges have used voluntary severance schemes to reduce their costs, with nearly 500 staff leaving colleges in 2022/23. Staffing makes up around 70 per cent of colleges’ costs and the sector expects further cuts in coming years.

The financial challenges and staffing reduction means colleges may not be able to offer the same learning experience to students as in the past. Meanwhile, the lack of reform of the post-school sector is causing continuing uncertainty for colleges.

Stephen Boyle, Auditor General for Scotland, said: “The college sector is facing huge challenges. But to plan effectively for the future, colleges need a much stronger steer from the Scottish Government on what parts of their role to prioritise.

“The Scottish Government also needs to respond quickly to the results of its consultations on post-school reforms to provide the college sector with more certainty.”

Chancellor chairs first Growth Mission Board

The Chancellor continued her drive for a new approach to growth underpinned by stability, investment and reform yesterday (23 July), as she chaired the first Growth Mission Board with ministers across government.

Rachel Reeves views the forum as vital in driving forward the Growth Mission, enabling her to work with her colleagues across government to boost productivity, deliver good jobs, and make everyone better off.

The Chancellor is focused on driving forward the Growth Mission, including the development a modern Industrial Strategy, in partnership with business, to remove barriers and provide key sectors with the clarity and certainty they need to seize growth opportunities

She will also work with ministerial colleagues to develop the English Devolution bill to strengthen local leadership and give new powers to metro mayors and combined authorities to deliver growth across the country, alongside improving the infrastructure planning regime to unlock investment and boost grid connections.

Tuesday’s meeting follows the immediate steps the government has taken to boost growth including announcing a series of planning reforms to get Britain building; removing the de facto ban on onshore wind; establishing the National Wealth Fund; announcing a Pensions Review to unlock growth, boost investment and deliver savings for pensioners; launching Skills England; and announcing the white paper on getting Britain working again.    

The Growth Mission is the first of five missions proposed by the Government, each of which focus on ambitious, long-term objectives for the country.

Chancellor of the Exchequer Rachel Reeves said:“Growth is our number one mission and in our first few weeks this Government is taking the tough decisions to deliver on that agenda.

“From planning reform and supporting our future industries to strengthening local leadership and forging ahead with new infrastructure, our work has just begun to fix the foundations so we can rebuild Britain and make every part of the country better off.”

King’s Speech will put growth at the heart of Labour’s legislative agenda

Starmer prepares for The King’s Speech at the State Opening of Parliament on Wednesday 17 July

  • New laws will prioritise growth, the Government’s overarching mission for the year ahead
  • Legislative programme will support delivery of the Government’s first steps and missions to rebuild Britain
  • Focus on improving the prosperity of the country and living standards of working people

The Government will use its mandate for change to put economic growth at the heart of its legislative agenda as it prepares for The King’s Speech at the State Opening of Parliament on Wednesday (17 July). 

Departments are working on more than 35 bills to deliver an ambitious parliamentary session that will be built on a bedrock of economic security, to enable growth that will improve the prosperity of our country and the living standards of working people.

Legislation will include a bill to enforce tough new spending rules, designed to ensure economic growth, while avoiding the chaos which left families with spiralling bills and wreaked misery on people’s lives.    

To ensure nobody can play fast and loose with the public finances ever again, this new bill will strengthen the role of the Office of Budget Responsibility, meaning significant fiscal announcements must be properly scrutinised and that taxpayers’ money is respected.

Prime Minister Keir Starmer said: “Our work is urgent. There is no time to waste. We are hitting the ground running by bringing forward the laws we will need to rebuild our country for the long-term – and our ambitious, fully costed agenda is the downpayment on that change. 

“From energy, to planning, to unbreakable fiscal rules, my government is serious about delivering the stability that is going to turbo charge growth that will create wealth in every corner of the UK.

“The task of national renewal will not be easy, and this is just the down payment on our plans for the next five years, but the legislation set out at the King’s Speech will build on the momentum of our first days in office and make a difference to the lives of working people.”

‘His Majesty’s Most Gracious Speech’ will build on the momentum of the Government’s first week in office which saw the Prime Minister and his ministerial team roll up their sleeves and get to work.

Legislation to enact announcements made this week, including the launch of a National Wealth Fund to drive investment into the UK, to a new Mission Control tasked with turbocharging UK to clean power by 2030, to opening the recruitment of a new border security command, show that the Government is getting on with the job.   

The package of bills will focus on growing the economy through ‘turbocharging’ building of houses and infrastructure, better transport, more jobs and securing clean energy – helping to make every part of the country better off.  

As part of the Government’s plans to empower regions to deliver change for their communities, new legislation will also help to create wealth in every community and hand the power back to local leaders who know what is best for their areas.

