Tag: 2022

The press release issued by the Scottish Government on 16 December 2022.

Supporting fair pay and sustainable services

Health and Social Care services will receive the highest ever budget settlement over the next year, paving the way for sustainable public services in Scotland.

The £19 billion package will help tackle the immediate pressures caused by the pandemic and a tough winter, while supporting the delivery of health and care services that are fit for the future.

The Scottish Government has surpassed its commitment to ensure every extra penny it receives from the UK Government is spent on health and social care. This means an extra £1 billion will be available to improve front line services and help fund the NHS pay deal for 2022/23.

Health Boards across Scotland will receive a 6% boost in funding as part of the Budget – bringing their total budget to £13.7 billion, which includes over £9 billion to give staff a fair wage.

Social care and integration will also benefit from £1.7 billion in funding over the next year. This will help deliver vital reforms of social care, continue work towards creating the country’s first National Care Service, and improving conditions for care workers – by funding a £10.90 Real Living Wage for adult social care workers in commissioned services.

This Budget continues to support prevention and early intervention, as well as the provision of quality community care, providing:

More than £1.2 billion for mental health services to provide record staff numbers that provide more varied support and services to more people than ever.

Over £2 billion to deliver and improve primary health care services in the community, enabling dental reform and supporting crucial GP services through investment in multi-disciplinary teams and targeted assistance to support system

£160 million to address the public health emergencies and reduce the avoidable harms associated with drugs and alcohol.

Fully restoring the budget for life-saving procedures such as thrombectomies – which remove blood clots – despite the need to make a short term reduction to tackle the inflationary pressures faced by the whole UK.

Health Secretary, Humza Yousaf, said:

“Frontline workers are the foundation of our health and care services and I am extremely grateful for them for getting us through the pandemic and facing-down one of the toughest winters in NHS history.

“This historic settlement took some difficult decisions, but we are steadfast in efforts to address the immediate pressures on health and social care services, and support fair work and pay.

“I want health and care services that are fit for the future – a future where Scotland continues to be the best place for health and care workers and where everyone gets the care that they need, where and when they need it.”

John Watson, Associate Director of the Stroke Association in Scotland said:

“The stroke community in Scotland was united in alarm over recent cuts to the thrombectomy programme and we therefore welcome this renewed funding of a life-saving, and cost-saving service. The Cabinet Secretary has now given us his assurance that the commitment to a national round-the-clock thrombectomy service remains.

“We look forward to continuing this positive discussion, with the aim of a clear timetable for delivering one of the most effective and cost-saving procedures available to us.”

Chest Heart and Stroke Scotland Chief Executive Jane-Claire Judson said:

“We welcome that the Scottish Government has listened to stroke survivors, charities and health professionals and restored funding for developing a national thrombectomy service. This cost-effective and life-changing procedure can make a huge difference to stroke survivors ensuring many more are able to walk again, talk again and live their lives to the full.

“We now need to see work on setting up a 24/7 national service restart as a matter of urgency and a timetable for delivery so that every stroke patient who needs it gets the best chance of living life to the full.”

The press release issued by the Scottish Government on 15 December 2022.

Proposed changes to a number of devolved taxes will raise additional revenue to support Scotland’s NHS and other public services, Deputy First Minster John Swinney has announced.

On Income Tax, he set out plans to add 1 pence to the Higher and Top tax rates, maintaining the Starter and Basic Rate bands at their current level, and reduce the threshold at which people pay the Top Rate, from £150,000 to £125,140. According to the Scottish Fiscal Commission (SFC), this will raise £129 million.

In addition, the Higher Rate Threshold will be maintained at its current level, increasing revenue by a further £390 million when compared to inflation according to Scottish Government estimates.

The Scottish Fiscal Commission estimates that the tax decisions made in Scotland since income tax powers were devolved could raise around £1 billion more in 2023-24 compared to the income tax policy decisions made by the UK Government.

A further £34 million is expected to be raised by increasing the Additional Dwelling Supplement from 4% to 6% from 16 December 2022, which is paid as part of Land and Buildings Transaction Tax (LBTT) on additional properties.

During his Budget statement to Parliament, the Deputy First Minister also set out plans to:

• freeze the non-domestic rates poundage and offer transitional relief for businesses seeing the most significant increases in their rateable values following the 1 April 2023 revaluation
• maintain the residential and non-residential rates and bands of LBTT
• increase the standard and lower rates of Scottish Landfill Tax, which will prevent cross-border movement of waste and support ambitions for the circular economy

Mr Swinney said:

“These tax decisions seek to strike a balance between ensuring there is enough money for public spending and acknowledging the challenging economic conditions facing households and businesses.

“The Income Tax proposals I have put forward will enhance the Scottish Government’s progressive approach to tax. Using the additional revenue raised through our tax changes will allow us to make a £1 billion uplift to the NHS budget, above and beyond the frontline health consequentials we have received from the UK Government. At the same time, the majority of people in Scotland will still be paying less in taxation than if they lived in the rest of the UK.

“On non-domestic rates, we have listened to businesses and by freezing the poundage we will deliver the lowest poundage in the UK for the fifth year in a row. This will ensure over 95% of non-domestic properties continue to be liable for a lower property tax rate than anywhere else in the UK.

