SCOTTISH BUDGET PROCESS

Since 1999 the Scottish Budget process under devolution has followed a three stage process, ending in the publication of the Budget Bill while then goes through the Scottish Parliament under the usual three stage process. There have been some variations to the general process in the past, and there may be changes in the future.

STAGE ONE

There is an annual draft budget, followed by the Budget Bill. Ever two years, in a Spending Review Year, an Annual Expenditure Review (AER) is published. This is a high level overview of the government in Scotland's proposed future spending plans and priorities. Stage One is subject to scrutiny by the Scottish Parliament Committees, whose comments and responses inform a report from the Finance Committee to the Parliament.

STAGE TWO

The draft Budget and Spending Plans, or Spending Review, are usually published in the autumn. This publication is a statement of proposed spending against policy objectives and high level programmes to deliver those objectives, and is Stage Two of the Budget process. Again subject Committees in the Parliament scrutinise and comment on these proposals, which are co-ordinated by the Finance Committee. At this stage the Finance Commitee could produce an alternative budget - so long as it were within the spending limit set out in the draft Budget.

STAGE THREE

Stage Three of the Budget Process is the Budget Bill. By the middle of January the Government presents the Budget Bill to Parliament, having considered the comments from the scrutiy processes in Stage Two. Parliament then debates the Bill, and a vote follows in the usual way.

The resources section contains links to more detailed information about the budget process.