Publication - Impact assessment

Scottish Budget 2025 to 2026: Equality and Fairer Scotland Budget Statement

Published: 4 December 2024
From: Cabinet Secretary for Finance and Local Government, +1 more … Minister for Equalities
Directorate: Exchequer Strategy Directorate, +1 more … Equality, Inclusion and Human Rights Directorate
Topic: Equality and rights, Scottish Budget
ISBN: 9781836910992

The Equality and Fairer Scotland Budget Statement considers the impacts that decisions made in the Scottish Budget are likely to have on different groups of people in Scotland. It is a supporting document to the Scottish Budget and should be read alongside associated Budget publications.

Supporting documents

Annex A: Contribution of the Scottish Budget to tackling inequality: Analysis by protected characteristic

This chapter provides a summary of some of the Equality and Fairer Scotland issues identified through the evidence collected from portfolios.

The Scottish Exchequer asked each portfolio for equality and fairness information relating to their area, asking them to identify one or two key equality issues for each characteristic, alongside the key budget measures tackling these issues and other inequalities. Scottish Exchequer also carried out its own analysis of the main inequality issues facing Scotland today, which is supporting this annex.

As an additional stage of analysis for each characteristic, the information has been grouped into five broad themes, as below:

Living Standards, including poverty;
Labour Market;
Health;
Education
Crime and Justice

These areas broadly mirror indicators in the National Performance Framework (NPF); the Scottish Government’s equality outcomes (March 2021) and frameworks used by the Equality and Human Rights Commission (EHRC) and others. It should also be noted that further intersectional inequalities can lie underneath some of the analysis by individual characteristics, which can be crucial to understand, but are not all included in this summary.

The analysis below should be viewed as a summary of the key issues and budget measures.

Socio‑Economic Disadvantage

Living Standards

Selected Evidence

Children are more likely to be in poverty than adults. 24 per cent of children, or 240,000 children, were living in relative poverty after housing costs in 2020‑23, compared to a population average of 21 per cent.^[1]
Low‑income households are more likely to worry about affording food and more likely to change their eating habits due to insufficient income. A third of people (34 per cent) in relative poverty lacked high food security in 2020‑23. This compares to just 18 per cent for the population as a whole.^[2]
Energy costs are likely to disproportionately affect those on lower incomes. It is estimated that around 31 per cent (around 791,000 households) of all households will be in fuel poverty, with 18.5 per cent (around 472,000 households) in extreme fuel poverty.^[3]
33,619 households were assessed as homeless in 2023‑24. This is the highest level for 12 years, with 85 per cent of individuals reporting rough sleeping in the previous three months being men.^[4]

Examples of Budget measures

In 2025‑26, we are making £97 million available to local authorities to spend on Discretionary Housing Payments, which are a vital tool to safeguard tenancies and prevent homelessness among low‑income households.
We are investing in a Cash First Programme to improve the response to financial crisis and help reduce the need for emergency food parcels.
Local Authority Area Based Schemes (ABS) target low‑income households in or at risk of fuel poverty, including the most disadvantaged areas (i.e. areas in the lowest 15 per cent of Scottish Index of Multiple Deprivation areas). Since 2013 the programme has improved over 100,000 homes across Scotland^[5]. Households in receipt of income related benefits are automatically eligible for ABS funding at a higher rate.
On public transport, a broad range of actions will be progressed to deliver on the Scottish Government’s vision of a public transport system that is more accessible, more available and more affordable for people across Scotland whilst maintaining the long term financial viability of the system.

Labour Market

Selected Evidence

In work poverty accounts for most of those in poverty. In 2020-23, 60 per cent of working-age adults (430,000 working-age adults each year) in relative poverty after housing costs were living in a household where someone was in paid work^[6]. The share of working age adults in poverty who live in working households has broadly increased since 2011‑14.^[7]

Examples of Budget measures

Delivering person‑centred employability support through our No One Left Behind approach will prioritise those facing complex barriers to access the labour market. This includes enhancing employability services’ support for parents and bringing together a range of services to help priority families increase their income from employment, helping to tackle child poverty.
Real living wage: We will continue to use the leverage of public sector spend to increase the number of employers who pay at least the Real Living Wage (RLW) and who provide an effective voice for workers, and we continue to deliver the Fair Work Action Plan.

