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:
New report reinforces case for stronger wealth taxes as a key building block of wider package of UK and Scottish fair tax reforms
A new report for Tax Justice Scotland has exposed Scotland’s staggering wealth gap with just five families holding more wealth (£19.3bn) than a quarter of Scotland’s population with the least wealth combined (£18.9bn).
The news comes as campaigners, frontline delivery organisations, academics, trade unions and others gather in Edinburgh for a major tax justice conference to explore the urgent need for a package of fair improvements to the tax systems at Scotland, UK and global levels.
The report, Taxing Wealth for a Fairer and Greener Scotland, produced by the Scottish Trade Union Congress (STUC) on behalf of the campaign, makes clear that fairer taxes on wealth at UK and Scotland levels must be at the heart of this package of reforms to invest in and drive progress towards a fairer, greener and more prosperous future.
Tax Justice Scotland says improved wealth taxation is only one part of a fairer tax system and is today also challenging all political parties in Scotland to outline detailed proposals for using the powers of the Scottish Parliament to improve devolved and local tax systems.
The STUC analysis highlights the extreme end of wealth inequality after official data showed the wealthiest 2% of Scottish households have more wealth than the poorest 50% combined.
The report shows that the fortunes of Scotland’s very wealthiest people are surging far faster than people’s pay packets. Between 2024 and 2025, the combined wealth of Scotland’s ten richest families shot up by almost 8%, outstripping average earnings growth (5.9%).
Incredibly, the five richest families in Scotland are estimated to have more wealth (£19.3bn) than the Scottish Government collected in Income Tax (£19bn) last year.
For illustrative purposes, the STUC analysis shows that a modest annual wealth tax of just 2% on all those with assets of more than £10 million could raise nearly half a billion pounds (£492 million) from Scotland’s 10 richest families alone, enough to pay for 12,000 new nurses, or 11,000 new teachers, or to double the Scottish Child Payment and lift more than 30,000 children out of poverty.
Given such a wealth tax would apply to all those with assets of more than £10 million in Scotland, it would raise even more.
Roz Foyer, General Secretary of the STUC, said on behalf of Tax Justice Scotland:“This research lays bare the shocking concentration of wealth in Scotland. While families across the country are struggling to pay their bills, a handful of the super-rich are lining their pockets with more and more money.
“It doesn’t have to be this way: fairly taxing this eye-watering wealth could, according to STUC research, mean more 12,000 new nurses in hospitals, 11,000 more teachers in classrooms or to double the Scottish Child Payment and lift more than 30,000 children out of poverty
“Politicians across the UK should be in no doubt that it’s their dithering and delay that is deepening the crisis within our communities and public services. The powers to make a radical change to our tax system are at their disposal. The excuses must end. Scotland can work for everyone, not just the richest few. It’s time that work was started without equivocation.”
Tax Justice Scotland believes a series of tax reforms are needed to deliver the investment Scotland needs, while incentivising positive behaviours, to tackle poverty, strengthen public services, cut emissions and support fair work, while reducing the many forms of inequality that persist, including gender and economic inequality.
The campaign says this package of reform is essential to building a fairer, greener and more prosperous future for everyone in Scotland. While, over time, raising enough revenue is likely to require broad-based tax increases – fairer wealth taxation is vital.
As the Chancellor prepares her autumn Budget, campaigners point to growing momentum behind fairer taxes, with 68% of people in Scotland thinking the very richest should pay more. Over three-quarters (79%) of people in Scotland back a UK-wide wealth tax on the very richest people.
Previous analysis has shown that the measure, alongside a series of other reforms to improve existing UK-level taxes on wealth, like increasing Capital Gains Tax and applying National Insurance to investment income, could raise up to £60 billion a year across the UK.
A UK-wide wealth tax, if introduced, could help boost the Scottish Budget. But the STUC’s analysis shows that if the UK Government fails to act, the Scottish Parliament could use its own tax powers, with HMRC support, to introduce a locally-administered wealth tax.
