Latest Public Sector News

20.06.13

Scottish spending reaches £64.5bn

Public spending in Scotland has doubled since the onset of devolution to more than £60bn, a report by the Scottish Parliament Information Centre (SPICe) shows.

In 2011-12, public spending hit £64.5bn, up from £31.8bn in 1998-99. It now accounts for half of Scotland’s economy. There are now 554,800 jobs in the public sector, demonstrating a rise of 9,000 from 2012 and making up 22.5% of the workforce.

Finance secretary John Swinney said yesterday: “Changing the way we deliver public services helps to deal with the challenge of spending cuts, but it is all the more important for the transformational improvements we can bring to the services we deliver.”

Scottish Conservative local government spokeswoman Margaret Mitchell said: “When the SNP is supposed to be looking at every penny, it’s a surprise to see the public sector expanding.”

CBI Scotland’s David Lonsdale said: “A bolder approach to making savings and promoting competition in the delivery of public services is needed, in order to avoid any further tax rises on business and also to free up money for important GDP-enhancing investments in infrastructure, skills development and export support.”

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