Ian Murray ‘determined to reset the relationship between the UK and Scottish Governments’

My absolute priority in the role will be to deliver the change and renewal that Scotland needs

Secretary of State for Scotland Ian Murray said: “It is a real privilege to have been asked to serve in Prime Minister Keir Starmer’s first Cabinet as Secretary of State for Scotland.  My absolute priority in the role will be to deliver the change and renewal that Scotland needs – to drive economic growth, create jobs and reduce poverty.

“As we rebuild our country, I look forward to Scotland standing foursquare with the other UK nations. I will make sure that the Scotland Office is a strong voice for Scotland within the UK Government. 

New funding will help tackle poverty in Scotland by creating jobs and unlocking opportunities across the country, especially in our most deprived communities.

“The Scotland Office will lead on promoting ‘Brand Scotland’ around the globe. Selling our world class produce, products and services to the world. 

“I am also determined to reset the relationship between the UK and Scottish Governments. Focusing on co-operation and joint working will mean we can deliver better results for people in Scotland.”

Nearly £50 billion invested in Scottish Government priorities

Funding to support the NHS, reduce carbon emissions and help tackle poverty

Almost £50 billion was spent by the Scottish Government last year on public services to help tackle child poverty, reduce carbon emissions, support the NHS and secure pay deals, according to newly published official figures.

The Provisional Outturn, which compares actual spending with the funding commitments set out in the Budget, shows that the Scottish Government spent £49.3 billion in the 2023-24 financial year. There was £292 million remaining – representing 0.6% of the Scottish Government’s total budget – all of which has been carried over through the Scotland Reserve to be directed towards priority areas in 2024-25.

In 2023-24 the Scottish Government:

  • spent nearly £5.2 billion on social security benefits. This includes £429 million on Scottish Child Payment, alongside funding to introduce Carer Support Payment in pilot areas, ahead of full roll-out in 2024, and to widen eligibility for Best Start Foods
  • invested more than £19 billion in health and social care, supporting recovery and reform to secure sustainable public services, while delivering a pay uplift for NHS staff
  • provided nearly £220 million to the Heat in Buildings Programme to help deliver greener and more energy efficient homes
  • continued providing Just Transition Fund grant funding, including £16.8 million for projects in the North-east and Moray regions, in addition to £3 million to help vulnerable global communities address loss and damage brought on by climate change
  • invested almost £422 million on bus services and concessionary fares, providing up to 2.3 million people in Scotland with access to free bus travel.

Public Finance Minister Ivan McKee said: “These figures show once again how this government is prudently and competently managing the public finances while delivering funding for the things that matter to people across Scotland, not least the NHS and action to tackle child poverty.

“The Scottish Government has consistently balanced its budgets each and every year. This represented a significant challenge last year, as the continued impact of persistently high inflation, pressure on public sector pay, backlogs as a result of the Covid pandemic and the war in Ukraine combined to place pressure on the public finances.

“We are not allowed to overspend, so must leave ourselves with the headroom to manage any unexpected shocks or issues. The remaining funding has been allocated in full in 2024-25, allowing us to implement measures at the most optimal time rather than being constrained to a single financial year.” 

Eradicating child poverty

£16M funding to expand access to childcare services

First Minister John Swinney has announced £16 million for childcare services to help deliver his vision of a Scotland free from child poverty.

In a statement to Parliament, the First Minister set out the four priorities that will underpin the work of his government. He said eradicating child poverty would be his government’s single most important objective.

Over the next two years, the Scottish Government will provide additional funding to expand access to childcare services within six Early Adopter Community (EAC) projects.

The funding will allow expansion into to new communities, including in Fife and Shetland, and inform what childcare should look like for younger children. The investment will support the development of local childcare systems that are designed to meet families’ needs, with funding targeted at those who are most at risk of living in poverty.

Earlier yesterday, the First Minister visited a breakfast club at Capshard Primary School in Kirkcaldy to see the impact of innovative school age childcare services which contribute to the eradication of child poverty and grow the economy, by helping parents and carers access the childcare they need to find and sustain good jobs.

Speaking in parliament, the First Minister said: “In modern Scotland, it should not be a struggle to find fair work or to raise a family. So for me, and for my government, eradicating child poverty and boosting economic growth, go hand in hand.

“Over the next two years, we will invest £16 million to tackle poverty and help families, by expanding access to childcare services within six Early Adopter Community projects.

“This investment will support low income families to enter and sustain employment, with funding targeted at those who are most at risk of living in poverty.”

Swinney to outline priorities for Scotland

Eradicating child poverty is FM’s central mission

First Minister John Swinney is to set out the priorities that will underpin the work of his government today (Wednesday, 22 May), focused on a central mission to eradicate child poverty.

In a statement to Parliament, the First Minister is expected to commit the Scottish Government to eradicate child poverty and to work with business and industry to grow the economy, invest in net zero and deliver stronger public services.

