Helping people into work - £90 million investment to tackle economic inactivity

3rd February 2026

A series of measures to address long-term unemployment, boost economic growth and tackle child poverty have been detailed by Deputy First Minister Kate Forbes.

Funding of £90 million in the draft Scottish Budget for 2026-27 is expected to help up to 7,500 people furthest from the labour market into work, with thousands more expected to benefit from qualifications and training.

Initiatives will include:

A £40 million package to help parents most at risk of poverty into jobs and training courses
Investment of £5 million in specialist services to help disabled people access and sustain meaningful employment
£39 million for No One Left Behind to support people furthest from work towards employment
Ms Forbes also announced a major marketing campaign providing parents with advice to help them get back into work.

Visiting McTaggart Construction, a business which provides on-site training to help people into work as part of the Scottish Government's No One Left Behind approach, Ms Forbes said:

"Our employability services are helping people into work who may otherwise face barriers to employment due to factors such as illness, disability or simply taking time out to have a family. With the involvement of employers like McTaggart Construction, we are building people's confidence and providing access to new skills.

"Tackling economic inactivity is a win-win situation - it boosts the economy and tackles child poverty by providing families with a secure income - and our £90 million Budget commitment will enable more people to access employment support."

Liam Long, a new dad secured training and then a full-time job at McTaggart Construction with the support of No One Left Behind services after being out-of-work due to a period of illness, said:

"Coming through the All in Glasgow programme and First Step Future Training gave me the opportunity to get my foot in the door. That placement opened the door to a permanent role with McTaggart Construction.

"I've just become a dad and the two weeks’ paternity pay meant everything to me. I’m proud to work for a company that genuinely invests in its people and supports them through moments in life."

Between April 2019 and June 2025, Scotland's employability services supported 28,699 people into jobs, with 13,222 being supported into further education or training, 17,513 gaining a qualification, 6,142 starting work experience and 3,175 starting volunteering.

Latest estimates sourced from the Office for National Statistics’ Labour Force Survey indicate the estimated unemployment rate for people aged 16 years and over in Scotland was 3.7% in September to November 2025. The estimated UK unemployment rate was 5.1% over the same period. Scottish Government analysis of labour market trends is available online - https://www.gov.scot/publications/labour-market-trends-january-2026/

The Parent Club campaign will encourage parents with money worries to reach out to advisers who can help them to find work, childcare and manage household costs - https://www.parentclub.scot/