Health

Selected Evidence

Those living in the most deprived areas experience worse health outcomes than those in the least deprived areas. For example, in the most affluent areas of Scotland, people live longer in good health, compared to those living in deprived areas.^[9]
There is evidence that socioeconomic deprivation leads to poorer cancer outcomes. For example, there is approximately 20 per cent poorer uptake of cancer screening^[10] in the most deprived 20 per cent of areas, than inthe least deprived areas.^[11]
Inequalities in early health outcomes, such as low birthweight^[12], and developmental concerns, are wider than they were prior to the pandemic. For almost all conditions, there is a gradient of progressively poorer health with rising levels of deprivation.^[13]
Some specific causes of death have much larger inequalities. For example, people in deprived areas of Scotland are more than 15 times as likely to die from drug misuse than those in the least deprived areas.^[14]

Examples of Budget measures

Preventative and community ‑ based support: The Inclusion Health Action in General Practice project is highly targeted at socioeconomic deprivation. We have used SIMD to target our investment at the deepest areas of blanket deprivation in the NHS GGC area.
Screening Inequalities Fund. Annually, since 2018, £1 million has been made available including towards local projects such as community engagement in areas of deprivation, providing support to women to arrange and attend cervical screening appointments [NHS Lanarkshire]; cervical screening outreach clinics in areas of deprivation with lower uptake rates [NHS Ayrshire and Arran]; and mailshot promotion of screening programmes to social housing residents living in lower SIMD areas [NHS Western Isles].

Education

Selected Evidence

Fewer pupils achieved one or more qualifications at SCQF 5 (equivalent to National 5/Standard Grade/O Grades) in the most deprived areas, as measured by the Scottish Index for Multiple Deprivation, compared to other areas.^[15]
Sickness absence rates are higher, and attendance rates lower in more deprived areas.^[16] Young people (16‑19) from more deprived backgrounds are less likely to be participating in education, employment or training than those from the least deprived backgrounds. Figures show that 88.4 per cent of 16‑19 year olds from the most deprived areas are participating in education, employment or training compared to 96.6 per cent of 16‑19 year olds from the least deprived areas.^[17]

Examples of Budget measures

To tackle the poverty related attainment gap, we are continuing to invest in the Scottish Attainment Challenge. This includes continuing to fund head teachers directly through Pupil Equity Funding, enabling them to implement school level approaches to mitigating the impact of poverty on children and young people’s education.
This budget continues funding for the Education Maintenance Allowance. The allowance provides a £30 per week payment to 16‑19 year olds from low‑income households, in order to overcome financial barriers to stay in school or college.

Crime & Justice

Selected Evidence

Overall, crime rates are decreasing. For example, by 2021‑22, the crime victimisation rate had decreased since 2008‑09 across many key groups in the population including both men and women; all broad age groups; those living in the most deprived areas as well as those living elsewhere in Scotland, and adults in both urban and rural locations, and those who were and were not disabled.^[18]
However, inequalities in crime victimisation persist.
Men, those with disabilities, those living in urban areas, and those living in the 15 per cent most deprived areas were all more likely to report being the victims of violent crimes.^[19]
Socioeconomically disadvantaged individuals are disproportionately affected by crime and the justice system. For example, individuals from the 10 per cent most deprived areas are over‑represented in prison arrivals by a factor of three^[20], and those living in the 15 per cent most deprived areas are more likely than the rest of Scotland to experience crime (13.7 per cent cf. 9.4 per cent), with fewer resources to cover the cost.^[21]

Examples of Budget measures

The CashBack for Communities programme takes funds recovered under the Proceeds of Crime Act and invests them in the most deprived areas of Scotland to support young people and communities affected by antisocial behaviour and crime.
The Violence Prevention Framework for Scotland outlines priorities for tackling violence, including knife crime, through evidence based interventions. It emphasises collaboration with partners like the Scottish Violence Reduction Unit, Medics Against Violence, and YouthLink Scotland, to support individuals, families, and communities experiencing social disadvantage

Age

Living Standards

Selected Evidence

Inequality in early life is one of the most significant risk factors throughout childhood and into adulthood across a range of domains[22,23], including poverty, poor health, low educational attainment, unemployment, reduced wellbeing, criminal behaviour and early death.
Fuel poverty/energy costs: Older people^[24] and families with young children^[25] are consistently identified as groups with higher energy needs, and vulnerable to the cold and therefore increased energy costs.^[26]
The youngest households in Scotland are more likely to be in poverty.^[27]

