On 28 January 2021, Finance Secretary Kate Forbes set out the Scottish Government’s proposed spending and tax plans for 2021 to 2022.
In a presentation to the Scottish Parliament, Forbes stated that the Government’s spending and taxation plan for the coming year aims to drive economic recovery, bolster public services, and support families.
According to Forbes, job creation is a priority in Scotland. Job creation measures include a new Green Workforce Academy and a £100 million Green Jobs Fund over the next parliament.
Total spending on digital connectivity is set to increase from £63.4 million to £102.7 million. Efforts to improve Scotland’s digital infrastructure include a £98.2 million investment into broadband and mobile coverage. The Scottish Government is investing a further £7 million towards making Scotland a hub for digital business.
More than £3.1 billion in resource and capital investment has been allocated to education and skills, including £125 million towards employability, skills, and the Young Person’s Guarantee.
The Government has announced a record investment of £16 billion in health.
Local authorities have been granted £90 million to allow for a council tax freeze.
Speaking in parliament, Forbes said:
“This budget is being delivered in exceptional circumstances as we continue to battle a pandemic that has shaken our society and economy to the core, and as we face the harmful impacts of Brexit.
“It promotes innovation and reform, new beginnings, new directions. And while it continues to target support in the immediate term, it also tracks a course over the next year to build a fairer, stronger and greener country.
“To help drive our green economic recovery I am providing the stability and certainty that businesses have asked for through the most competitive reliefs packages in the UK. There are innovative measures to promote sustainable growth and we are investing more than £1 billion in jobs and training.
“The budget sets out a distinctive Scottish pay policy that again supports the lowest paid, charting a different course to the ill-judged pay freeze announced by the UK Government. It also bolsters our health service, delivers more affordable homes, provides additional childcare places and helps young people into work.
“Throughout these dark times we have never given up hope. This budget seeks to build on that hope and, by focusing on how we rebuild and renew our country, make the light at the end of the tunnel shine that bit brighter.”
The full Scottish Budget is available here.