Responding to Wednesday’s Autumn Budget, Anna Fowlie, Scottish Council for Voluntary Organisations' (SCVO) Chief Executive, said:
“The late timing of the Autumn Budget is disappointing, resulting in a delayed draft Scottish Budget in January 2025 and uncertainty and funding delays for local authorities and voluntary organisations across Scotland.
“SCVO support Fair Work and we welcome increases in both the National Minimum Wage and the National Living Wage, though the government must go further to meet the Real Living Wage rate. The end of the two-child limit is also hugely welcome. This is a major win for organisations across the voluntary sector that have campaigned for many years.
“To support the voluntary sector to meet these wage increases the Government must ensure grants and contracts cover the full costs of employing staff, including increased employer National Insurance Contributions costs, payment of at least the Real Living Wage, and parity with public sector pay, addressing long-standing disparities between the public and voluntary sectors, and ensure Scottish Government funding that accommodates these increases.
“Changes to salary sacrifice schemes will result in additional costs and pension inequality is an extension of the pay disparity between the voluntary and public sectors. It is essential that the Government engage with the sector on these changes before they come into effect in April 2029 to understand any unintended consequences for voluntary organisations and their staff.
“The UK and Scottish Government’s must work together to provide clarity and ensure UK Budget decisions support the Scottish Government’s commitment to Fair Work and Fairer Funding for the sector by 2026.”
ENDS
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Ahead of the Autumn Statement SCVO, and organisations across the voluntary sector urged the Chancellor to ensure further burdens were not placed on the voluntary sector.