Examples of Budget measures

Support for the Bairns’ Hoose Pathfinder Phase will test our approach and design of a national Bairns’ Hoose model – ahead of a national rollout, incrementally, from 2027.
Through the Heat in Buildings Programme, the Scottish Government will continue to provide advice and support to communities and landlords to increase the number of renewable heating systems in homes and improve their energy efficiency.
The Five Family Payments (Scottish Child Payment, Best Start Grant and Best Start Foods) are targeted at low‑income families with children and will all be uprated in line with inflation in 2025‑26 to protect the real value of these payments, as prices rise in the economy.
The Scottish Government will provide universal support through the introduction of Pension Age Winter Heating Payments (PAWHP) next year ensuring a payment for every pensioner household in winter 2025-26.
The Fairer Futures Partnerships (FFP) will establish collaborations with a number of local authorities, with the aim to reduce child poverty through innovation, small scale tests of change and service reform. It will also include measures to prevent and reduce homelessness, including local government funding for homelessness services and the multi‑year Ending Homelessness Together fund.
In the coming financial year the Scottish government will develop the systems necessary to effectively scrap the impact of the two child cap in 2026-27. To that end we have provided funding to develop the delivery mechanism in this Budget and will seek to accelerate the timetable if at all possible.
Funding for the Affordable Housing Supply Programme – delivering on our target of 110,000 affordable homes by 2032.
Funding the Network Support Grant and concessionary travel schemes

Labour Market

Selected Evidence

Labour market participation (Older people). The proportion of people who are long‑term unemployed increases with age.^[28] Workers over 50 years increasingly have caring responsibilities, particularly women.^[29]
Labour market participation (Young people) People aged 16‑24 are more likely to be unemployed than older age groups and are vulnerable to long‑term employment ‘scarring’^[30]. People aged 18‑24 are more likely to earn less than the Real Living Wage and those aged 16-24 are more likely to be on zero hours contracts.^[31]
Rural areas tend to have an older population when compared to the rest of Scotland.^[32] Agricultural workers are disproportionately above the average age^[33].

Examples of Budget measures

Employability and Fair Work measures which includes providing employability support to meet the needs of all parents or carers.
The Land Matching Service is a scheme which works to link up younger or new entrant farmers with land that may be vacant or underused.
In the coming financial year we will develop the systems necessary to effectively scrap the impact of the two child cap in 2026-27. To that end we have provided funding to develop the delivery mechanism in this Budget and will seek to accelerate the timetable if at all possible.

Health

Selected Evidence

Mental Health and wellbeing: Younger adults (aged 16‑24) often have the highest levels of mental ill health and lowest mental wellbeing.^[34]
Substance use: The age that people die from drug misuse deaths has increased over the past two decades.^[35]

Examples of Budget measures

Increased Child and Adult Mental Health Support (CAMHS) capacity, funding for local authority community‑based mental health and wellbeing supports for children, young people and family members, access to counselling services in all secondary schools, and support for student mental health and wellbeing in colleges and universities.
Support for families affected by drug and alcohol use – including early intervention for young people at risk, reducing stigma, integrating mental health support, and funding specialist residential rehabilitation services for families and perinatal women.

Education

Selected Evidence

Internationally, there is a risk that 300 million children will lack basic numeracy and literacy skills^[36], and that 84 million children and young people will be out of school by 2030.^[37]

Examples of Budget measures

Working to deliver the priorities identified in The Promise Scotland Plan 24 ‑ 30 and deliver the Promise itself. Within early learning and childcare (ELC) this budget continues to support, for example, children who have speech and language needs.
Expanded early learning and childcare and the Early Adopter Communities are expected to support children’s development and family wellbeing, as well as supporting parents’ and carers’, including young mothers’, ability to train, study and move into sustainable employment and out of poverty.

Crime and Justice

Selected Evidence

Young people are more likely to be victims of sexual crimes, including cyber crimes; with higher levels of worry about experiencing sexual assault.^[38]
Police data for recorded sexual crimes showed that where data was available, 37 per cent involved a victim under the age of 18.^[39]

Examples of Budget measures

The Hate Crime Strategy Delivery Plan, which includes actions to ensure improved support for victims of hate crime, improve data and evidence on hate crime and seeks to develop effective approaches to preventing hate crime and promoting community cohesion.

