Where the money goes

OVER half of all spending in Scotland - about £30 billion a year - goes on health and "social protection", the Gers report shows. Health makes up just over £10bn of that, with social protection - which comprises social security, pensions, and funding for people in need, such as the elderly - making up the rest.

The rising bill for social protection accounts for a large part of the rise in public spending, the report shows. The recession has had a double-whammy effect - it has reduced tax income across the UK by depressing demand, but it has also ensured that more people have required protection as they lose their jobs and turn to the state for help. Consequently, Gers shows that the costs for social protection have risen far more steeply that those on public services such as schools and training, accounting for a half of all the rise in spending.

The amount spent on unemployment benefits in Scotland has risen by 50 per cent in that time span. But the figures suggest that Scotland has managed to keep a lid on increases compared to the rest of the UK, where unemployment benefits costs have risen by far more - 66 per cent. That will help ministers make the case that the costs of the recession to the public purse in Scotland could have been worse had they not attempted to put a limit on dole queues.