Scottish Budget: Delivering for families and public services?

The 2026-27 Budget will support a stronger NHS, with a record £22.5 billion for health and social care, expand cost of living support and invest in Scotland’s infrastructure.

Published alongside the latest multi-year Scottish Spending Review, Infrastructure Strategy and Infrastructure Delivery Pipeline, the draft Budget invests almost £68 billion including direct support for families and household budgets.

The 2026-27 Budget includes: 

  • a cost of living package to: help families with funding to trial a programme of activities in a range of primary schools between 3-6pm; a Summer of Sport – free children’s sporting activities, including lessons on how to swim for every primary school child in the country; and a breakfast club for every primary school by August 2027
  • continued investment in Scotland’s existing cost of living measures, including free prescriptions, free eye examinations, removal of peak rail fares on Scotrail, free tuition fees for young Scots, free school meals for thousands of children, including all pupils in P1 to P5, and free bus travel for under-22s and over-60s
  • funding to increase Scottish Child Payment to £28.20 per week and investment to allow the introduction of a premium payment of £40 per week for eligible children under 12 months from 2027-28, bolstering efforts to drive down child poverty
  • extra funding to keep more children out of poverty from funds initially set aside to mitigate the UK Government’s two-child cap, including £50 million of whole family support and a further £49 million for measures to be announced in the Child Poverty Delivery Plan in March
  • tax choices which increase the Basic and Intermediate rate income tax thresholds to put more money in the pockets of low and middle income earners, maintain current income tax rates and bands, and provide a competitive non-domestic rates relief package worth an estimated £864 million, including measures for pubs, restaurants and retailers
  • a record £22.5 billion for health and social care, including a record £17.6 billion for NHS boards and resources to begin the national rollout of walk-in GP clinics, making it easier to access same-day appointments
  • an almost £15.7 billion record settlement for local government to support the services communities rely on including social care and education
  • significant extra funding for universities and colleges, with colleges seeing a combined increase of £70 million in resource and capital funding, equivalent to a 10% uplift,  targeted support to help retrain workers in the oil and gas sector and ongoing commitment to Scotland’s apprenticeships, which this year will provide more than 31,000 Scots with a pathway to sustainable, well-paid jobs
  • over £5 billion to tackle the climate emergency, reduce carbon emissions and increase resilience as well as backing regenerative and sustainable skills in food and farming
  • £4.3 billion transport funding including investment in railways, the renewal of the ferry fleet, removal of peak season fares for residents of Orkney and Shetland on Northern Isles ferries and nearly £200 million for the dualling of the A9
  • record investment in new affordable homes

Ms Robison said:“This Budget delivers for families across the country, for a stronger NHS, and for a more prosperous future. 

“It will fund landmark policies to continue efforts to eradicate child poverty – investing in a brighter future for Scotland and the children growing up here.

“Almost £68 billion is being invested in 2026-27 and almost £200 billion through the Scottish Spending Review and Infrastructure Investment Pipeline, demonstrating the scale of our ambition for our nation.”

Other measures include:

  • from April 2027, an Air Departure Tax (ADT) will come into force and the framework offered by the new ADT will be used to introduce a private jet supplement
  • the introduction by April 2028 of two new council tax bands for the most expensive properties in Scotland, those worth more than £1 million, on an up-to-date valuation
  • support for high-growth firms to attract private investment and connect entrepreneurs
  • £200 million for the Scottish National Investment Bank – delivering on the commitment to invest £1 billion in the Bank by the end of the parliamentary term
  • record funding for police and fire services and an additional £10 million investment in community justice services
  • a £20 million increase in the culture budget, recognising Scotland is richer because of its world-famous culture and creative sector
  • support for the creation of a diverse and sustainable supply chain for offshore wind, to boost the economy.

Scottish Budget 2026-27

Scottish Spending Review 2026

Infrastructure Strategy

REACTIONS:

Responding to today’s proposed Scottish Budget, Poverty Alliance Policy & Campaigns Manager Ruth Boyle said: “People in Scotland want a just and compassionate society – but too many feel the system is rigged against them.

“There was some good news today – but we can do much more to make sure that every child in Scotland gets the investment they need for a decent life and a better future.

“Ensuring that every child in primary school gets a healthy breakfast is an excellent investment, because no child should go to school hungry.

“Increasing the Scottish Child Payment to £40 for eligible households with a baby under 1 is welcome and will help families at a time when they face increased costs. However, this must be a first step towards boosting that payment to £40 for every eligible child in the country.

“That is the kind of fundamental investment the Government needs to make if they are serious about meeting the 2030 child poverty targets.

“With Scotland not on track to meet those legally binding targets, we need all political parties to set out their plans to invest in country where no child lives in poverty. Our children can’t wait any longer.