Disability

Living Standards

Selected Evidence

Fuel poverty/energy costs: People with a chronic health condition or disability are considered to have higher and/or longer heating requirements^[40].
Many disabled people face additional living costs due to their disability or health condition.^[41]
Families with at least one disabled member are more likely to live in poverty after housing costs, compared to families without a disabled member.^[42]

Examples of Budget measures

The Independent Living Fund (ILF) budget funds awards and one‑off grants to disabled people that help them live more independently.
Through the Heat in Buildings Programme, the Scottish Government will continue to provide advice and support to communities and landlords to increase the number of renewable heating systems in homes and improve their energy efficiency.
Disability Benefits: Social Security Scotland are now delivering Child Disability Payment and Adult Disability Payment, replacing Disability Living Allowance for children and Personal Independence Payment. Disability Benefits: Social Security Scotland are now delivering Child Disability Payment and Adult Disability Payment, replacing Disability Living Allowance for children and Personal Independence Payment. Pension Age Disability Payment, which will replace Attendance Allowance, launched with a pilot on 21 October 2024 and will launch nationally in April 2025. In 2025-26 our investment in these benefits, including Scottish Adult Disability Living Allowance, is forecast to be over £5.4 billion.
Housing adaptations: Funding to Registered Social landlords to support them in providing adaptations to the homes of disabled social tenants.

Labour Market

Selected Evidence

Structural and Persistent Barriers to accessing employment – disabled people are less likely to be in employment^[43]; and more likely to be economically inactive.^[44] They are also less likely to be in contractually secure work; earn less on average; are less likely to have access to fair work; and are more likely to be under‑employed, work part‑time and work in lower paid occupations^[45].
Discrimination in the workplace: disabled people may face lack of understanding and knowledge among line managers; prejudiced and negative attitudes from colleagues; and discrimination in the type of work disabled employees are given[46,47].

Examples of Budget measures

The Fair Work Action Plan (FWAP), takes an intersectional approach to supporting workplace equality and promoting flexible working – including, for example, support for payment of the Real Living Wage.
Employability support through the No One Left Behind approach, prioritising those who face complex barriers to accessing the labour market.

Health

Selected Evidence

Increased needs for health and social care: many long‑term disabled people have higher than average needs for health and social care services. They may have multiple physical and mental health conditions. adding to the complexity of understanding their need^[48].

Examples of Budget measures

Social Care: Continuing development and consultation on the proposed National Care Service (NCS) to improve quality, fairness and consistency of provision that meets individuals’ needs.

Education

Selected Evidence

Internationally, disabled children remain disproportionately more likely to be out of school^,.
Young people (16‑19) identified as disabled are less likely to be participating in education, employment or training. There are also inequalities in college enrolments and achievements, through modern apprenticeships.
Disability is associated with an increased likelihood of exclusion^[52]. Attainment of pupils with additional support needs (ASN) is lower than of pupils without ASN.^[53]

Examples of Budget measures

Funding for the International Development Fund’s Inclusive Education Programme.
Alongside Higher Education Student Support and free tuition support, the bursary and grants budget help to support specific groups (for example for disabled students through the Disabled Student Allowance, and through bursaries for students with care experience).

Crime and Justice

Selected Evidence

Disabled people have a higher incidence of civil or legal problems and are disproportionately likely to be victims of crime and to experience discrimination and harassment[54,55].

Examples of Budget measures

Funding for justice partners has an important role in protecting vulnerable people, addressing discrimination and hate crime and bringing those responsible for it to justice. This includes funding for SCTS and Police Scotland, delivery of the Hate Crime Strategy, and the Cashback for Communities programme
Learning Disabilities, Autism and Neurodivergence (LDAN) Bill (LDAN) Bill actively aims to eliminate the discrimination of people with learning disabilities and neurodivergent people can be amongst the very most marginalised, stigmatised, disadvantaged and excluded in society

Gender Reassignment

Living Standards

Selected Evidence

People with the protected characteristic of gender reassignment, including transgender and non‑binary people, may experience poorer outcomes than the wider population, for example in relation to homelessness services, and face discrimination in public spaces due to their gender identity.[56,57]

Examples of Budget measures

Funding for the five‑year Non ‑ Binary Equality Action Plan 2023 ‑ 2028 which aims to improve the lives of non‑binary people in Scotland by taking steps to address inequalities and barriers.
The portfolio of spending on housing and homelessness will contribute towards providing services and affordable housing to support LGBTI people in Scotland to find secure housing.

Labour Market

Selected Evidence

Barriers to accessing employment: Many trans people face discrimination, bullying and harassment at every stage of employment, including during recruitment processes.
Discrimination in the workplace: Barriers and challenges to the inclusion of trans and intersex employees include lack of knowledge; insufficient line manager confidence; stigma; practical considerations; lack of support and flexible policies^[59].