The findings come against a backdrop of growing fiscal pressure: the Scottish Fiscal Commission has warned of a £4.7 billion shortfall in the Scottish Budget by the end of the decade, alongside mounting longer-term challenges. The Commission is urging all parties to work together before and after the Scottish election to address these challenges.
While making the case for improved taxation on all forms of wealth, Tax Justice Scotland says improving tax on property wealth in Scotland is particularly essential. Campaigners say the outdated and unfair Council Tax, still based on property values from 1991, must finally be replaced with a reformed property tax that reflects today’s housing wealth.
Property wealth has surged by almost £100 billion in just ten years, yet the Council Tax system remains frozen in time, letting those in the most expensive homes pay far less than they should, while many others are left paying over the odds.
Tax Justice Scotland say replacing Council Tax, alongside wider reforms to better tax the wealthiest and to build upon modest but progressive changes to Income Tax in Scotland, would collectively make sure those with the broadest shoulders contribute a fairer share.
Campaigners emphasise that while tax isn’t a silver bullet, it can play a much bigger role in building the Scotland we want to see.
Jamie Livingstone, Head of Oxfam Scotland, a member of Tax Justice Scotland, said:“Our tax system can do so much more to help build the country the people of Scotland want, but, right now, it’s stacked in favour of the wealthy.
“It’s time to fix the system; and that must include better taxing wealth right across the UK and, in Scotland, finally replacing the outdated Council Tax.
“With the Scottish election fast approaching, all political parties have a clear choice: defend a broken system that protects the richest while short-changing critical priorities or back a fairer one that delivers a fairer, greener and more prosperous country for all of us.”
Almost 1.6 million people have already been displaced
First Minister Humzah Yousaf and Scottish Trades Union Congress (STUC) have jointly called for an immediate ceasefire in Gaza and Israel during a bi-annual meeting yesterday.
The meeting was an opportunity for the Scottish Government and STUC to re-iterate solidarity with the Jewish and Muslim communities in Scotland, and commit to working in collaboration to ensure that antisemitism, Islamophobia, or any form of hatred or prejudice has no place in Scotland.
First Minister Humza Yousaf said: “We unequivocally condemn the terrorist atrocities committed by Hamas almost six weeks ago, and call for all hostages to be immediately, unconditionally, and safely released.
“What we are witnessing in Gaza is a humanitarian disaster. More than 11,000 men, woman, and children have lost their lives, and almost 1.6 million have been displaced. The people of Gaza are in desperate need of water, shelter, food, and safety.
“We must stand together and united, join with international organisations and aid agencies like the United Nations and World Health Organisation, and continue to lend Scotland’s voice to the growing international calls for an urgent ceasefire.
“The way forward is clear, and I hope that others across Scotland will add their voices to our calls – which build on Scotland’s proud history of supporting and promoting peace across the world.
“Working in solidarity with trade unions and others to combat antisemitism, Islamophobia, and all forms of hatred in Scotland is crucial, and I am absolutely committed to sending a clear message that hatred or prejudice directed at any community has no place in our modern Scotland.”
Commenting, STUC General Secretary Roz Foyer: ““The STUC is unequivocal: there must be an immediate ceasefire. We reiterate our utter condemnation of the Hamas attack on innocent Israeli citizens and call for the release of all hostages without delay.
“However, just as there can be no historical justification for such acts, neither is there any justification for the indiscriminate killing of innocents who are subject to terror and barbarism whilst the world looks on.
“We join with the First Minister and the Scottish Government, in addition to the United Nations, the World Health Organisation and international agencies across the world, in demanding a ceasefire and to end the killing of innocent men, women and children within the region.
“Collective punishment is a war crime. International law must be upheld. Peace must reign. However distant it may seem, a political solution can be found that guarantees peace and statehood for all peoples in Israel and Palestine.”
“Today I visited the Gaza Strip to meet with children, their families and UNICEF staff. What I saw and heard was devastating.
“They have endured repeated bombardment, loss and displacement. Inside the Strip, there is nowhere safe for Gaza’s one million children to turn.”
Read the full statement by UNICEF Executive Director Catherine Russell on her visit to Gaza: https://uni.cf/40Fliqv