“We can make that kind of investment in Scotland – and there is support for it. In among the Budget documents is new polling from YouGov showing that 54% of people in Scotland believe that Government should redistribute income from the better-off to those who are less well off. Just 29% disagree.

“The Scottish Government must raise revenue to invest in our shared national priorities, like tackling child poverty and reducing the cost of living. It’s right that the Government has turned to those with the biggest assets to contribute more with a tax on private jets and increased council tax for the highest value homes. 

This has to be the start of long-promised, fundamental reform of council tax so that our local councils can provide the services that all of us need, and that are a vital lifeline for so many households in poverty.

“The Poverty Alliance will continue to call for the measures we need to provide a Minimum Income Guarantee that no-one will fall under – including increasing wages, investing in strong public services, and providing a social security system that gives everyone in Scotland a secure foundation to build a better future.

“Today’s budget has some positive steps towards that ambition – but we need to go further and faster if we are to build a Scotland free from poverty.”

Commenting on today’s draft Scottish Budget, Mary Glasgow, Chief Executive of Children First, Scotland’s national children’s charity, said: “It’s hugely positive to see child poverty being made a top priority in today’s budget.

“The significant funding boost to whole family support and extra resources for third sector organisations will provide a lifeline to families who need help most, right across Scotland.

“But we can’t afford to slow down. Scotland’s legal target to eradicate child poverty demands bold, accelerated action. Life is tougher than ever for many children and families and at Children First we witness this first-hand every day.

 “That’s why we urgently need a National Front Door that offers a simple accessible way for families to get the help they need when they need it.”

Children First’s manifesto for the 2026 Holyrood elections calls on the next Scottish Government to deliver a comprehensive offer of whole family support to tackle child poverty and give every family the emotional, practical and financial support they need.

Read the manifesto here: 2026 Holyrood Election Manifesto | Children First

Trussell’s Cara Hilton said: ‘While we welcome the @scotgov‘s £40 SCP rate for babies under 1, we continue to call for an increase to £40 a week for all.

‘Our @TrussellUK data shows food parcels for families with children aged 12-16 in Scotland rose by 7% over the past 5 years. #ScotBudget‘.

Responding to the Scottish Budget and Scottish Spending Review, Anna Fowlie, Scottish Council for Voluntary Organisations (SCVO) Chief Executive, said:   “Too often and for too long, voluntary organisations that provide vital services to people and communities across Scotland are treated as the poor relation to mainstream public services.

“They have had to contend with budget cuts, short-term funding cycles, late payments, incoherent decision-making, poor communication, inadequate grant management, and more. 

“Reform of the voluntary sector funding landscape is long overdue. The Scottish Spending Review is welcome, giving the Government the long-term outlook to make progress on its commitment to deliver improvements, including multi-year funding for Scotland’s voluntary organisations. 

“Welcome too is the Scottish Government’s commitment to multi-year funding for sections of the voluntary sector—this shows, again, what is possible.  

“Today we had hoped for more than a recommitment to the ‘first step’ announced last February—the Scottish Government’s ‘Fairer Funding’ pilot.

“We know the benefits of multi-year funding: better staffing, stability, and future planning for the services people and communities rely on. The Government’s own research confirms this.  

“Multi-year funding alone, however, will not provide the sustainable funding environment the voluntary sector so desperately needs, funding that is flexible, sustainable, and accessible.  

“We need to see real progress and recognition of SCVO’s Fair Funding asks beyond multi-year funding. Wider reforms are, unfortunately, now unlikely to be seen before  the next parliamentary term.

“In the meantime it is essential that in the weeks following the Scottish Budget the Scottish Government support local authorities and voluntary organisations by meeting their commitments to timely notifications and payments. 

“We look forward to further engagement on both Fair Funding and charity regulation in the next parliamentary term.”  

Shelter Scotland Director, Alison Watson said: “Social housing delivery in Scotland remains too slow, too little and too late for the more than 10,000 children homeless tonight. Today’s budget doesn’t do enough to change these facts.

“Shona Robison’s budget was an opportunity for Ministers to put their money where their mouth is. On the face of it an additional £34 million for social housing, compared to the most recent budget, is a step in the right direction – but it is not enough.

“The extra money will only deliver 36,000 affordable homes by 2030 – more than 26,000 short of where they say they would need to be to deliver their promise of 110,000 affordable homes by 2032.

“The new Parliament will need a new approach and new money to deliver the social homes needed to reduce homelessness. Homes that the government promised, that academics say we need but for which there is still no credible plan to deliver.

“We must be honest about the real costs of failure. Failing to build the social homes we need means rising homelessness, rising child poverty, rising costs for councils, health boards and the taxpayer.”

Responding to the Scottish Government’s Budget, Debbie Horne, Scotland Policy and Public Affairs Manager at Independent Age said: “It is disappointing to see nothing new in this Budget to adequately respond to the growing number of older people in poverty. 

