Scottish Budget 2026 to 2027: integrated public sector pay and workforce policy
Outlines Scotland’s integrated approach to public sector pay and workforce planning for 2026–27. It states an intention to set pay parameters, workforce reform measures, and a governance framework to deliver fiscal sustainability while supporting service redesign and protecting front line delivery.
Footnotes
1 These are published at: Labour Market Statistics
2 Scottish Government (2025), Public Sector Employment in Scotland Statistics for 3rd Quarter 2025 - gov.scot – Accessed December 2025
3 Scottish Government (2025), Public Sector Employment by Devolved and Reserved Responsibility - Public Sector Employment in Scotland Statistics for 3rd Quarter 2025 - gov.scot – Accessed December 2025
4 Scottish Government (2025), Infographic -Public Sector Employment in Scotland Statistics for 3rd Quarter 2025 - gov.scot– Accessed December 2025
5 Number of employees on a full-time equivalent (FTE) basis are based on converting part-time employees' hours into a full-time employee equivalent.
6 See published Public Sector Employment Scotland Tables Q3 2025 (Table 5) Supporting documents - Public Sector Employment in Scotland Statistics for 3rd Quarter 2025 - gov.scot
7 Pay drift is defined as the residual growth in pay not explained by agreed pay awards. It is broader than pay progression, accounting for factors such as workforce composition changes, overtime, allowances, or incremental progression. The current assumption is based on historic analysis of earnings growth in the public sector but remains under review.
8 Scottish Local Government Finance Statistics 2023-24 - gov.scot