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The statistics for Scotland’s gross domestic product (GDP) cannot be split precisely into separate contributions from the public and private sectors. This is because they are produced using data classified by industry and there are public sector bodies in many part of the economy. As an approximation, the contribution to GDP growth over the last two years from the public sector dominated industries of public administration and defence, education, health and social work is presented in the following table. Note that there are some public sector bodies in the rest of the economy, and the education, health and social work industries also contain private sector businesses and organisations. These contributions are calculated using the latest quarterly GDP statistics available at https://www.gov.scot/publications/first-estimate-of-gdp-2025-q2/.

Thriving businesses are key to Scotland’s prosperity, and their success is critical to delivering the First Minister’s priorities.

Our social security policies have been designed to provide much needed support for the most vulnerable in our society and people can be entitled to support whether they are in work or not.

For example, our Job Start Payment helps young people who are returning to work with the costs of starting a new job, support that is only available in Scotland. The Adult Disability Payment can help to reduce the barriers that prevent some disabled people from working and we recognise that it supports many disabled people to stay in employment. Additionally, findings from the evaluation of our Five Family Payments, published earlier this month, showed that for some recipients, the Scottish Child Payment is easing work costs related to travel and childcare and giving some families greater choice and flexibility to balance work, education, and caring responsibilities.

Through the Scottish Government’s No One Left Behind approach, person-centred employability services are available in every local authority area for people of all ages who experience structural barriers to participating in the labour market. Over 156,000 people have accessed these services since powers were devolved around aspects of employability support.

The Scottish Expert Advisory Group on Lung Screening have produced an initial evaluation of costs, which estimated the annual cost of a national screening programme at between £29 million and £39 million. The lower and upper estimates of this cost are dependent on factors such as screening uptake, which impact the total cost of scans and required staffing. The UK National Screening Committee, as part of its considerations of whether to recommend lung cancer, considered a cost effectiveness analysis alongside other evidence for lung screening.

Treatment of individuals with lung cancer is complex, and the type of treatment received by patients, such as surgery or chemotherapy, will vary by type of cancer and stage. It is therefore not possible to provide specific treatment costs for lung cancer in Scotland.

The Scottish Government is deeply concerned by any planned job losses in the North East.

We continue to monitor and consider a range of evidence in relation to Scotland’s energy sector. As part of this approach, we review reports on employment from industry, trade unions and other bodies. We have also commissioned and published independent analysis on Scotland’s Energy System and Just Transition. This analysis considers the economic impact of Scotland’s oil and gas industry, including in terms of employment, during the transition to net zero. A partial update of the baseline data underpinning this analysis was published in April 2025.

The fiscal regime for offshore oil and gas is reserved to the UK Government. However the Scottish Government have been calling on the current UK Government for an expedited end date to the EPL that was introduced by the previous UK Government. At the time of introduction we were clear that this levy singled out a key sector in the Scottish economy and could put jobs at risk.

The fiscal regime for offshore oil and gas, as well as the regulatory regimes for licensing and consenting, are all matters that are currently reserved to the UK Government.

We continue to call on the UK Government to listen carefully to concerns being expressed by businesses and trade bodies around the impacts of its Energy Profits Levy.

We are now awaiting the UK Government’s response to its recent consultation, which must clearly set out how a stable and long-term fiscal regime will be used to deliver business and investor certainty for the North Sea. The Energy Profits Levy was always supposed to be a temporary measure and we must see the earliest possible end date, as it is now affecting investment and jobs in the North East.

The establishment of the National Social Work Agency is underway. It will be an Executive Agency of the Scottish Government and will be established by Spring 2026. Recruitment for the Chief Executive of the agency is underway to support the transition from the Scottish Government and is line with existing policies and procedures.

The Scottish Government’s hybrid working policy outlines that organisations outside of Scottish Government core, for example, executive agencies will set out their own local approaches. Once the Chief Executive is in post and with the supporting structures in place, the future policy on hybrid working within the National Social Work Agency will be a matter for the Chief Executive and the Board to lead, in consultation with staff and the unions.

In February 2025, the Scottish Prison Service published a report on the number of prisoners released under emergency early release (EER) in June-July 2024, who returned to custody before the date when they would originally have been liberated had EER not been implemented. The report shows that 61 of the 477 prisoners (13%) released under EER returned to custody before their original planned release date. The report can be found here - Returns to Custody Analysis .

The Bail and Release from Custody (Scotland) Act 2023 introduced the ability for the Scottish Ministers to instruct the early release of specified groups of prisoners where is it "necessary and proportionate" to do so in response to the effects an emergency situation is having or is likely to have on a prison or prisons generally, to protect the security and good order of prisons, or to protect the safety and wellbeing of prisoners and staff.

This allows the Scottish Ministers to take action that would support the safe operation of our prison system during an emergency, and to protect the safety of prison staff and prisoners. This would never be an action that we would take lightly, and the emergency early release power would only be used if it was considered absolutely necessary and proportionate to do so, in line with the legislation.

The Victim Notification Scheme is the means by which victims can indicate that they wish to be informed of information regarding the release of a specific prisoner.

To maintain a safe and secure prison estate, the Scottish Government increased Scottish Prison Service (SPS) investment by 10% to £481.5m in 2025-26. SPS has invested in a range of initiatives aimed at tackling violence across the prison estate, including body worn cameras, a revised control and restraint model, and body scanners. SPS are also working to mitigate the risks presented by the threat of drones and uses various technologies and intelligence - such as advanced scanners, detection technology, window grilles and sniffer dogs – to prevent illegal substances entering prisons.

The Scottish Government has also increased 2025-26 funding to the Scottish Recovery Consortium to embed a person-centred recovery focused approach in prisons and have supported the National Prison Care Network to develop a Target Operating Model for healthcare delivery in prisons. This sets out a nationally consistent service model for the delivery of the range of clinical services provided in prisons, including drugs and alcohol services.

Future resource and capital funding for the SPS is being considered as part of the annual budget process and the Scottish Spending Review, due to be published alongside the 2026-27 Scottish Budget.