“One in six pensioners now live in poverty across Scotland, a total of 160,000 older people, and we must see more action to support them.  

“We want the Scottish Government to set out a clear, targeted strategy to bring down the alarming number of older people in poverty, increase access to the vital Discretionary Housing Payments that can help older renters meet shortfalls in rent, and increase the social security support available to those on a low income in later life. 

“With pensioner poverty at its highest level in nearly 20 years, and likely to continue to rise as our population ages, it’s vital all political parties include measures to bring down the levels of poverty in later life in their manifestos’ ahead of May’s Holyrood elections. In a compassionate and wealthy society, we should all be able to live a financially secure, dignified later life.” 

Responding to the Scottish Government’s Budget statement which slashed the 40% discount on business rates bills for pubs at the same time as a rates revaluation will lead to higher bills from 1 April, Stuart McMahon, Director of pubgoers group CAMRA Scotland said: “Pubgoers and publicans simply won’t stand for a Budget which will force more of our locals to go to the wall by landing them with bills they simply can’t afford. 

“I fear that slashing the 40% discount on business rates bills for pubs to just 15% at the same time as these bills are increasing will be absolutely disastrous. 

“Transitional reliefs may sound good but if this Budget still means higher business rates bills than pubs are paying now then this will be the straw that breaks the camel’s back for many hard-pressed licensees.

“Pubs need permanently lower business rates bills so that they can survive, thrive and play their part as vital community hubs.” 

The Scottish Government’s budget announcement of further funding for the college sector, which includes a combined increase of £70 million in resource and capital funding, received a qualified welcome. Principal of Edinburgh College, Audrey Cumberford said: “While this is a welcome step in the right direction for college funding, there is still more that needs to be done.

“This increase will help to undo some of the damage done by years of real terms cuts, but more is needed if we are to ensure the future sustainability of our sector.

“There is now a clear consensus across the political spectrum for better funding for colleges.

“I would urge parties to continue to work together to make sure we unleash the true potential of our sector so we can continue to drive economic growth and improve the lives of Scots across the country.”

Responding to the Scottish government’s 2026-27 budget, announced today by Finance Secretary Shona Robison, RCEM Vice President for Scotland Dr Fiona Hunter said: “Scottish Emergency Departments are in the midst of a crisis born of political apathy towards tackling the difficult problems of social care capacity, delayed discharges and the overall issue of hospital flow.  

“Today’s budget indicates once again that the Scottish government understands what the issues are. £2.3bn extra for social care, an uplift in frontline NHS spending, specific targeted action on delayed discharge and local engagement – these are all measures we warmly welcome from the government.  

“As well as this, our members will be pleased to hear about improvements to training, retention and working conditions. 

“However, we’ve been here before. Time after time the reality in our A&Es has got worse, not better, despite claims from the government that the NHS has been on ‘the path to recovery’ in recent years.  

“We are seeing more and more patients waiting alone on trolleys in hospital corridors for hours on end, getting sicker and being put at risk of harm.  

“This has happened because exit block has not been tackled, despite promises to the contrary from the government. 

“The devil will be in the detail and I will reserve judgement for when myself, and the members I represent, see improvements in our Emergency Departments.   

“We look forward to continued engagement with the government on how it seeks to tackle hospital flow, and await further information on how the Health Secretary will take today’s promises and turn them into action and, ultimately, improvements for our patients.”

Jonathan Carr-West, Chief Executive, LGIU, said: “This Budget offers some short-term stability for councils, but it ducks the bigger questions about how local government is funded. 

There is still no meaningful move towards multi-year settlements, which councils overwhelmingly say they need in order to plan sustainably. Our annual State of Local Government Finance in Scotland research, launched last week, reinforces this.  

Incentivising a council tax freeze risks further undermining local fiscal autonomy, while adult social care remains the single biggest pressure on council finances without clear, dedicated funding. 

Housing investment is welcome, but spreading it across the country without enabling local flexibility limits its capacity to tackle the areas of greatest need. 

Overall, this is a Budget that manages immediate pressures but avoids the structural reform required to put local government finance on a sustainable footing.”

The Existing Homes Alliance (EHA) is a coalition of over 20 housing, environmental, fuel poverty, consumer and industry organisations calling for urgent action to transform Scotland’s existing housing stock.

Lori McElroy, Chair of the Existing Homes Alliance said: “While we welcome the ongoing support to help homeowners, landlords and tenants to make their homes warmer, healthier and more affordable to heat, this remains a drop in the ocean when we have over 800,000 households living in fuel poverty and 44% of Scotland’s homes falling below Energy Performance Certificate band C. 

“Scotland has excellent fuel poverty and energy efficiency programmes such as Warmer Homes Scotland, Area-based Schemes and the Social Housing Net Zero Heat Fund, as well as generous grants through the Home Energy Scotland Grant and Loan Scheme, but the gap between what is needed and what is currently being delivered is wide.

