Current Location

Fetching weather...

Chancellor: Spending plans mean extra £1.2bn for Scotland

In his spending review, Sajid Javid also committed £160m in funding for Scottish farmers.

Sajid Javid: Chancellor lays out plans for pre-election spending spree. <strong>Leon Neal / Getty</strong>
Sajid Javid: Chancellor lays out plans for pre-election spending spree. Leon Neal / Getty

Chancellor Sajid Javid has announced a raft of new spending commitments which would mean an extra £1.2bn for Scotland.

Launching his spending review at Westminster, the Chancellor said he was “turning the page on austerity” as he set out plans for a £13.4bn domestic spending spree ahead of a possible general election.

While most of the spending pledges relates to services and public investment in England, it will also mean boosts for the devolved nations via the Barnett spending formula.

Javid also pledged to provide farmers with £160m in funding Scottish politicians and agricultural groups said the sector had been owed for more than five years.

He conceded Scottish hill farmers lost out in 2013 when the UK Government allocated EU convergence funding within the UK, saying: “Today we correct that decision.”

Javid’s spending round will result in an additional £1.2bn for Scotland, £600m for Wales and £400m for Northern Ireland.

“Taken together, today’s announcements will give the devolved administrations the biggest spending settlement for a decade,” said the Chancellor.

He added: “Every region and nation in the United Kingdom will benefit from new funding that I’m providing today to police, to schools, to health, social care and much more.”

But Scotland’s finance secretary Derek Mackay said the one-year spending review – despite a previous promise of three-year reviews – was not sufficient to help prepare him for future Scottish budgets.

Mackay said: “Despite promises of additional funding from the UK Government, the fact remains this announcement gives us no greater certainty, does not undo the damage of austerity, fails to protect us from Brexit and simply gives just some of the money owed to Scotland.

“Scottish public services have been constrained by a decade of UK austerity during which we have lost out on over £12bn of real-terms investment.

“Today’s announcements do little to address the damage caused by UK austerity or the multi-billion funding disputes we have outstanding with the Treasury.”

The finance secretary added: “Until we have a full UK budget we will not have the certainty we need to prepare for the future of the Scottish budget.”

Javid also announced an additional £2.2bn for the Ministry of Defence, improving spending in real-terms by 2.6%.

Opening his statement by saying the UK would be ready to leave the EU on October 31 with or without a deal, the Chancellor further pledged an extra £2bn for delivering Brexit.

But Speaker John Bercow chastised Javid twice for deviating from the topic of the spending round by first talking up a potential Brexit deal and later for attacking Labour.

It followed a rowdy first Prime Minister’s Questions for Boris Johnson following his government’s Commons defeat on Tuesday night.

Opposition and rebel MPs voted to seize control of the order paper later on Wednesday afternoon, when they will seek to quickly pass a law to delay Brexit and prevent a no-deal scenario.

Later, MPs will vote on a motion tabled by the Prime Minister calling for an early general election.


You're up to date

You've read today's top stories. Where would you like to go next?