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New funding for bus fares, drug services and free school meals.

Agreements have been reached separately with the Scottish Liberal Democrats and Scottish Green Party to support the 2025-26 Budget.

Finance Secretary Shona Robison has announced she will table amendments to the 2025-26 Budget Bill to allocate £16.7 million funding to:

• Bolster drug and alcohol services, including £1 million for specialist support for babies born addicted to drugs
• Begin a £2 bus fare cap pilot in one regional transport area
• Further strengthen support for hospices from £4 million to £5 million
• Increase Nature Restoration by £3 million to its highest ever level
• Invest in targeted support for the College sector and protect Corseford College
• Extend free school meal eligibility in S1-S3 in eight local authority areas for pupils in receipt of Scottish Child Payment
• Offer flexibility for Orkney Island Council in terms of capital and resource funding

Ms Robison said:

“We are determined to deliver on the issues that matter most to the people of Scotland – and that is why this Budget invests in public services and in eradicating child poverty, acts in the face of the climate emergency, and supports jobs.

“The First Minister was clear that we would bring forward a budget by Scotland for Scotland, and the negotiations we have taken forward have been in that spirit. These additional initiatives demonstrate the value of a progressive approach and dialogue.

“During every stage of this process the Liberal Democrats and the Greens have engaged in our discussions in a positive and constructive manner.

“Through seeking compromise I believe we are delivering a budget that will strengthen services and support our communities. With the agreements with these two parties now in place this will secure a majority in parliament in support of the Budget Bill.”

Background

Finance Secretary letter to Finance and Public Administration Committee

Budget (Scotland) Bill

The new initiatives will be funded through reallocation of funding for debt servicing in 2025-26, given that debt servicing costs will be lower than expected when the draft Budget was published; and an additional drawdown of £3 million from revenues raised from Scotwind, to support nature restoration.