“This Budget, as it stands, is a missed opportunity to significantly scale up these programmes which would reduce fuel poverty, improve public health by tackling damp and mould, and prepare the workforce and supply chains needed to deliver our climate change targets – supporting thousands of jobs and economic opportunities across Scotland.”

Joanne Smith, Policy and Public Affairs Manager for NSPCC Scotland, said: “For children to thrive, it’s vital that they have the best start in life, and so we are heartened by the Scottish Government’s commitment to increase the Child Payment for under ones. But we are disappointed that young families now will not reap those benefits, with it starting in more than a year’s time.

“We also welcome the Scottish Government’s renewed investment in the whole family support fund and its work to continue to deliver the Promise. But it is so important that in this it recognises the fundamental need for support for very young children, just like the Scottish Child Payment does, so that families get the help they need right from the start.”

Scotland’s Chief Constable Jo Farrell has responded to the Scottish Government’s tax and spending plans for 2026 to 2027.

Chief Constable Farrell said: “I recognise a £90m cash-terms uplift to revenue funding and an improved capital allocation for policing against a challenging public finance picture.

“I set out the funding requirements for policing in evidence during the Criminal Justice Committee’s pre-budget scrutiny work.

“Police Scotland will continue to engage with the Scottish Police Authority and the Scottish Government to understand the full implications of the budget and develop our planning for the year ahead.

“My focus continues to be on prioritising our frontline to deliver safer communities, less crime, and supported victims as part of our vision for policing.”

COSLA: Budget Reality

STUC: Budget must prioritise ‘Scotland not political survival’

Scotland’s largest trade union body has urged the Scottish Government to prioritise the ‘people of Scotland and not political survival’ in their budget today (Tuesday).

The Scottish Trades Union Congress (STUC) are calling on the Scottish Government to take the “bold decisions” on reforming property, land and wealth taxes in their budget and to avoid “short-term electioneering” ahead of the election later this year.

Last year, on behalf of Tax Justice Scotland, the STUC published research showing Scotland’s five richest families hold more wealth than an entire quarter of Scotland’s population.

The research further showed that a modest 2% tax on all those with assets over £10 million could raise almost £500,000,000 for public services.

Commenting, STUC General Secretary Roz Foyer implored the Finance Secretary Shona Robison “do what is right” and deliver for Scotland’s workers during the budget.

Ms Foyer said: “Today, the Scottish Government must do what is right and prioritise the people of Scotland not political survival.

“With the election looming large, this budget can’t sacrifice the long-term wellbeing and growth of our nation on the altar of short-term political survival. We must see bold decisions from the Finance Secretary on reforming tax on property and land, along with the introduction of wealth taxes, not more of the same measures designed to prioritise short-term electioneering.

“STUC research has shown that modest wealth taxes on Scotland’s richest few can benefit the many with almost £500,000,000 raised for the public coffers in the process.

“These are the measures the Scottish Government must prioritise if they want the support of Scotland’s workers.

“This isn’t about the next four months; if the government wishes to re-take office for the next five years, we urge them to do what is right and stand beside Scotland’s workers tomorrow, prioritising public services, job security and decent pay in their budget measures.”

STUC research ‘Taxing Wealth for a Fairer and Greener Scotland’ can be viewed here:

https://taxjustice.scot/wp-content/uploads/2025/10/STUC-Taxing-Wealth-for-a-Fairer-and-Greener-Scotland.pdf

Scottish Budget: Carers Can’t Wait!

STATEMENT from NATIONAL CARERS ORGANISATIONS

On Tuesday 13 January, the Scottish budget will be announced.

Right now, unpaid carers and local carer organisations are under huge pressure. Cuts to services mean carers are caring for longer and more intensively, often while living in poverty.

This cannot continue.

The National Carer Organisations are calling on the Scottish Government to:

🔵 Provide secure, long‑term funding for local carer organisations

🔵 Properly fund the Right to a Break so carers can take time to rest

🔵Take real action to reduce carer poverty and improve health and wellbeing

Read the statement from the National Carer Organisations in full:

National Carer Organisation’s Statement on the Scottish Budget

The Scottish Budget will be announced on Tuesday 13th January 2026. Unpaid carers and local carer organisations are facing considerable challenges as the pressure on our health and social care system mounts.

Cuts to budgets and services mean more unpaid carers are caring for longer and more intensively, often while living in poverty.

The National Carer Organisations urge the Scottish Government to ensure the upcoming budget provides secure and sufficient funding to support both unpaid carers and local carer organisations. This support must include sufficient funding to support the implementation of the right to a break, as well as targeted measures to alleviate poverty and improve health and wellbeing.

Unpaid carers, including young carers, encounter a range of complex and diverse challenges that affect many aspects of their lives. The estimated value of unpaid care in Scotland is £15.9 billion annually. It is imperative that no unpaid carer experiences poverty due to their caring responsibilities.