“Increasing the tax due on the purchase of additional dwellings such as second homes maintains our commitment to protect housing opportunities for first-time buyers in Scotland, while also raising vital extra revenue.”

The press release issued by the Scottish Government on 15 December 2022.

Deputy First Minister John Swinney laid out “a different, more progressive path for Scotland” as he presented the Scottish Budget 2023-24.

He promised to strengthen the social contract with the people of Scotland and pledged to do everything possible to shield families from the welfare cuts and austerity policies of the UK Government.

Supporting sustainable public services through the cost of living crisis is a priority – including more than £13.7 billion for NHS boards and £2 billion to establish and improve primary healthcare services in communities, as well as £1.7 billion for social care and integration, paving the way for the National Care Service. This record investment goes well beyond any previous commitment to pass on all consequentials to health and social care, and delivers a £1 billion uplift to the health budget.

Having already increased the unique Scottish Child Payment to £25 per week as part of a drive to eradicate child poverty, the Budget invests £428 million to uprate all other devolved benefits in April 2023 by September’s Consumer Price Index inflation level of 10.1%. It commits £20 million to extend the Fuel Insecurity Fund to provide a lifeline for households, including the most vulnerable, against rising energy prices.

Scotland’s transition to net zero is boosted with increased investment to over £366 million in delivering the Heat in Buildings Strategy in 2023-24. This will help tackle fuel poverty as part of a £1.8 billion commitment over this Parliament to improve energy efficiency and decarbonise more than a million Scottish homes by 2030.

The Budget commits £50 million to the Just Transition Fund for the North East and Moray – more than double the 2022-23 allocation – to diversify the regional economy away from carbon-intensive industries and capitalise on the opportunities presented by new, green industries.

Strengthened by the agreement between the Scottish Government and the Scottish Green Party, the 2023-24 Scottish Budget also includes:

• around £1 billion investment in high quality early learning and childcare provision, with a further £22 million invested in holiday food provision and expanding support for school-age childcare

• £50 million for the Whole Family Wellbeing programme for preventative co-ordinated family support and a further £30 million to keep The Promise to care experienced children and young people

• £80 million capital funding to support the expansion of free school meals

• going beyond existing commitments with more than £550 million additional funding to Local Government

• £165 million additional funding for frontline justice services and to continue with transformational reforms

• a £46 million increase in resource funding to universities and colleges to ensure a highly qualified and highly skilled workforce for Scotland

Mr Swinney said:

“The Scottish Government, like governments all over the world, is faced with a difficult set of choices. Through this Budget we are facing up to our responsibilities while being honest with the people of Scotland about the challenges which lie ahead.

“To govern is to choose and the Scottish Government has made its choice.

“Within the powers available to us, we will choose a different path. A path which sees the Scottish Government commit substantial resources to protect the most vulnerable people of Scotland from the impact of decisions and policies made by the UK Government. We choose to stand firmly behind the Scottish people, investing in our public services and doing everything possible to ensure that no one is left behind.

“This Budget strengthens the social contract between the Scottish Government and every citizen of Scotland for the wider benefit of society. This social contract means that people in Scotland continue to enjoy many benefits not available throughout the UK – including free prescriptions, free access to higher education and the Scottish Child Payment.

“Because we know this progressive model works, we choose the path where people are asked to pay their fair share, in the knowledge that in so doing they help to create the fairer society in which we all want to live.”

The press release issued by the Scottish Government on 15 December 2022.

The 2023-24 Scottish Budget will take a distinctive approach to creating a fairer, more equal Scotland, Deputy First Minister John Swinney said.

He stressed the three Budget priorities of eradicating child poverty, strengthening public services and moving towards a net zero economy were strongly linked and would give more people the opportunity to flourish.

Ahead of delivering the Budget to Parliament today, Mr Swinney visited a scheme, delivered by City of Edinburgh Council and part-funded by the Scottish Government, installing insulation for households at risk of fuel poverty.

He said:

“I was encouraged to see the vital work being carried out to improve energy efficiency and make homes warmer for families facing significantly higher bills this winter. This scheme highlights how tackling the increased cost of living can assist our drive towards net zero, and is an example of the importance of effective public services.

“Our Budget goals are mutually beneficial and represent a distinctive approach to the economic challenges we face. The Scottish Budget will take further steps to address inequality and eradicate child poverty. It will encourage a just transition to net zero, creating wealth and opportunity across the country. And it will be the catalyst for reforms necessary to ensure our first-class public services remain sustainable in the face of the challenges to come.

“I would like to go even further but the cost of living crisis has also laid bare the fiscal constraints of devolution, as we cannot borrow to support day to day expenditure when times are hard to assist us through these difficult days. It is clear that businesses and households are paying a steep price for the economic mismanagement of the UK Government.

“The cost of living crisis requires decisive action. In setting this Budget, the Scottish Government will use its limited powers to the maximum extent that is responsible, to meet the challenges faced by the people of Scotland.”

Background

 The Scottish Budget 2023-24 will be presented to the Scottish Parliament on Thursday 15 December.

The Scottish Government has provided more than £550 million since 2013 to councils across Scotland to provide insulation in hard-to-treat homes, helping 104,000 fuel poor households make their homes warmer and more energy efficient.