The First Minister will also make clear the need for bold and collaborative action across the Parliament, focused on the priorities of people in Scotland.

Ahead of the statement, the First Minister will meet pupils at a new breakfast club in Kirkcaldy in Fife. There he will see the impact of innovative school-age childcare services in contributing to the eradication of child poverty and growing the economy – by helping parents and carers access vital childcare to help find and sustain good jobs.

The First Minister said: “Eradicating child poverty will be the single most important objective of my government – and work in other priority areas will support and drive that mission.

“I intend to build on our record of delivery. Since 2007, economic growth, per head, and productivity have been stronger in Scotland than the rest of the UK, Scotland’s core A&E units are the best performing in the UK, and measures such as our Scottish Child Payment are estimated to keep 100,000 children in Scotland out of relative poverty this year.

“I am acutely aware of the economic and fiscal realities that we face and I want to take forward measures that will help people and their families to get on in life: to enable the people of Scotland to live happier, healthier lives.

“One of the benefits of long service in politics is having witnessed the Scottish Parliament when it is functioning at its very best. That happens when parties work constructively together.

“My government will do everything in our power – working with Members from across parties – to make child poverty a thing of the past.”

Choudhury plea to Scottish Government: Make housing a priority

Scottish Labour MSP Foysol Choudhury has implored the Scottish Government to make housing a priority in 2024.  

Mr Choudhury has raised concerns over the festive period that hundreds could sadly be faced with rough sleeping this winter, with many more at risk of homelessness or living in what he says is unsuitable temporary accommodation.  

Mr Choudhury says he is often inundated with casework where constituents are in poor quality temporary housing and are concerned about the lengthy waits for housing.  

It is reported that there could be almost 30,000 people facing homelessness this year. Recent budget plans, however, will see a real-terms cut in homelessness prevention funding for local authorities of £500,000. Mr Choudhury says that this is unacceptable and that the Scottish Government must make it a priority in 2024 to give local authorities sufficient funding.  

Mr Choudhury said:  “I am reiterating my plea yet again this festive season to the Scottish Government to increase funding to local authorities, so that Councils can ensure that they can meet the demand for housing and have the capacity to build more social housing. 

“We also must ensure that Councils have enough funding to make improvements and upgrades to current properties such as retrofitting, which could help improve conditions such as mould and damp which my constituents often report to me. 

“Nobody in Scotland should be forced into homelessness or have to endure seemingly endless waiting in unsuitable housing. 

“I am imploring the Scottish Government to ensure fair funding for local authorities so that they can invest what is needed in our social housing sector and I will continue to make it a priority to campaign for this in 2024.” 

Budget choices must prioritise hardest-up families, say child poverty campaigners

“Scandal of child poverty in a rich country must end” 

Scottish child payment must rise to £30 to protect lower income families who don’t benefit from proposed council tax freeze. 

Campaigners at the Child Poverty Action Group (CPAG) in Scotland are calling for tax and spending decisions to do more to prioritise hard up families ahead of tomorrow’s Scottish budget.

With the proposed £300 million council tax freeze set to benefit better off households they say the very least that is needed to protect lower income families is a £58 million investment to raise the Scottish child payment to £30 per week. CPAG were one of over 150 signatories to a letter sent to the First Minister Humza Yousaf last month urging him to deliver the increase. 

The Scottish child payment, which currently provides a vital £25 per week extra support for children in lower income families, must by law be uprated in line with inflation.

However during the SNP leadership campaign the First Minister said he wanted to see it rise to £30 in his first Budget. In a pre-Budget briefing sent to all MSPs the campaigners say this is the “minimum extra investment that is needed to support lower income families and demonstrate the First Minister is genuinely ‘shifting the dial’ on child poverty.”

The group have also joined over sixty other groups today to call on all Scotland’s political leaders to build a fair tax consensus that can provide the social investment needed for ‘a more equitable, resilient, and prosperous Scotland’. They say the Scottish Budget must be a ‘pivotal moment for fundamental change.’ 

Speaking ahead of today’s budget statement John Dickie, Director of Child Poverty Action Group in Scotland, said; “Struggling families desperately need a budget that will provide immediate support as well as help meet statutory child poverty targets.

“Increasing the Scottish child payment to £30 is a cost-effective investment that would provide much needed financial support to the lower income families who get little if any benefit from the proposed council tax freeze.

“It would make a substantive impact and demonstrate the First Minister is genuine in his desire to ‘shift the dial’ on child poverty.” 

Recognizing the challenging fiscal backdrop Mr Dickie added: “Difficult budget choices will be needed. But the right choice is to prioritise tax and spending decisions that will help end the poverty that still blights the lives of tens of thousands of children across Scotland.

“We are a wealthy country and we need all our political leaders to work together to harness that wealth to end the scandal of child poverty in a rich country once and for all.”