The National Carer Organisations believe that the Scottish Government has a significant opportunity through the Scottish Budget to take decisive action, reinforce its commitment to recognising unpaid carers, and address some of the primary challenges they face.

We are calling on the Scottish Government in its budget to:

  • Invest to ensure unpaid carers can have a break from caring, including in developing the Right to a Break from Caring and by increasing voluntary sector short break funding.
  • Invest in support for unpaid carers by sustaining local carer organisations, in particular compensating for the extra costs they face from increased employer National Insurance Contributions and the forthcoming rise in the Real Living Wage from April 2026.
  • Invest in reducing poverty amongst unpaid carers and those they care for by delivering on commitments to improve Carer Support Payment, introducing a new payment for older adult unpaid carers, and making meaningful progress towards abolishing social care charges.

About the National Care Organisations

 The National Carer Organisations in Scotland are Carers Trust Scotland, Carers Scotland, Coalition of Carers in Scotland, MECOPP, Shared Care Scotland and the Scottish Young Carers Services Alliance.

Together we have a shared vision that all Scotland’s unpaid carers will feel valued, included and supported as equal partners in the provision of care. We aim to achieve this through the representation of unpaid carers and giving them a voice at a national level.

We believe we can deliver more for unpaid carers by working together to share our knowledge and experience, and by focusing our collective efforts on achieving improvements in areas of policy and practice that are of greatest concern to unpaid carers.

https://www.carersnet.org/national-carer-organisations…/

COSLA calls for investment in social care funding

Social care pressures are spiralling. Integration Joint Boards have faced £497m pressures in 2025/26. A £750m investment in the Scottish Budget could stabilise the system, says COSLA:

COSLA is urging the Scottish Government to provide a £16 billion boost in revenue in the Scottish Budget, to secure fair and sustainable funding for councils.

A demand for a £844 million general capital settlement has also been requested, plus a restoration of the Affordable Housing Supply Programme to £955 million, to maintain, repair, expand and secure the future of Council estates.

COSLA has launched a lobbying campaign urging the Scottish Government to use the upcoming Scottish Budget to provide councils with the fair, sustainable and multi-year funding needed to protect essential local services.

The campaign – ‘Strong Councils, Strong Communities’ – highlights growing pressures facing local government and the very real consequences of continued underfunding for communities across Scotland. The financial pressures in social care and housing are two key areas COSLA are asking the Scottish Government to specifically address in their upcoming budget.

COSLA warns that without urgent action in January’s Budget, councils will be unable to maintain essential services such as social care, education, housing support, roads, and community safety.

COSLA Resources Spokesperson, Councillor Ricky Bell, said:“Scotland’s councils deliver the services that people rely on every single day — from caring for older and vulnerable people to keeping schools open, streets safe and communities thriving.

“Councils are facing greater demand than ever and are required to do more with significantly less. This is unsustainable.

“The upcoming Scottish Budget is a pivotal moment. The Scottish Government must deliver a settlement that matches the scale of the challenge. Without fair funding, communities will see services reduced and inequalities deepen, and we will struggle to meet national targets in key areas such as child poverty, housing, and net zero”

This year, councils continue to face rising inflation, increasing demand for services, and the continued impact of workforce pressures across social care and education. COSLA’s analysis shows that even maintaining current services requires substantial additional investment.

As a fair and sustainable overall financial settlement COSLA’s key asks from the campaign include:

  • An immediate £750m investment in social care.
  • Flexibility for councils to make local decisions that respond to community needs.
  • Recognition of local government as an equal partner in delivering national priorities and tackling inequalities.

COSLA President, Councillor Shona Morrison, added: “Councils work tirelessly to deliver for Scotland’s communities, however, continued pressure on resources makes this increasingly challenging.

“This is about safeguarding what matters most, support for the most vulnerable, opportunities for young people, support for families, and safe, thriving communities.

“We hope the Budget will reflect the vital role Local Government plays in Scotland’s public services.”

Over £16 Billion needed in the Scottish Budget to protect essential services, COSLA Warns

COSLA is urging the Scottish Government to provide a £16 billion boost in revenue in the Scottish Budget, to secure fair and sustainable funding for councils.

A demand for a £844 million general capital settlement has also been requested, plus a restoration of the Affordable Housing Supply Programme to £955 million, to maintain, repair, expand and secure the future of Council estates.

COSLA has today launched a lobbying campaign urging the Scottish Government to use the upcoming Scottish Budget to provide councils with the fair, sustainable and multi-year funding needed to protect essential local services.

The campaign – ‘Strong Councils, Strong Communities’ – highlights growing pressures facing local government and the very real consequences of continued underfunding for communities across Scotland. The financial pressures in social care and housing are two key areas COSLA are asking the Scottish Government to specifically address in their upcoming budget.

