VCEL / TSI Policy & Opportunities Update

Programme for Government and related announcements

2 September 2026 | Clean circulation copy

Programme for Government 2026-2031

The First Minister has set out the Scottish Government’s five-year Programme for Government. It focuses on eradicating child poverty, growing the economy, tackling the climate emergency, and delivering a stronger NHS and public services. A strong theme throughout is prevention, public service reform, services closer to communities and reducing duplication.

• Replacing the current 14 territorial Health Boards with two Strategic Health Boards, alongside further reform of special Health Boards. This is a commitment for structural reform and is not yet the operating NHS structure.
• Delivering access to a national breakfast club offer across primary schools from August 2027 and, by 2031, building towards childcare support 52 weeks a year from nine months old to the end of primary school.
• Increasing the Scottish Child Payment to £40 per week for eligible children under the age of one during 2027-28, with around 12,000 children a year expected to receive the higher rate.
• Investing £205 million in winter heating payments for pensioners, families with disabled children and households struggling most with energy costs.
• Recognising misogyny as a distinct form of prejudice and abuse, with a Misogyny (Criminal Law) (Scotland) Bill included in the Year One legislative programme.
• Expanding the £2 bus fare cap to the Strathclyde Partnership for Transport area from Monday 7 September 2026, followed by a commitment to national roll-out by the end of this Parliament.
• Improving public services by removing unnecessary duplication and overlap and directing more resources towards frontline delivery.
• Working intensively with partners over the next three months to reach a shared direction on substantial reform to local governance, including social care. The final structures have not yet been determined.
• Bringing national environment public bodies – SEPA, NatureScot, Zero Waste Scotland and potentially Scottish Forestry – into a single overarching environmental body.
• Supporting better jobs and higher incomes by making Scotland a more attractive place to invest and do business.

MORE INFO: Programme for Government 2026-2031 – Scottish Government

MORE INFO: Programme for Government news release – Ambitious for Scotland

Particularly relevant to the third sector

Prevention first

A new Prevention Unit is being established at the heart of the Scottish Government to focus spending on preventative action. An initial £200,000 will support Social Impact Partnerships for early intervention and prevention, with the intention of building to a £10 million fund over the parliamentary term if the approach proves successful.

A new Scottish Government-third sector Partnership Agreement

The Government commits to co-designing a Partnership Agreement with the third sector, founded on trust, collaboration and mutual respect. This sits alongside a wider “No Wrong Door” approach so people can access coordinated, person-centred support without repeatedly navigating separate systems.

Whole Family Support

Up to £20 million is being invested through the Whole Family Support Third Sector Delivery Fund. Ten organisations or partnerships have now been awarded funding. Current fund guidance says support is expected to continue and move to a multi-year basis from 2027/28, subject to confirmation. An integrated Whole Family Support programme is also planned from April 2027.

Mental health and community support

The Programme commits to continued investment in community-based third sector support through the Communities Mental Health & Wellbeing Fund for Adults, alongside a new three-year Mental Health and Wellbeing Delivery Plan and expanded suicide-prevention funding.

Violence against women and girls

Alongside the Misogyny Bill, the Government intends to develop a new multi-year fund for specialist third sector organisations supporting women and girls, with the stated aim of improving service sustainability and preventative work.

Homelessness prevention

The expanded ten-year £50 million Homelessness Prevention Fund is being rolled out, including support delivered through social landlords and third sector organisations to help people remain in their homes and prevent crisis.

Community cohesion

Investment in the Community Cohesion Fund is increasing to £500,000 for grassroots activity tackling issues including social isolation, cost-of-living pressures, inclusion, employment, housing support and community dialogue.

Data and public service reform

The Programme includes work on a “tell us once” approach, greater use of Data Exchange and common service infrastructure. It also states that communities, the third sector and the workforce should be involved in designing public-service reform.

Year One legislation to watch

Nine Bills are planned in Year One. Of particular relevance to VCEL/TSI and partners are:

• Food Prices (Scotland) Bill
• Misogyny (Criminal Law) (Scotland) Bill
• Public Service Renewal (Scotland) Bill
• Council Tax (Scotland) Bill

MORE INFO: Year One Legislative Programme

Price controls on essential food items – consultation

The Scottish Government is consulting on the proposed introduction of legal price caps on selected essential food items sold by large supermarket chains in stores and online. The consultation considers which products and retailers could be covered, how maximum prices might be set, compliance and enforcement, monitoring, and protections against unintended impacts on primary producers and the wider food supply chain.

Closing date: 25 November 2026

 

MORE INFO: Price controls on essential food items – consultation paper

Investing in free breakfast clubs

Local authorities will share £15 million to expand and enhance breakfast club provision as Scotland prepares for free breakfast clubs for primary pupils from August 2027. The announcement specifically highlights new breakfast clubs at East Linton and Letham Mains in East Lothian.

 

MORE INFO: FM: No child should start the school day hungry

Vacancy – Scottish Government Non-Executive Directors

The Scottish Government is recruiting three Non-Executive Directors to provide strategic insight, independent challenge, advice and assurance to the Permanent Secretary. Applicants must demonstrate all essential criteria and one priority criterion.

Priority criteria:

• Commercial Leadership
• Digital Leadership
• Community or Voluntary Sector Leadership

Essential criteria include experience in a governance role, constructive challenge/advice/influencing skills, and understanding diversity and equality as business-critical issues.

Application deadline: 11:55pm, Sunday 20 September 2026

MORE INFO: Scottish Government Non-Executive Director vacancy