Scottish Budget at a glance

– Tax

Following last year’s income tax reform which increased higher rates and brought in two additional income tax bands, this year no changes were made to rates and no new bands were introduced or removed.

The starter and basic rate bands of 19p and 20p respectively will increase in line with inflation, while the threshold for the higher rate of tax was frozen at £43,430, unlike the rest of the UK where it will rise to £50,000 in April.

Business rates increases will be capped below inflation at 2.1%.

Rates and bands for residential land and buildings transaction tax have been frozen, while for non-residential the lower rate has been cut from 3% to 1%, the upper rate increased from 4.5% to 5% and the threshold for this rate cut by £100,000 to £250,000.

The additional dwelling supplement will increase from 3% to 4%.

– Health

Spending on NHS health and care services will rise by £729 million including a 4.2% rise in cash for front-line NHS boards to £430 million.

Reform investment will rise by £149 million, the majority of which, £90 million, will go to improving waiting times.

Investment in social care and integration will rise to more than £700 million which includes the £120 million being transferred from health to local government for integration and school counselling services as well as £40 million to local government to extend free personal care to under 65s.

– Education

The total education and skills budget will rise by £36 million to £3.4 billion.

£180 million will go towards closing the attainment gap, with £120 million of this going to head teachers through the pupil equity fund.

University funding will sit at more than £1 billion for universities with colleges being given more than £600 million.

Almost £500 million will go towards expanding early learning and childcare.

– Local government

Total funding for both the revenue and capital budget in the local government settlement is up more than £210 million with overall Scottish Government support to local government at £11.1 billion.

This includes core funding and cash from other areas but council umbrella body Cosla argues, due to money already committed and ring-fencing, both core capital and revenue budgets have been cut by 2%, at £198 million and £207 million respectively.

– Public sector pay

Public sector workers earning up to £36,500 will have a pay rise of 3%, more than the rate of inflation.

This pay bill is capped at 2% both for people earning between £36,500 and £80,000, and any increase for those earning more than £80,000 to £1,600.

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