COSLA warns that without urgent action in January’s Budget, councils will be unable to maintain essential services such as social care, education, housing support, roads, and community safety.

COSLA Resources Spokesperson, Councillor Ricky Bell, said: “Scotland’s councils deliver the services that people rely on every single day — from caring for older and vulnerable people to keeping schools open, streets safe and communities thriving. Councils are facing greater demand than ever and are required to do more with significantly less. This is unsustainable.

“The upcoming Scottish Budget is a pivotal moment. The Scottish Government must deliver a settlement that matches the scale of the challenge. Without fair funding, communities will see services reduced and inequalities deepen, and we will struggle to meet national targets in key areas such as child poverty, housing, and net zero”

This year, councils continue to face rising inflation, increasing demand for services, and the continued impact of workforce pressures across social care and education. COSLA’s analysis shows that even maintaining current services requires substantial additional investment.

As a fair and sustainable overall financial settlement COSLA’s key asks from the campaign include:

  • An immediate £750m investment in social care.
  • Flexibility for councils to make local decisions that respond to community needs.
  • Recognition of local government as an equal partner in delivering national priorities and tackling inequalities.

COSLA President, Councillor Shona Morrison, added: “Councils work tirelessly to deliver for Scotland’s communities, however, continued pressure on resources makes this increasingly challenging.

“This is about safeguarding what matters most, support for the most vulnerable, opportunities for young people, support for families, and safe, thriving communities. We hope the Budget will reflect the vital role Local Government plays in Scotland’s public services.”

SNP budget delivers record funding for City of Edinburgh Council

5.9% INVESTMENT INCREASE FOR LOCAL SERVICES

Gordon Macdonald MSP has highlighted the record funding going to City of Edinburgh Council after the Scottish Budget was passed at Holyrood this week, providing a £1 billion increase in funding to local authorities.

After the budget received cross-party support – despite Labour and Tory MSPs sitting on their hands – City of Edinburgh Council is set to receive an increase in funding worth £60 million.

This increases funding for local priorities, teachers, and additional support for learning and to tackle the climate emergency. It also facilitates pay increases agreed for teachers, social care workers, refuse collectors and more.

Gordon Macdonald MSP said: “This year’s Scottish Budget provides record funding for Edinburgh Council which will help deliver the services people rely on and ensure our communities get the investment they need.

“After over a decade of austerity and a Labour tax hike which is set to cost councils £100 million, our local authorities have been repeatedly betrayed by Westminster parties.

“Under the SNP, we are not only investing in our local councils, but we are mitigating the impact of Westminster decisions, to the tune of £144 million for the National Insurance hike alone.

“This SNP government is delivering for the city, and I am pleased parliament has backed this budget to ensure that continues.”

https://www.gov.scot/news/15-billion-for-councils

Securing Grangemouth’s future

First Minister writes to Scottish Labour Party Leader

Following news the UK Government will invest in Grangemouth’s future, First Minister John Swinney has written to Scottish Labour Party Leader Anas Sarwar inviting him to vote for the 2025-26 Scottish Budget in a “spirit of cooperation” and deliver investment worth almost £90 million to support jobs at the site.

The full text of the First Minister’s letter to Anas Sarwar: Scottish Budget Bill – Grangemouth Industrial Cluster: letter to Anas Sarwar – gov.scot:

To: Scottish Labour Party Leader Anas Sarwar

From: First Minister John Swinney

Dear Anas,

I welcome the response from the Prime Minister to my call last week for the UK Government to provide support for Grangemouth.

I know you share my concern that the decision to close the Grangemouth refinery is premature and fundamentally short sighted and the UK Government’s commitment to additional investment is a step in the right direction. We all have a responsibility to work collaboratively to secure Grangemouth’s long-term future, its workforce and Scotland’s transition to net zero.

My announcement last week that the Scottish Government will make a further £25 million available to enable businesses to bring forward investable propositions for Grangemouth, will be put to Parliament as an amendment at Stage 3 of the Budget Bill tomorrow.

This funding will be made immediately available from the beginning of the next financial year without requiring match-funding.

I hope that when the UK Government provide more details on the announced £200 million being available through the National Wealth Fund that this will also be available for timely deployment on a similar basis as the funding I have set out and that these funds align to best support a just transition for Grangemouth.

In that spirit of cooperation, I trust that you and Scottish Labour colleagues will now be in a position to vote for the Budget at Stage 3 tomorrow and work constructively to deliver the nearly £90 million investment for Grangemouth, supporting the jobs, livelihoods and businesses which depend on it.

Yours sincerely,

John Swinney

Scottish Budget agreements secured

New funding agreed for bus fares, drug services and free school meals

Agreements have been reached separately with the Scottish Liberal Democrats and Scottish Green Party to support the SNP’s 2025-26 Budget.

