Public service spending and performance in Scotland
Abstract
Public services play an important role in supporting households' well-being and their members' life chances.This is especially true for low-and middle-income households, for whom the inkind services received represent a larger share of overall consumption and for whom equivalent private services may be prohibitively expensive.Most public service spending in Scotland -including the vast majority of what is spent on health, education, social care, transport, public order and safety, environmental and rural affairs and housing -is devolved to the Scottish Government and Scottish local authorities.But somesuch as a significant share of research funding -is reserved to the UK government.Spending on public services -both devolved and reserved -was 22% higher per person in Scotland than in England in 2024-25, while benefit spending was 12% higher per person.But how is this higher spending allocated across different services?How have these allocations changed over time?What are the trade-offs between services in future?And how do a range of headline indicators of public service outcomes vary between Scotland and the rest of Great Britain? Key findingsTrends in public service spending 1.Identifiable public spending per person in Scotland in 2024-25 was 18.5% higher than in England.The gap is bigger for public service spending (22%) than for benefit spending (12%).However, whereas the gap for benefit spending has grown since 2019-20 (when it was 7%), the gap for public service spending has shrunk over the last few years (it was 28% in 2019-20).This reflects slower growth in funding for public services in Scotland in recent years as a result of the 'Barnett squeeze'.2. The biggest differences in public service spending are in generally smaller areas of spending.For example, spending per person on recreation, culture and religion was 87% higher in Scotland than in England in 2024-25.Spending per person on environmental protection was 37% higher and spending on adult social care services 36% higher.
Publication details
- Publisher
- The IFS
- Publication date
- 7 March 2026
- Language
- EN