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Scottish Budget 2018 – What it Means for Fife

The Scottish budget for the next year has been passed by the Scottish Parliament.    Here’s what the budget means for the Fife, Perth and Kinross.

✔ £400 million more for our NHS and more money direct to schools

The Tory government at Westminster has cut the budget available for public services in Scotland by half a billion over the next two years. By choosing a fairer path on taxation we are protecting Scotland’s cherished public services.

The budget will ensure:

  • record health spending of over £13.1 billion, with NHS Fife receiving over £636 million in the next financial year and NHS Tayside receiving over £734 million;
  • over £10 million is going to Fife Council and £1.6 million in Perth and Kinross to go direct to schools to tackle the attainment gap;
  • a real terms increase in day to day spending on local council services; and
  • investment of almost a quarter of a billion in our plan to near double provision of childcare and early years education.

✔ Seven in ten income taxpayers paying less than they are paying this year

Changes to Income Tax will make Scotland the fairest taxed part of the UK, with the majority of taxpayers paying less than if they lived elsewhere in the UK.  Compared to last year, everyone earning less than £33,000 will pay less.

✔ An end to the one per cent public sector pay cap

Next year we will deliver a minimum 3 per cent pay rise for public servants earning less than £36,500 – 75 per cent of public sector workers. For those earning more than £36,500 will receive a 2 per cent rise and a cash cap will be put in place on increases for those earning more than £80,000.

✔ Investing in schools, hospitals and roads in Perth and Fife

Investment will support:

  • infrastructure projects in Fife through innovative new finance methods;
  • the construction of the A9 Luncarty to Pass of Birnam; and
  • support construction of Tulloch Primary School, Bertha Park High School and Kinross Primary School in Perth and Kinross.

✔ New investment to ensure Scotland is the best place to do business and invest

To grow the economy in Fife, Perth and Kinross, we will:

  • invest an extra £100 million to deliver the best business rates package in UK;
  • continue to commit to the Tay Cities Deal which brings together public, private and voluntary organisations in Fife to deliver a smarter and fairer region;
  • increase investment in business research and development by 70 per cent;
    set aside £340 million for a National Investment Bank with a new £150 million Building Scotland Fund; and
  • begin procurement of the £600 million programme to deliver superfast broadband to all homes and premises.

✔ Maintaining the social contract, ensuring Scottish taxpayers get the best deal anywhere in the UK

With the cost of living rising, our commitment to a social contract with the people of Scotland is more important than ever. This budget will continue to fully fund an NHS free at the point of need; maintain free university tuition; and free personal and nursing care.

To strengthen the social contract this budget will:

  • implement Frank’s Law, providing free personal care to those who need it;
  • increase Carers Allowance;
  • provide free access to sanitary products in schools, colleges and universities;
    and continue to provide all babies with a Baby Box of essential items for their first weeks and months.

✔ New action to fight poverty and inequality

To build a fairer Scotland, this budget will:

  • invest £756 million towards our pledge to build 50,000 affordable homes in this Parliamentary term;
  • begin investment of the £50 million End Homelessness Together Fund;
  • begin investment of the £50 million Child Poverty Fund; and
  • maintaining £100 million a year investment to mitigate welfare cuts, including fully mitigating the Bedroom Tax.