Examples of Budget measures

Employability and Fair Work – Improved access to Fair Work is likely to benefit trans people, with potential for interventions to positively impact employment rates, pay, and security of work and workplace experience. The Fair Work First approach to public sector funding requires employers to provide channels for effective voice, which facilitates open communication and can improve workplace culture, which could particularly benefit those at risk of discrimination
Through the Fair Work Action Plan, we continue to take an intersectional approach to supporting workplace equality and promoting flexible working, focusing on structural barriers and issues for equality groups in the labour market.

Health

Selected Evidence

Mental Health: Results from 2017 survey found that a very high proportion of transgender young people had deliberately harmed themselves at some point, and a high percentage had at some point attempted to take their own life.^[60]

Access to healthcare: 25 per cent of people wait more than 3 years to access gender identity healthcare through a gender identity clinic.^[61]

Examples of Budget measures

Funding to local authorities helps provide support for LGBT+ children and young people, and in delivering community based mental health support a number of local authorities have also put in place services for LGBT+ young people.
The Self ‑ Harm Strategy and Action Plan for 2023 ‑ 27 were developed with lived experience insight guiding every stage. Including representation from Equality Network and LGBT Health.
Funding to support work to improve access to gender identity healthcare in Scotland, including gender identity clinics. Funding has also been provided to support data collection, a Transgender Care Knowledge and Skills Framework, and the development of national standards for gender identity healthcare.

Education

Selected Evidence

Existing research suggests that transphobic bullying remains a problem in schools, although there is a lack of robust evidence in relation to discrimination against trans individuals in education.

Examples of Budget measures

Funding for Respect Me, Scotland’s anti ‑ bullying service, to provide support to all adults working with children and young people to give them the practical skills and confidence to deal with all types of bullying behaviour.

Crime and Justice

Selected Evidence

In 2023‑24, in Scotland, 84 charges were reported with an aggravation of prejudice relating to transgender identity.^[62]

Examples of Budget measures

Funding to deliver the Hate Crime Strategy Delivery Plan, which includes actions to ensure greater support for victims of hate crime, improve data and evidence on hate crime and develop effective approaches to preventing hate crime and promoting community cohesion.
Funding for justice partners (such as police and courts), has an important role in protecting vulnerable people, addressing discrimination and hate crimes and bringing those responsible for it to justice.

Pregnancy and Maternity

Living Standards

Selected Evidence

Fuel poverty/energy costs: Evidence that single mothers have a higher fuel poverty rate than single working age adults without children^[63].
Post baby poverty: Research from 2015 found a quarter of ‘new families’ are in poverty in the year after having their first child. This could be due to the increased costs of a new child and the need to take time off work to care for them.^[64]

Examples of Budget measures

Funding is provided for early years programmes including Best Start Foods (BSF), Best Start Grant, Early Learning Payment and School Age Payment, Cash‑First Plan and the universal Baby Box programme.

Labour Market

Selected Evidence

Discrimination in the workplace: including mothers dismissed, made compulsorily redundant where others were not, or treated so poorly they felt they had to leave their job.^[65]
Labour Market Participation: Motherhood has a significant impact on the number of hours that some mothers can work, which then affects their pay and income relative to non‑mothers and men, and mothers suffer a big long‑term pay penalty from part‑time working, on average earning about 30 per cent less per hour than similarly educated fathers.^[66]

Examples of Budget measures

Funding for employability support to meet the needs of all parents or carers on a demand‑led basis – ensuring closer working across childcare, education, housing, justice, and health services, so that people can quickly and easily access the support needed to enter and stay in work.

Health

Selected Evidence

Maternal health: In the UK, women from Asian, Black, or mixed‑race backgrounds have an elevated risk of maternal death compared to women from White backgrounds.^[67]

Breastfeeding: In Scotland, breastfeeding inequalities are most stark for younger mothers and those from most deprived areas.^[68]

Examples of Budget measures

Maternity Services: For pregnant women, the introduction of continuity of midwifery care will improve outcomes for mother and baby.
Investment in evidence‑based practice to protect, promote and support breastfeeding.
Funding for Health Boards to improve the quality and delivery of mental health and psychological services for all. This includes funding for all perinatal and infant mental health community services.

Education

Examples of Budget measures

Revenue funding for local authorities to deliver the statutory entitlement to funded early learning and childcare, which increased from 600 hours to 1,140 hours.
Funded early learning and childcare is available for 2‑year‑olds who have experience of care, live in families in receipt of certain benefits or as well as for 3 and 4‑year‑olds.
Funding for the Early Adopter Communities in 2025‑26 which will enable a community‑based approach to developing a future national childcare offer.

