Meeting of the Parliament 14 January 2026
The previous Conservative UK Government did not inflation-proof its capital budget. At the time, we forecast that that would have resulted in a nearly 10 per cent real-terms cut in our capital funding over the medium term. We should also remember that the previous UK Government stripped £6 billion out of our budget.
Despite facing significant demands on our capital budget, from inflationary pressures, economic uncertainty, and the energy and cost crises, we are using all the levers that are at our disposal to top up our capital funding through ScotWind. We will continue to prioritise capital funding to eliminate child poverty, grasp the opportunities of net zero, boost economic growth through our infrastructure plans, and maintain services. We can do that only with the funding that is available to us, which has been severely hampered by Westminster Governments.