28/01/25 11:31
A letter from Finance Secretary Shona Robison setting out agreements with the Scottish Liberal Democrats and Scottish Greens to support the Budget.
From: Shona Robison, Cabinet Secretary for Finance and Local Government
To: Kenneth Gibson MSP, Finance and Public Administration Committee Convener
Scottish Budget 2025/26 – Budget Amendments
As I set out to Parliament on 4 December 2024, I have strived to build a cohesive and unifying programme that works for all of Scotland. Notwithstanding that the Scottish Labour Party has signalled their intention to abstain in the Budget, Ministers have undertaken further engagement and negotiation to build as broad support as possible for the Budget Bill.
I can confirm today, this Government has reached agreements with the Scottish Liberal Democrats and Scottish Greens to support the Budget, delivering on areas of shared priority and ensuring stability for Scotland’s public services.
I will take forward arrangements to formally table amendments at Stage 2, which will give effect to additional spend during financial year 2025/26.
In respect of the position reached with the Scottish Liberal Democrats, we will:
In respect of the position reached with the Scottish Greens, we will:
The proposed package amounts to approximately £16.7 million in 2025/26. This will be funded by a draw down from Scotwind of £3 million to support nature restoration, and the remaining amendments being funded through reduced debt servicing costs in 2025/26.
Outwith the 2025/26 Budget process we will continue to work with both parties on specific matters. We will, this summer, undertake a consultation on the devolution of parking fines to local government and engage further with the Scottish Green Party on this issue. We will also engage with the Scottish Greens on the Infrastructure Levy sunset clause. With the Scottish Liberal Democrats we will seek further engagement as we develop the Infrastructure Investment Plan later in the year. We have also set out to the Scottish Liberal Democrats that we have a shared understanding and commitment to the importance of social care services and that this should be reflected in the future fair distribution of the reimbursement from the UK Government for the increased costs of employer national insurance.
I am pleased to present these proposed changes for Parliament’s consideration, which in the spirit of cooperation will deliver a Budget by Scotland for Scotland.
Yours sincerely
Shona Robison