Crime and Justice

Selected Evidence

Disruption of every aspect of children’s lives when those children are born in prison.^[69]

Examples of Budget measures

Funding to provide trauma ‑ informed care and management to women in custody.

Race

Living Standards

Selected Evidence

In 2018‑2023, people from non‑White ethnic minority groups were more likely to be in relative poverty after housing costs.^[70]
A higher proportion of applicants in households assessed as homeless/ threatened with homelessness had a reported ethnicity other than ‘White’.

Examples of Budget measures

Funding for the Affordable Housing Supply Programme, and new homelessness duties to support those experiencing homelessness.

Labour Market

Selected Evidence

Labour market participation: People from ethnic minority backgrounds continue to face disadvantage in the labour market. For example, the employment rate for ethnic minorities has been consistently lower than the employment rate for white groups^[71]. The employment rate gap is larger for women^[72].
Entrepreneurial opportunities and support: Access to finance appears to be a major barrier for ethnic minority entrepreneurs^[73].
The participation rate for 16–19 ‑ year ‑ olds in the Mixed or Multiple; Asian; African; Caribbean or Black; and Other ethnic group is slightly higher than the rate for those identified as white^[74].

Examples of Budget measures

Funding for Employability and Fair Work Support to help those already in work, help more people back into work, and address long term economic inactivity; and to positively affect ethnic minorities by tackling inactivity and supporting employers and employability service providers to address racial inequality and build anti‑racism cultures.
Enterprise, trade and investment: expanding access to entrepreneurial support and opportunities for women and other under‑represented groups, including ethnic minorities.

Health

Selected Evidence

Vaccine uptake is generally lower among ethnic minority groups (for example flu and COVID‑19 vaccine uptake).^[75]

Type 2 diabetes is six times more likely in people of South Asian descent and three times more likely in African and Afro Caribbean people.^[76]

Examples of Budget measures

Funding Public Health Scotland to work with Health Boards to deliver and monitor vaccine uptake, with a focus on the challenges relating to underserved areas including remote and/or rural populations; areas of highest deprivation; certain ethnicities where uptake is typically lower, namely the Polish community, Black African and Caribbean communities and gypsy / traveller communities; and specific populations with highest susceptibility and/or risk to infectious disease outbreaks.
Funding to ensure that South Asian and other ethnic minority groups have equitable access to high quality, culturally sensitive type 2 diabetes prevention services.

Education

Selected Evidence

Persistent inequalities in developmental concerns at 27 ‑ 30 months by ethnicity, with more children of Black, Caribbean or African ethnicity or Asian ethnicity likely to have a developmental concern.^[77]
Differences in attainment between different ethnic groups are found for school pupils.^[78]

Examples of Budget measures

Funding for the Scottish Attainment Challenge, which is intended to be inclusive. Targeting resources, through the Attainment Scotland Fund, to children and young people is expected to have a positive impact on the lives of children and young people affected by poverty, including those in the equality groups.
Funding for modern apprenticeships and work to mainstream equalities and a programme of work on equalities by the Scottish Apprenticeship Advisory Board.

Crime and Justice

Selected Evidence

Evidence that ethnic minority adults are more likely to experience discrimination in the compared to the population overall.^[79]
A significantly higher imprisonment rate of individuals who identify as African, Caribbean or Black, or from “Mixed or Multiple” or “Other” ethnic groups, is than for individuals who identify as White.^[80]

Examples of Budget measures

Funding for justice partners, has an important role in protecting vulnerable people, addressing discrimination and hate crime and bringing those responsible for it to justice.

Religion and Belief

Living Standards

Selected Evidence

Muslim adults are more likely to be in relative poverty than adults overall, after housing costs.^[81]
Access to/Affordability of Transport: ethnic minority groups are more likely to be reliant on public transport and also more likely to be living in poverty.^[82]

Examples of Budget measures

There are proportionally more children and young people in the Muslim community. The Scottish Child Payment is not restricted in terms of numbers, so will be able to flex to meet the needs of larger families.

Labour Market

Selected Evidence

Labour market participation: There is variation in employment rates by religion.
Discrimination in the workplace: limited information on the barriers faced by those who follow a religion or belief in the workplace. However, a range of material indicates issues linked to religious attire, time off for religious holidays, religious observance, and praying at work.[83,84]

Examples of Budget measures

Employability and Fair Work: Delivery of the Anti‑Racist Employment Strategy is expected to help tackle discrimination at work experienced by religious minorities.