Finance Secretary Shona Robison has announced she will table amendments to the 2025-26 Budget Bill to allocate £16.7 million funding to:
• Bolster drug and alcohol services, including £1 million for specialist support for babies born addicted to drugs
• Begin a £2 bus fare cap pilot in one regional transport area
• Further strengthen support for hospices from £4 million to £5 million
• Increase Nature Restoration by £3 million to its highest ever level
• Invest in targeted support for the College sector and protect Corseford College
• Extend free school meal eligibility in S1-S3 in eight local authority areas for pupils in receipt of Scottish Child Payment
• Offer flexibility for Orkney Island Council in terms of capital and resource funding

Ms Robison said: “We are determined to deliver on the issues that matter most to the people of Scotland – and that is why this Budget invests in public services and in eradicating child poverty, acts in the face of the climate emergency, and supports jobs.

“The First Minister was clear that we would bring forward a budget by Scotland for Scotland, and the negotiations we have taken forward have been in that spirit. These additional initiatives demonstrate the value of a progressive approach and dialogue.

“During every stage of this process the Liberal Democrats and the Greens have engaged in our discussions in a positive and constructive manner.

“Through seeking compromise I believe we are delivering a budget that will strengthen services and support our communities. With the agreements with these two parties now in place this will secure a majority in parliament in support of the Budget Bill.”

The Scottish Greens will support the forthcoming budget, following confirmation that the Scottish Government have agreed to the party’s proposals on record climate funding, the expansion of free school meals and trialling a £2 cap on bus fares.

As a result of proposals tabled by Scottish Green negotiators, the Government’s budget will now be changed to include the roll-out of free school meals to thousands more young people and a year-long regional trial of a £2 cap on bus fares.

Other Green proposals accepted include increasing funding for nature restoration to a record £26m, more free ferry travel for young island residents, free bus travel for asylum seekers and help for first time home buyers by increasing tax on the purchase of second/holiday homes.

Scottish Greens finance spokesperson Ross Greer MSP said: ““The Scottish Greens put climate action, tackling child poverty, cheaper buses and ferries and funding for schools at the heart of our budget negotiations. We have delivered progress on all of these fronts, so our MSPs will be voting for the budget.

“No young person should be sitting in school hungry. As a result of our work, thousands more pupils in S1-S3 will now receive a free school meal. This will build on the success of expanding free school meals in primary schools, a policy delivered by the Scottish Greens a few years ago.

“Our Green MSPs have also secured a year-long regional trial where bus fares will be capped at £2, because we know the cost of public transport needs to come down. This also builds on the success of free bus travel for young people, another Scottish Green policy we made a reality.

“With climate chaos all around us, we have worked to deliver record funding for nature restoration and our environment. These Green projects are creating well-paid jobs in communities across the country, particularly in rural areas.

“From schools to libraries to social care to bin collections, our councils deliver the services we all depend on. We have worked with Scottish Green councillors to ensure that this year’s budget delivers a fair deal for local councils, including an end to the Council tax freeze.

“These changes secured by Scottish Green MSPs will lift more children out of poverty, reduce the cost of public transport, create good quality jobs, tackle the climate crisis and protect local services. That’s in stark contrast to Labour, who agreed to let the SNP’s budget pass without making any attempt to improve it. If you want action to help people and planet, voting Scottish Greens is the best way to deliver it.”

As a result of Scottish Green negotiations, this budget includes:

  • Making public transport cheaper: A year long regional trial of capping bus fares at £2 starting 1st January 2026, free bus travel for people seeking asylum and free inter-island ferry travel for young island residents
  • Action to tackle child poverty: The expansion of free school meals to thousands of S1-S3 pupils who receive the Scottish Child Payment, starting with eight councils areas in August 2025.
  • Record climate action: A record £4.9bn of funding for climate action and nature restoration.
  • Progressive taxation to support public services: Increased tax on the purchase of second or holiday homes and moving forward with proposals for a Cruise Ship Levy, the consultation for which will launch in February
  • Protecting local services: A real-term funding increase for local councils, and progress on giving councils more direct power through a consultation on devolving Parking Charge Notices (parking fines)

Commenting on the deal, Scottish Lib Dems leader Mr Cole-Hamilton said: “We have today reached an agreement with the Scottish Government. There is a long list of policies and projects that we’ve won for our constituents, and for Scotland as a whole, and so we will be voting for the Budget.

“In a Parliament of minorities Scottish Liberal Democrats will always act responsibly and try to find common ground.

“As a result, Lib Dem priorities will now be backed by hundreds of millions worth of government investment. I am pleased that we have secured money for new drug and neonatal services. As a former youth worker I know how important it is to give children the best start in life and few have it tougher than babies who are born addicted to drugs.

