SWBG blog

Reaction to the Scottish Budget 2026-27

This blog will be updated over the coming days as we take time to go through the budget documentation. 

Today’s budget made some important steps but lacked transformative action for women. 

On taxes, we welcome the introduction of additional council tax bands for those in high value properties. Yet, today’s announcements shy away from delivering full scale reform, and revaluation remains essential to ensure fairer local taxes capable of adequately funding local services. The introduction of a private jet tax is also a positive step, targeting some of the wealthiest individuals for their highly polluting journeys and reinforcing the Government’s mission to addressing the climate emergency.  

On the spending side, this budget contained several key announcements which, while welcome, fall short of ambition. SWBG joined many anti-poverty charities in calling for Scottish Child Payment to rise to £40 per week. The commitment to implement this increase for children under one is a step in the right direction but must quickly be followed with eligibility for all children. 

We were disappointed by the absence of any funding to fulfill the Scottish Government’s commitment to end non-residential social care charging. The difference between statements made in today’s budget on social care funding and the reality of rising charges and tightening eligibility at the local level highlights the persistent gulf between the social care budget and the investment actually needed.  The percentage increase in social care spending lags behind that of the NHS. It remains to be seen if this spending will resolve the NHS’ performance challenges; however, the absence of a focus on social care, which is also preventative, will only increase pressure on the NHS.  

On childcare, this budget appears to increase the focus on school aged provision, with the announcement of a national breakfast club offer in all primary schools and the expansion of after-school activities clubs for children. This is an important development that will be welcomed by families across Scotland, particularly women,  who disproportionally bear the brunt of balancing paid work and caring responsibilities. However, this announcement falls short of the Scottish Government’s commitment to deliver a national school age childcare system by the end of this Parliament, with the deadline now pushed to August 2027. 

By contrast, Early Learning and Childcare (under 5s) sees no change, despite calls for reform to allow children to access their funded entitlement when they turn three, rather than from the following term. Meanwhile, the original ambition to develop an ELC system from one onwards appears to have faded, with no further news on support for eligible children or on widening the criteria for eligible two-year-olds to help close the attainment gap.  

Today’s budget continues to adopt the traditional outlook of economic growth and the transition from oil and gas industries. Supporting workers in oil and gas to reskill to work in renewables is positive, but it falls short from transformative change, both in terms of increasing women’s representation in these sectors and widening our understanding of the economy. The omission of care as a key economic driver is glaring, undermining its role in supporting a well-functioning economy and forming a crucial part of the country’s social infrastructure.  

Finally, alongside tax and spending measures, the budget announced £1.5 billion in efficiencies through Public Sector Reform. At SWBG, we have consistently stressed that such reforms must not exacerbate gender inequality. We will be reviewing the details over the coming days to assess the potential impact.