Skip to main content
Holyrood committee ‘deeply concerned’ at Scottish government's financial management
First Minister John Swinney with Deputy First Minister Kate Forbes (left) and Finance Minister Shona Robison (right) arrive ahead of First Minister's Questions at the Scottish Parliament in Holyrood, Edinburgh, October 31, 2024

A CROSS-PARTY committee of MSPs has warned the Scottish government it has no “strategic approach to managing Scotland’s public finances,” ahead of next month’s budget.

Holyrood’s finance committee published its damning new report on the state of public finances today, with the draft Scottish budget due on December 4.

The scrutiny report argued that for each of the last three years, the finance secretary had been forced to make emergency cuts in-year to balance the books – most recently when Shona Robison slashed  £500m from public services in September.

The committee’s remarks echo those of Audit Scotland last month. The audit watchdog slammed what it called the Scottish government’s record of short-term thinking and reliance on one-off cuts to pay for recurring costs – a record it warned would make for “difficult decisions” ahead.

Committee chairman Kenneth Gibson, of the SNP, called on ministers to consider introducing a new category of public spending – called preventative spend – to encourage a shift in culture putting public services and Holyrood finances on a more sustainable footing.

He said: “Our committee is deeply concerned about the Scottish government’s lack of strategic approach to managing Scotland’s public finances.

“There is little evidence of medium and long-term financial planning.

“Year-on-year budgeting has become increasingly challenging, with significant emergency controls being required in each of the last three years.

“We recognise devolved governments have fewer flexibilities to deal with ‘shocks’.

“However, many issues impacting the 2024-25 budget – such as higher than anticipated pay settlements and increasing social security payments – could have been foreseen and mitigated when the budget was set, last December.”

A Scottish government spokeswoman said: “The Scottish government has a strong record of balancing its budget every year.

“However, this has been increasingly difficult in the face of high inflation, the effects of Brexit and underinvestment by the previous UK government, so difficult choices have had to be made.

“Ministers continue to do all they can to ensure public finances are sustainable, despite the significant uncertainty around funding from the UK government in the medium to long term.

“Scottish ministers will give this report careful consideration and will respond to the committee after the 2025-26 Scottish budget is published, in line with normal practice.”

Morning Star Conference - Race, Sex & Class
Support the Morning Star
You have reached the free limit.
Subscribe to continue reading.
More from this author
Scottish Money
Scotland / 2 June 2025
2 June 2025
Walkers take an evening stroll near Gretna, Dumfries and Gal
Scotland / 30 May 2025
30 May 2025
Similar stories
Coins and Scottish bank notes
Britain / 5 December 2024
5 December 2024
Finance Secretary Shona Robison during a visit to Logan Ener
Britain / 4 December 2024
4 December 2024
Coins in a Saltire purse
Britain / 21 November 2024
21 November 2024