John Healey's first Budget will deliver "plenty extra money" for the SNP Government, a Labour source has said. The question is how Nationalist ministers will ultimately choose to spend it.
Building more social housing and providing better support for those who are forced to declare themselves as homeless would be a good start.
Barnett Consequentials Explained
Thanks to the Barnett formula, if the UK Government announces it will spend more money in England on a policy area that is devolved - such as homelessness - it means extra funding is sent to Holyrood as a result. This is known as a Barnett consequential. And they can prove very handy for SNP ministers looking to balance the books at a time of huge pressure on the public finances.
The Prime Minister has made no secret of his determination to end rough sleeping. Burnham previously announced a £442m package to provide emergency accommodation and practical support. No 10 has since indicated a further £432m will be added to the initiative in Wednesday's Budget.
Funding to Extend Beyond 2027
Money being added to the pot this week will extend support beyond March 2027 to the end of this Parliament, taking total investment to £874m.
A UK Government source confirmed that this would mean Barnett consequentials for Holyrood. The source said: "The Budget will deliver plenty extra money for the SNP Government, there’s no excuses left. That money must go on the public services Scots rely on, starting with the housing emergency the SNP declared but have done nothing to fix."
"Thousands of children in Scotland are spending tonight in temporary accommodation. SNP ministers have the money, the only question is whether they have the will to use it."
Charities Call for Action
Housing charities north of the Border are of a similar view. They want to see any extra cash generated by Burnham's pledge to end rough sleeping to be spent on similar policies in Scotland.
"Any extra funding from the Chancellor’s investment plans must be used by Scottish ministers to reduce homelessness, uphold housing rights, and deliver more social homes," Gordon Llewellyn-MacRae, Shelter Scotland's interim director, said.
Maeve McGoldrick, head of policy at Crisis Scotland, said: "The announcement in England to double investment in tackling rough sleeping is a clear sign of how seriously ending homelessness is now being taken at Westminster."
"Any extra funding that comes to Scotland as a result must go to ending homelessness here, at a time when a record 19,004 households are stuck in temporary accommodation and rough sleeping continues to rise at speed. In Scotland, we know the best way to end homelessness is to prevent it happening in the first place."
Political Context
The Nationalists routinely portrayed Keir Starmer as one of the worst UK leaders of recent times, but his time in Downing Street saw sustained investment in public services. This has meant even more cash for Holyrood. Last year, Rachel Reeves said block grant funding from Westminster would rise to £52bn by 2029, the "largest settlement in real terms since devolution was introduced".
Did the SNP welcome this? Of course not. They said they should have been given even more. Such is politics.
But there are issues which should transcend point scoring. If the UK Government spends more money to end rough sleeping and reduce homelessness, the Scottish Government must follow suit.