Health, Education, Crime and Justice

Selected Evidence

People experiencing stigma as a result of religious belief or practice may experience worse health outcomes.^[85]

Internationally, high levels of discrimination and social hostilities involving religion and beliefs across the world.^[86]
Experience of religious aggravation, including prejudice towards the Catholic community.^[87]

Examples of Budget measures

Funding for justice partners, has an important role in protecting vulnerable people, addressing discrimination and hate crime and bringing those responsible for it to justice.
The Hate Crime Strategy Delivery Plan, which includes actions to ensure improved support for victims of hate crime, improve data and evidence on hate crime and develop effective approaches to preventing hate crime and promoting community cohesion.

Note that limited data has been readily available on religion/belief as part of this exercise, and some themes are combined above.

Sex

Living Standards

Selected Evidence

Many key benefits are largely claimed by women, such as the Scottish Child Payment and Carer’s Allowance. Caring roles most typically fall to women.^[88]
Women experiencing domestic abuse are at greater risk of homelessness.

Examples of Budget measures

The Five Family Payments (Scottish Child Payment, Best Start Grant and Best Start Foods) are more likely to help women and the majority of people who claim these payments are women. Discretionary Housing Payments mitigate the benefit cap.
A range of measures to eradicate child poverty, as described in Chapter 2 of this report.

Labour Market

Selected Evidence

Labour Market Participation: Women experience a range of barriers in the labour market that lead them to be paid less on average than men^[89].
Entrepreneurial opportunities and support: Women are less likely to be self‑employed than men^[90].
There is a significant gender pay gap for women in remote rural areas^[91].
Representation: In the sea‑fishing sector there are more men than women employed^[92].
In 2024, the estimated median gender pay gap for full‑time employees in Scotland was 2.2 per cent and in the UK was 7.0 per cent. Although this has increased over the year, it has been narrower than the equivalent UK gap since 2003 (see Chart 2). The increase from 1.4 per cent in 2023 to 2.2 per cent in 2024 is due to men’s hourly earnings (excluding overtime) increasing at a faster rate than women’s hourly earnings (excluding overtime)^[93].
Significant barriers to accessing Fair Work persist for women, disabled people, unpaid carers, people with convictions and individuals from ethnic minorities who continue to experience lower employment rates than others. Child poverty rates remain too high, with parents continuing to experience barriers to entering and increasing their income from employment. There is a strong gendered element to this, with women more likely to be employed in low‑paid, part time work.^[94] The impact of women reducing hours, not taking or applying for promotions, or leaving the labour market altogether in order to provide unpaid care contributes towards Scotland’s gender pay gap.

Examples of Budget measures

Employability and Fair Work interventions aim to support both men and women into employment and contribute to the narrowing of the gender pay gap and the employment gap. Through the creation of good quality well paid, flexible jobs, the Scottish Government intends to support women to raise their income levels and progress in the workplace.
The Fair Work Action Plan takes an intersectional approach, focusing on structural barriers and issues for equality groups in the labour market, including women. Addressing inequalities in relation to gender participation in entrepreneurship will support greater economic opportunities for women.

Health

Selected Evidence

Care provision: The vast majority of the social care workforce are women and in lower paid positions.^[95]
Drug ‑ related deaths: In 2023, men were twice as likely to have a drug misuse death as women.^[96]

Examples of Budget measures

Unpaid Carers: We are developing and consulting further on proposed legislation to establish a right to breaks from caring, through the National Care Service Bill, to support unpaid carers to protect their wellbeing and sustain caring relationships.
Through the National Mission Corra Funds, we have been able to distribute £13 million of funding (2024) to over 300 projects across Scotland. The organisations and projects being delivered are diverse, ranging from small community groups to Public Sector bodies, and together they have supported nearly 34,000 people this year, which includes helping those with drugs and alcohol problems.
The ‘earnings threshold’ for Carer Support Payment (and Carer’s Allowance for those who receive this in Scotland) will be increased from £151 to £196 from April 2025. The change means carers will be able to earn an additional £45 per week and still receive support from these benefits, helping remove barriers to work, provide more stable support, and allowing for increased incomes.

