STUC Women’s Committee calls for tax raising measures to protect public services

  • Investment in public services benefit women
  • While all households benefit from public services – some benefit more than others

Research from 2007-08 found that the average cash benefit to households from public services was more than £21,400 per year – but that those on low and modest incomes gain especially.

Spending on public services is particularly valuable for families with children.

We know that women use and depend upon public services more than men. This is because women are more likely to be on low wages, more likely to experience poverty, more likely to have unpaid caring responsibilities for children, elderly, and disabled people, and far more likely to experience domestic abuse and gender-based violence. Services that support families on low incomes including free school meals and childcare are vital to women in Scotland.

In contrast, men disproportionately benefit from tax cuts, such as cuts to national insurance, as they earn more. Across the UK, 26% of men are classed as high earners, but only 18% of women.iii

As well as being more likely to benefit from receiving public services, women are also more likely to work in public services. In Scotland, 40 per cent of female employees are public sector workers compared to only 23 per cent of male employees.

Research from last year found that a 12% increase in public sector pay would reduce Scotland’s earnings gap between men and women by about 2 percentage points.iv

The STUC Women’s Committee is calling for tax raising measures to be put in place to protect our public services. This includes increases in income taxes for high earners, as well as wealth and property taxes.

Lorna Glen, Chair of the STUC Women’s Committee said: “If the Scottish Government are serious about tackling gender inequality, then they need to invest in our public services.

“STUC’s tax report shows that is within the powers of our parliament – through income and property taxes – to raise £1.1 billion from April next year. Coupled with longer-term wealth, property and aviation taxes, the Scottish Government could raise a further £2.6 billion.

“Rather than threatening cuts to public services, these are the measures that we need to see if we are to reduce gender inequality.

“It is women who both power our public services and depend on them.”

The Scottish Budget will be announced tomorrow.