“Alongside the long list of Lib Dem demands baked into the first draft of the budget, we have also secured additional money for new college programmes focused on care and offshore wind, more money for hospices, and backing for the young people attending Corseford College.

“Scottish Labour’s decision to abstain on the Scottish Budget confirmed once and for all that there would be no early election. This was always very unlikely and that’s why all along Scottish Liberal Democrats have sought to shape the budget to unpick some of the damage caused by years of SNP neglect.

“This budget shows that by backing the Liberal Democrats you get a local champion focused on the issues that matter the most.”

The Liberal Democrats said: “Lib Dem priorities will now be backed by hundreds of millions worth of government investment.

“Here is the long list of policies and projects that we’ve won for our constituents, and for Scotland as a whole:

Regeneration funding to enable communities to thrive

TOM ARTHUR VISITS ‘INSPIRING’ SPARTANS TO ANNOUNCE FUNDING PLANS

A scheme helping pupils to learn in a football environment is one of a range of regeneration projects set to share £62 million from the 2025-26 draft Scottish Budget.    

The funding will help Spartans Community Foundation in Pilton, complete construction of a permanent classroom. This would replace temporary cabins where students who may struggle in school receive lessons in literacy, numeracy, entrepreneurship, art and physical education.

The project also assists young people to access jobs, apprenticeships and college placements as they leave school.

Other regeneration schemes earmarked for support in the draft Budget include:

  • clearing three derelict sites in the Lochee area of Dundee to make way for affordable homes
  • restoring Arbroath’s Courthouse as a centre offering careers advice and skills training
  • redeveloping Glen Urquhart Public Hall into a community hub

Visiting Spartans to hear about the organisation’s work within the local community, Employment and Investment Minister Tom Arthur said: “Regeneration is a key priority for the Scottish Government – as it contributes to growing the economy and creating jobs.

“This inspiring scheme run by Spartans illustrates how local people can identify the issues they want tackled and then come up with the solution, at which point the Scottish Government is able step in with support.

“The new classroom will help more young people leave school with qualifications, find jobs and further education opportunities, as well as enjoy free football sessions. It is an example of delivering economic growth and tackling poverty at the grassroots.”

Other recent local projects to regenerate northern Edinburgh include the transformation of derelict industrial units at Granton Waterfront into communal spaces and the ongoing development of a community hub with an early years centre, library and space for North Edinburgh Arts on Pennywell Road.

Budget will increase provision of wrap-around help for families

Funding for local authorities to test and improve how they deliver wrap-around support for parents and families will be doubled to more than £6 million by the 2025-26 budget, helping expand work towards eradicating child poverty.

The Scottish Government’s Fairer Futures Partnerships will help test new approaches and identify lasting solutions rather than quick fixes, Social Justice Secretary Shirley-Anne Somerville said. Increased funding will allow Fairer Futures Partnerships to expand to more areas, supporting new approaches and holistic support.

On a visit to Irvine Royal Academy, Ms Somerville met parents and pupils and saw how North Ayrshire Council’s work is supporting families and informing the Fairer Futures programme to drive innovations in tackling child poverty.

At Irvine Royal Academy, where 32% of pupils are in receipt of free school meals, parents have been helped to maximise their incomes through welfare and debt advice and provided with support to find employment, while pupils run a ‘cost of the school day’ initiative to help ease the pressures on families.

Ms Somerville said: “Eradicating child poverty is the Scottish Government’s top priority and a national mission. But we can only do that by providing long-term, sustainable solutions, not quick fixes.

“The Scottish Child Payment, only available in Scotland, will this year help the families of over 330,000 children, and our five family payments could be worth more than £25,000 by the time an eligible child turns 16.

“We are extending provision of free school meals to pupils in P6 & P7 who receive the Scottish Child Payment, committing a further £14.3m to support the school clothing grant, and investing in the systems needed to end the two-child cap by April 2026.

“Through the Fairer Futures Partnerships we are working alongside local authorities, local communities and the Third Sector to test and improve how they deliver services to promote family wellbeing, maximise incomes and support people towards education and into sustained employment. 

“I’m visiting Irvine Royal Academy to hear about some of the programmes and activity North Ayrshire Council has in place to tackle child poverty, support families and children in the local area with the cost of the school day and maximise incomes.

“The work with the school community is a great example of the results that can be delivered when services work together to provide wrap-around support for families. We want to explore how we can do this even better and that is why we have doubled our budget for Fairer Futures Partnerships to £6 million for the next financial year.”

North Ayrshire Council Leader Marie Burns added: “Tackling child poverty is the number one priority for our administration.

“We have the second highest rate of child poverty in Scotland and we are determined – with support from the Scottish Government and our hard-working partners in the public, private and third sectors – to improve life for families across North Ayrshire.

“We look forward to welcoming the Cabinet Secretary to Irvine to hear, first-hand, about some of the great work that is being done to support families who are struggling to make ends meet.”