Education

Selected Evidence

Persistent inequalities in developmental concerns at 27‑30 months by sex, – with boys (23 per cent), all more likely to have a concern at this time point.^[97]
Gender differences in subject choice are evident throughout school, in apprenticeships^[98], and in further and higher education.^[99]

Examples of Budget measures

The budget includes funding to support the delivery of the expansion of funded early learning and childcare, invest in the childcare Early Adopter Communities, as well as continuing to invest in the Scottish Attainment Challenge.
Budget funds the Women in Agriculture Development Programme, which provides a host of activities to improve gender equality in the agricultural sector.

Crime and Justice

Selected Evidence

Sexual crimes and domestic abuse both affect women disproportionately and there was an increase in reports to police during the pandemic.^[100]
Where the victim’s gender was known, the clear majority (83 per cent) of victims of domestic abuse incidents recorded by the police were female in 2022‑23. Over four‑in‑five incidents (81 per cent) had a female victim and a male accused. This remained the same as in 2021‑22.^[101]
In 2023‑24, 2,228 (88 per cent) of the 2,522 recorded rapes and attempted rapes were committed after the introduction of the Sexual Offences Scotland Act 2009 on 1^st December 2010. Of these 2,228 rapes and attempted rapes, 95 per cent (2,121) had female victims.^[102]
Women and girls are being forced to adapt their own behaviour and change their travel habits in order to feel safe on public transport.^[103]
Men are more likely to be the victim of serious non ‑ sexual violence.^[104]

Examples of Budget measures

The Equally Safe delivery plan, which was published in August 2024, contains a commitment to develop a streamlined approach to trauma‑informed workplace practices that promote and enhance Violence against Women and Girls (VAWG) knowledge, skills and expertise.
Support for justice agencies to reduce court backlogs and reduce waiting times for justice. Improvements in the speed at which domestic abuse and sexual violence cases are brought will have positive impacts for women.
Funding for Police Scotland and other justice partners to continue their work to tackle all forms of violent behaviour and bring those responsible for it to justice.
Funding to support Equally Safe, Scotland’s strategy to prevent and eradicate violence against women and girls – supporting projects and organisations that focus on early intervention, prevention as well as support services.
Funding to support safety includes specific actions to tackle antisocial behaviour on buses; and work by ScotRail, Network Rail and British Transport Police to reduce anti-social behaviours across the rail network. ScotRail are also investing in increasing numbers of body worn cameras and encourage staff to wear them.

Sexual Orientation

Living Standards

Selected Evidence

Evidence of challenges accessing services and facing discrimination. There is also emerging evidence around differences in the likelihood of claiming certain benefits by sexual orientation.^[105]

Labour Market

Selected Evidence

Discrimination in the workplace: Despite studies showing equal or better pay for LGB people, they continue to experience discrimination, harassment and abuse in work^[106] and education^[107].

Examples of Budget measures

Through Employability and Fair Work, channels for Effective Voice facilitates open communication with workers to share their lived experiences, advocate for equal rights and ultimately improve workplace culture.
In relation to entrepreneurial activity, Techscaler regional hubs provide access to in‑person support, with facilities continuously evolving to offer tenants inclusive services that lower barriers to entry for under‑represented groups in entrepreneurship. Examples of this include an LGBTQ+ community peer network.

Health

Selected Evidence

Lesbian, gay, bisexual and people of other sexual orientations are more likely to report poor mental health.^[108]
Offences aggravated by prejudice towards sexual orientation are the second most common type of hate crime offending.^[109]

Examples of Budget measures

Support for respectme, Scotland’s anti‑bullying service (in education), and for See Me, Scotland’s campaign to end stigma and discrimination, works to prioritise people at greatest risk of experiencing mental health stigma and discrimination.

Education

Selected Evidence

LGBT pupils may be particularly likely to experience bullying at school.^[110]

Examples of Budget measures

As above

Crime and Justice

Selected Evidence

Some people avoided being open about their sexual orientation, including on public transport, for fear of a negative reaction.^[111]
Offences aggravated by prejudice towards sexual orientation are the second most common type of hate crime offending. In 2023‑24, 1,818 charges were reported with an aggravation of prejudice relating to sexual orientation, 5.7 per cent fewer than in 2022‑23. This is the first year the number of charges reported has decreased since 2014‑15, but it is still 12 per cent higher than the number in 2020‑21^[112]
In 2022‑23, Lesbian, Gay or Bisexual adults were more likely to have experienced discrimination in the previous 12 months (25 per cent) compared to heterosexual adults (seven per cent) and harassment, 19 per cent and five per cent respectively.^[113]

Examples of Budget measures

Our funding for justice partners, has an important role in protecting vulnerable people, addressing discrimination and hate crime and bringing those responsible for it to justice.