Scotland’s public finances are under considerable strain, with high inflation, a cost-of-living crisis and demands for improved public sector pay deals - according to Holyrood’s Finance and Public Administration Committee.
Scottish Budget Report 2023-24, the Committee says that the focus of government should be on striking the right balance between responding to immediate financial pressures and addressing longer-term fiscal challenges.
The committee has also called for clarity from the SNP Government on how it intends to deliver public service reform.
Finance and Public Administration Committee Convener Kenneth Gibson MSP said:
“The SNP Government’s focus on addressing the cost-of-living impact is understandable given the scale and immediacy of the challenge.
“The Committee also acknowledges the difficulties arising from soaring inflation this year and the knock-on implications for public sector pay and public spending overall.
“Scottish Ministers must also focus on striking the right balance between responding to the immediate financial pressures and addressing long-term fiscal challenges.
“We are also keen to see more strategic long-term financial planning from Scottish Ministers to ensure future fiscal sustainability. This includes how it will meet its public service reform and social security commitments.
“It is clear from our scrutiny of the Scottish Budget 2023-24 that the Scottish Government is firefighting on a number of fronts.”
Find the full report here: