Scotland’s Budget of 2013-14 anticipates support for economic recovery
Scotland’s Finance Secretary announced that the Scottish Government’s draft Budget plans for 2013–14 are expected to set out further support for economic recovery.
The move follows the £485million (€601 million) of additional investment in the Scottish economy that has already been confirmed in the investment package announced in last year’s Spending Review.
In February this year the Scottish Government confirmed a package of £380 million (€471 million) of capital spending over the period to 2014-15. A further £105 million (€130 million) of investment announced in June 2012 directed at large-scale transport, housing, health, digital and maintenance projects, aimed at creating jobs and stimulating growth.
The funding is a part of the Scottish Government Non-Profit Distributing model, which consists of over £700 million (€867 million) from resource budgets to support investment in job-creating capital projects and the £2.5 billion (€3.1 billion) of infrastructure investment.
However, according to Mr Swinney, the challenge remains. Scotland’s budget has been cut significantly by the UK Coalition Government in a failed attempt to reduce public sector borrowing. Changes to UK spending have made little difference, with a 33% cut in Scotland’s capital budget. The consequences of that economic strategy can be seen in falling growth forecasts and the continued challenge of unemployment.
Despite all the investments, households are still struggling and too many people are looking for work.
"We are investing as much as we can in infrastructure projects to support recovery, build the foundations for long-term growth and create and sustain the jobs that this country needs now,” said the Finance Secretary.