Rail fare freeze announced by John Swinney ahead of first vote on Budget

Scotland’s First Minister has announced rail fares will be frozen for the next year ahead of the first vote on his Government’s Budget.

John Swinney visited Edinburgh Waverley Station on Thursday morning to announce the £4.3 million investment – which will fluctuate depending on demand – in the 2026-27 financial year.

Rail fare hikes are usually imposed from April of each year, with last year seeing an increase of 3.8%.

Speaking to the Press Association, the First Minister said: “The Government recognises the challenges that people face in wrestling with the cost of living at the moment, so we’re looking for every step we can take to try to help people.

“We’ve decided to freeze rail fares for next year, so there’ll be no annual increase in rail fares, and what that will do is help commuters to afford their daily travel.

“When you add to that the abolition of peak rail fares, which we undertook in September last year, it’s a huge saving in the cost of travel for individuals and helps people at a time when household incomes are under such pressure.”

The Government hopes the move will make rail travel “a much more credible option” for Scots, he said, adding the policy is “striking the right balance between investment in customers and their costs and investment in the rail network”.

The First Minister refused to say if the policy was announced with one eye on May’s Holyrood election, saying only that he is “always looking at what we can do to reduce the cost of living”.

The announcement comes as the Government’s Budget goes before Holyrood for its first vote.

Scottish Labour has already announced it will abstain in the vote, effectively waving through the tax and spending plans without ministers having to strike a deal to garner the required votes.

But the First Minister said he is still looking to work across Parliament.

“We obviously have got to work with other parties, because the Government doesn’t have a majority – we need to get other people to support us,” he said.

Pressed on Labour’s decision making the Budget’s passage all but inevitable, he added: “Let’s wait and see if Scottish Labour remain consistent with what they’ve said in the past.

“They’re rather chopping-and-changing these days.”

He continued: “The Government needs to talk to other parties to make sure we can get support for our Budget.

“The Budget is very good for Scotland – it invests in our National Health Service in reducing waiting times, just as I promised would be the case.

“We’re investing to support families through the cost-of-living challenges.

“There’s a huge investment package in housing to make sure we’ve got the houses for the population that we need to construct.

“The Budget merits the support of Parliament and I look forward to voting for it this afternoon.”

Speaking in the chamber on Thursday at First Minister’s Questions, Liberal Democrat MSP Jamie Greene asked the Scottish Government whether further changes would be made in the draft Budget in relation to business rates, hospices and the care sector.

Mr Swinney confirmed a draft Budget deal with the Lib Dems had been met.

He said: “The areas raised by Jamie Greene are ones which the Finance Secretary has been working on and I want to thank Mr Greene for his constructive engagement in the Budget process on hospices.

“I can confirm that an additional £2.9 million will be provided to ensure that hospices can maintain parity for their staff with NHS agenda for change on social care.

“An additional £20 million will be provided to local government for social care, which they can use towards matters such as funding the real living wage for adult and childcare services and on business rates.

“The Finance Secretary will outline details later today that will see licensed premises and music venues liable for the basic and intermediate property rates see their relief increase to 40% subject to the £110,000 cap per business in Scotland.”

The Government has been unable to woo its usual Budget partner, it would appear, with Scottish Greens co-leader Ross Greer saying his party needs to see more before it can back the plans, vowing to abstain in Thursday’s stage one vote.

The Greens have urged the Government to extend free bus travel to all of those under the age of 30, along with ensuring free, state-funded childcare kicks in automatically when a child turns three.

Ahead of the vote, Mr Greer said: “If ministers want to go further to help families save money and protect our environment, Green MSPs are ready to work with them.

“We’ve put forward plans to cut the cost of transport and childcare, for example. If the Scottish Government wants Green support for their Budget, we are willing to work with them to deliver the change Scotland needs.

“Labour MSPs asked for nothing and got nothing on this Budget. Green MSPs have already secured changes which will feed more children, save families money and protect Scotland’s natural environment.

“We aren’t done yet though. We know it can be better. If the Scottish Government agrees, we are willing to work with them to reach an agreement before the final vote in a few weeks’ time.”