Child Poverty Action Group is calling for a Scottish Budget that:

•    Increases the Scottish child payment at the very least to £30 per week from April 2024, as committed by the First Minister in his leadership campaign. This investment is supported by the Children and Young People’s Commissioner and over 150 trade unions, faith groups, children’s charities and community organisations from across Scotland. 
•    Ensures sufficient resources are harnessed and allocated to fund the wider measures (including on childcare, employment and housing) set out in the statutory child poverty delivery plan – Best Start, Bright Futures.
•    Provides additional cash payments to families impacted by the two-child limit and the under 25 penalty in universal credit.
•    Invests in childcare so not only can the actions in Best Start, Bright Futures be delivered, but every parent can access the childcare they need, when they need it. 
•    Is bold in using tax powers in a progressive way to ensure sufficient resources are available to fully deliver on the actions that are needed to tackle child poverty. 

New Chief sets out her priorities for Police Scotland

Scotland’s new Chief Constable Jo Farrell promised to prioritise trust, confidence, high performance, and officer and staff wellbeing as she took command of the national police service today (Monday, 9 October).

Chief Constable Jo Farrell pictured smiling in front of a police vehicle outside Police Scotland Headquarters, Tulliallan.

Chief Constable Farrell made a commitment to focus on threat, harm, and risk, and on prevention and problem solving, during a swearing in ceremony at Police Scotland Headquarters, Tulliallan.

She also committed to prioritising the wellbeing of Police Scotland’s officers and support staff.

Chief Constable Farrell said: “I believe passionately in the value policing brings to our communities: keeping people safe from harm, protecting the vulnerable, bringing criminals to justice, solving problems, and reducing offending. We stand up for and with our communities, which strengthens them, improves their wellbeing, and allows them to prosper.

“My operational focus is on threat, harm, and risk. Police Scotland will focus on prevention, problem solving and proactivity, and on looking after our hard-working officers and staff so our people can deliver our vital public service.

“Police Scotland is a highly credible public sector organisation known for its compassion and it attracts huge public support. It is a privilege to be entrusted with the leadership of so many talented, professional, and courageous police officers, staff, and volunteers.”

Chief Constable Farrell also underlined her determination to drive an anti-discriminatory agenda after former Chief Constable Sir Iain Livingstone’s statement that Police Scotland was institutionally discriminatory.

She said: “I know the acknowledgement of institutional discrimination is a difficult message for many dedicated and honourable officers and staff.

“Having considered Sir Iain’s reasons, I agree Police Scotland is institutionally discriminatory. People with different backgrounds or experiences, including our officers and staff, have not always received the service that is their right.

“The onus is on us to challenge bad behaviour and prejudice, address gaps and eradicate bias, known or unwitting, at every level. Our Policing Together programme drives this moral, legal and operational imperative so that we maintain and build confidence with all communities.

“I will bring my support and leadership to this work and our success will be measured by the improved experiences of our officers and staff, and of the public.”

Cabinet Secretary for Justice and Home Affairs Angela Constance said: “I am delighted that the new Chief Constable Jo Farrell has been appointed to the role. It is very clear from the rigorous selection process, led by the Scottish Police Authority, that she has the leadership and skills that are essential to head our national police service and to meet the opportunities and challenges ahead.

“There is much to be proud of within the UK’s second biggest police service – which is in a strong place as the new Chief takes up her role.

“Police Scotland’s officers and staff and their commitment to serving our communities are the bedrock of the service’s success. From crime, road policing, missing persons, prevention, partnership, dealing with increasing vulnerability in communities, and many other areas – their work should be a source of pride and confidence for our country.

“Both the First Minister and I look forward to formally welcoming the new Chief. I am sure we will forge a strong partnership, founded on a shared desire to continue the delivery of sustainable excellence within Scotland’s police service.”

Scottish Police Authority Chair Martyn Evans said: “The Authority is delighted the new Chief Constable is now in post and we look forward to working closely with her and the wider leadership team in the months ahead.”

Chief Constable Farrell led Durham Constabulary as Chief since 2019 having been Deputy since 2016 and having served in Northumbria Police since 2002. She started her career in Cambridgeshire Police in 1991.

Justice of the Peace Gillian Thomson accepted the Declaration of a Constable, an oath set out in law that every holder of the office of Constable in Scotland promises to faithfully discharge their duties with fairness, integrity, diligence, and impartiality, and to uphold human rights and accord equal respect to all people.

This morning, Chief Constable Farrell chaired a meeting with the Force Executive to set out her priorities and approach before meeting with probationary Constables and hosting a virtual session with Divisional Commanders in the afternoon.

Chief Constable Farrell’s leadership follows the retirement from policing of Sir Iain in August, following 31 years’ service, including six as Chief.