Chamber and committees

I refer members to my entry in the register of members’ interests, which shows that I hold a bank nurse contract with NHS Greater Glasgow and Clyde.

Last year’s fiscal sustainability report from the Scottish Fiscal Commission highlighted where the current pressures on Scotland’s public finances lie and where they could lie in the future. The report identified the particular challenges that Scotland faces now, in part as a result of our changing demographic profile, and, in particular, the financial challenges faced across our public services.

As the First Minister made clear when presenting this year’s programme for government, the Scottish Government is focusing on four clear priorities: eradicating child poverty, building prosperity, improving our public services and protecting the planet. Of course, those priorities are closely interlinked. We know that living in poverty is damaging for our health at all ages and stages of life. We know that, when we tackle poverty, health and wellbeing improve as a result, ultimately helping to reduce pressure on public services.

On the converse, to put it simply, investment in public services pays for itself, as it leads to an economic boost, a healthier society and better long-term outcomes for children and young people. The challenges that are faced by our public services are the result of not just demographic change but rising energy costs and the on-going impacts of Covid and Brexit, and—crucially—years of austerity under successive Westminster Governments.

Scotland’s block grant is at its lowest share in a decade. House of Commons research shows that, in a like-for-like comparison, the Scottish block grant has suffered a real-terms cut every year since 2020 and is now worth £6.4 billion less than it was in 2020. Just last year, the capital block grant was cut by nearly 10 per cent, and it faces a further cut this year. The Scottish Government is also constrained by the requirement to balance its budget with extremely limited borrowing powers. Within those constraints, and within the other financial limitations of devolution, difficult decisions have had to be taken along the way, although the SNP Government has worked to continue delivering its priorities and protecting our public services.

The Scottish Government has a strong track record of improving lives in those challenging circumstances. It has delivered an expansion of funded childcare to 1,140 hours for every three and four-year-old, record investment in the NHS, renewable energy development, and the introduction of the Scottish child payment. The SNP Government’s aim, even when it is faced with unprecedented budgetary constraints, will be to improve people’s lives by focusing on clear priorities that make the biggest difference, and to be a fiscally responsible Government that balances its budget every year. For the past 17 years, SNP Governments have balanced the books, and the Government will do so again this year.

The Scottish Government’s funding is inextricably linked to the UK Government’s spending decisions, with Scotland’s fiscal sustainability subject to the impact of reductions in UK spending via the block grant. We are still awaiting the unveiling of the UK budget tomorrow. Many column inches have been written, and will be written over the coming days, about what the UK budget will mean for families, businesses and our public services.

It would be fair to say that the mood music from the Labour Party, and what has been trailed in the press, has been anything but upbeat. Yesterday, the Prime Minister said that Britain

“must embrace the harsh light of fiscal reality”,

and made it clear that the budget will be

“painful”.

The words of Anas Sarwar—

“Read my lips: no austerity under Labour”—

are already ringing hollow to my senior Rutherglen constituents whose winter fuel payments have been cut. That has left people feeling angry and scared of fuel bills that they cannot afford, with the very real fear of having to choose between heating or eating. The fact is that you cannot cut your way to prosperity or better public services, and you cannot eradicate poverty by making people poorer.

Health spending is the largest component of the Scottish budget, and there have already been very concerning reports about leaked UK Government health and social care spending plans. Several newspapers have reported that the health budget in England may be expecting a settlement that equates to around a 4 per cent rise, which is about £7 billion pounds. To put that in context, the British Medical Association has called for a minimum of £13 billion pounds. Other commentators have estimated that a £16 billion increase is the bare minimum that is needed to close the gaps and deliver improvement in NHS England—an increase that would deliver an additional £1.6 billion for Scotland.

If those leaked reports are true and that is the level of health and social care funding that will be announced tomorrow, one thing is clear: the Labour Government is planning to continue Westminster’s chronic underfunding of public services, which has done so much damage over the past 14 years. In the face of that on-going challenge, the Scottish Government has stepped in to support people and services where that support has been needed the most. However, it has done so without equivalent action from the UK Government, which has repeatedly failed to properly review the adequacy of funding settlements.

The only way that the social, economic and environmental challenges that Scotland is facing can be tackled is through the delivery of sustainable funding for public services. As the UK Secretary of State for Health and Social Care himself has said,

“All roads lead back to Westminster”.

Labour swept into power on the promise of positive change for people across this country, but now its Prime Minister has admitted that things are going to get worse. The Scottish Government will continue to work with the UK Government wherever it can, and will continue to urge it to drop the damaging cuts and set new spending rules that support investment. It will do everything that it can to protect services and the public from Westminster’s attack on Scotland’s public spending. Ultimately, however, Scotland should have full powers to invest in our people, our public services and the planet, to enable it to build a more prosperous country. Scotland would be best served by having the full range of fiscal powers, choices and opportunities that independence would bring.

I asked the Cabinet Secretary for Justice and Home Affairs about the high number of people being held on remand in our prisons, and I will ask the Lord Advocate a similar question: is she content that all 2,000 or so of the people who are currently being held on remand are a risk to society?

Prisoners on remand make up around a quarter of the prison population, which seems an unacceptable level. Will the cabinet secretary expand on the steps that have been taken to improve alternatives to custody for those who are waiting to go to court?

I am listening carefully to what Paul O’Kane is saying. He mentions child poverty. He knows where I am going here—the issue of the two-child benefit cap. Will he join me in calling on the Chancellor of the Exchequer to review that in the upcoming budget?

Will the cabinet secretary set out the breadth of subjects that currently exists in Scottish education, and will she say what impact colleges, community campuses and virtual education have had on the provision that is available to pupils?

Another issue that you have spoken about—among lots of issues that you have spoken about—is that there has been a lot of consensus between the Scottish Government and COSLA, with a lot of support for lots of parts of the bill as drafted. What will it take to get COSLA back round the table?

If you are very brief.

We continue our scrutiny of the Scottish Government’s proposed stage 2 amendments to the National Care Service (Scotland) Bill with our third panel of witnesses. I welcome Fiona Collie, who is head of public affairs and communications at Carers Scotland; Dr Jim Elder-Woodward OBE, who is co-convener of Inclusion Scotland; Frank McKillop, who is director of governance and policy at Enable Scotland; and Adam Stachura, who is associate director for policy, communications and external affairs at Age Scotland. Jim Elder-Woodward is supported by a representative from Inclusion Scotland.

We move straight to questions.

I have a few follow-up questions on issues that other committee members have raised. Councillor Kelly, I heard you say a few times that you had only an hour to read the amendments before they were published. Of course, they are draft amendments at the moment; they have not been voted on.

Joe FitzPatrick asked a specific question about COSLA amendments, which I did not hear answered. Has COSLA drafted amendments for stage 2?

I have a few follow-up questions on issues that other committee members have raised. Councillor Kelly, I heard you say a few times that you had only an hour to read the amendments before they were published. Of course, they are draft amendments at the moment; they have not been voted on.

Joe FitzPatrick asked a specific question about COSLA amendments, which I did not hear answered. Has COSLA drafted amendments for stage 2?