Supporting document to the Budget (Scotland) Act 2023 Amendment Regulations 2023. Provides details of Level 2 and 3 budgets.
Introduction
This booklet provides information for the Parliament and others in support of the ‘Budget (Scotland) Act 2023 Amendment Regulations 2023' - the Spring Budget Revision. The Order is a Scottish Statutory Instrument laid before the Scottish Parliament by the Scottish Government in February 2024. The booklet itself has no statutory force - it is produced as an aid to understanding the Order.
The purpose of the Spring Budget Revision is to amend the Budget (Scotland) Act 2023, which authorises the Scottish Government's spending plans for the financial year 2023-24.
The main changes to the Scottish Government's spending plans, as set out in the supporting document to the Budget Bill, are explained below:
- Funding changes to reflect deployment of available resources to portfolios (total net increase to the budget of £564.8 million);
- technical adjustments (net decrease to the budget of £2,455.7 million);
- Whitehall Transfers and HM Treasury allocations to the Scottish Government (£144.4 million); and
- the transfer of resources between Scottish Government portfolios.
In total these changes will decrease the Scottish Government budget by £1,746.5 million from £60,205.9 million to £58,459.4 million.
The purpose of the Spring Budget Revision is to seek Parliamentary approval for these changes.
Scottish Government Funding Changes
Following the completion of the 2023-24 Autumn Budget Revision additional funding has become available. This funding has arisen from a number of sources as detailed in Tables 1.7a to 1.7e. These include:
- Revised block grant adjustments and fully devolved tax forecasts;
- Additional funding expected from the UK Supplementary Estimates Process; and
- An increased carry forward within the Scotland reserve, following the 2022-23 Audit process, noting the most significant change reflects relates a timing difference with Health between years (i.e. an in for 22-23 and out for 23-24 with no impact over the two years combined) arising from a different audit interpretation of a contract from treatment of patients from a Health Board to other boards areas
The funding position here represents the final Scottish Budget aggregate available but this does not represent the final position which will be reflected in the funding aggregates in HM Treasury terms. At the time of publication The Supplementary Estimate position is not yet confirmed and any changes to this position, along with movements on devolved taxes, borrowing and other funding items will be reflected in the provisional and final outturn.
The pressures on the financial position across the year has required active management and reprioritisation of funding. In areas where savings have been targeted through this process, budgets have been reduced and funding redeployed to address priority areas, such as Health and Social Care and supporting Ukrainian displaced people. Details of these transfers are set out throughout the document
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