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Scotland’s Finance Secretary, Shona Robison, is facing extensive calls for reform as she prepares to present next year’s draft Budget. The National Health Service (NHS), which accounts for 40% of her budget, has been highlighted by Audit Scotland as unsustainable in its present state. The education system, lacking teachers and local authorities want more autonomy and more funding. Unions are questioning the education sector and its ability to provide services and there is also a call for reforms to replace council tax with a new system and limit access to state-funded university tuition-freebies.
Robinson has planned to focus on public services and the economy, fighting poverty among children and tackling climate emergencies. The UK government has made an extra £3.4bn available to Robison’s budget for the next year, however, experts are unsure if the amount will be enough. The Fraser of Allander Institute at Strathclyde University states that despite funding increases, the budget remains tricky, allowing limited room for manoeuvre.
Scotland’s total budget last year was approximately £60bn, while the UK government confirmed the block grant for 2025/26 is £47.7bn. The rest of the budget is raised through taxes administered in Edinburgh such as income tax, land and buildings transaction tax and business rates. Extra powers over welfare and taxation have been transferred from London to Edinburgh since the modern Scottish Parliament was established 25 years ago, with the Scottish government responsible since for a wide range of public services, including health, education, policing, justice and housing.
Critics say the provision of state-funded benefits such as personal care for the elderly, university tuition, bus travel among other benefits is a poor use of cash, and it would be better to target support to those in need. The Scottish Labour party revealed that SNP has underdone waste and mismanagement, leaving every institution weaker. The Scottish Conservatives claim that the Scottish government has failed Scotland, making people pay more while getting less. The Greens want to see a progressive budget that tackles poverty and the climate crisis
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