Lessons from the Scottish & Welsh Budgets

Budgets set in Holyrood and the Senedd affect millions of people directly. They determine whether families can pay bills, see a doctor, or get their children the support they need. And whilst many of the reforms we campaign for require national or even international action, tax justice won’t be handed down from Westminster without public pressure.

Change is something we build together — in devolved governments, councils, and communities — until the demand becomes unavoidable. Local elections and budgets send powerful signals to Westminster. They shape the national agenda, show what’s possible, and tell political parties what voters expect from them in order to gain their votes.

The Scottish Budget

Scotland announced a new Mansion Tax similar to England’s, raised the three lowest income tax thresholds, and froze the top three bands. That leaves the lowest‑earning 55% of taxpayers slightly better off, while higher earners will gradually pay more. These are sensible choices that ensure funding for schools and hospitals comes from those able to afford it.

The standout reform is Scotland’s commitment to introduce a tax on private jets. Massive congratulations to our friends at Oxfam Scotland who were instrumental in getting this into law. Private jets are the most polluting form of travel, used almost exclusively by the super‑rich, and currently pay less taxes than commercial flights (often no VAT or fuel duty at all).

Scotland’s move proves that taxing private jets fairly is practical and politically deliverable. It also shows that coordinated public pressure works. And it builds momentum for a UK‑wide system. We’ve been campaigning for a similar law nationally with allies like Oxfam, that could raise around £1.2 billion a year— enough to put 25,000 children through primary school.

Beyond that, the Scottish budget is mixed. Overall spending rises only slightly, with most of the increase going to health and social care. Other departments face cuts of around 1.7%. Councils face 2.1% cuts, forcing them to consider council tax rises of around 8% just to stand still. As with Rachel Reeves’ Autumn Budget, headline announcements mask a lack of deeper structural reform.

The Welsh Budget

If Scotland shows how far devolved politics can take us, Wales shows us the limits. Wales’ £27.5bn final budget offers some welcome boosts to everyday services, but it also shows how hard it is to rebuild after years of cuts.

Councils will see a 4.5% rise in their budgets, which affects everything from social care to bin collections. The NHS gets an extra £180 million — money that will help keep hospitals and GP services going at a time of huge pressure.

There are small but meaningful increases elsewhere: from apprenticeship programmes to bus services, help for children with learning needs, and improved services for the unhoused. These changes matter, but they won’t undo the damage of decades of austerity. Wales, like Scotland, Northern Ireland and councils across the UK, are limited by budgets decided in Westminster, that have been squeezed year after year.

As long as the richest individuals and biggest corporations are allowed to avoid contributing their fair share, every nation, council and community in the UK will be stuck managing scarcity, and we’ll see libraries, youth clubs, public transport routes and other local infrastructure close or stay closed. It’s a reminder that while devolved governments can soften the edges, only UK‑wide tax reform can unlock the resources needed to transform Wales, Scotland, England and Northern Ireland.

Back to Starmer

This year is a big one for democracy. In May, voters will elect new parliaments in Scotland and Wales, more than 4,000 councillors across England, and six new mayors in major cities. Whatever the electoral contest, every time canvassers knock on doors, they’re not just gathering votes. They’re gathering signals. Parties pore over the data and feedback from those doorstep conversations to understand what people care about, and what they need to prioritise.

If you get a knock at your door from a canvasser in the coming weeks and months, alongside important local issues, make it clear that taxing wealth fairly, cracking down on tax avoidance and making the super‑rich and megacorporations pay what they owe is a priority to you. It’s important that political parties hear from voters on the doorstep that you expect them to give voice to it, prioritise it, and act. That message travels. It shapes manifestos. It influences Treasury thinking. It shifts what’s seen as possible. And that’s part of how change happens.