The 2026 Election Must Move Beyond Business-As-Usual
It’s time to rise to the scale of the challenges we face.
By Future Economy Scotland
21 August 2025
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By Future Economy Scotland
21 August 2025
Scotland sits at a critical juncture. As we approach the 2026 Holyrood election, the country faces a multitude of intersecting crises – from stagnating living standards and unacceptable levels of poverty, to squeezed public finances and escalating climate and environmental breakdown. How Scotland’s political parties choose to respond to these crises in this election will determine the kind of society we become, and ultimately the kind of country we leave for future generations.
More than a decade of brutal austerity has corroded vital public services and infrastructures while aggravating gross imbalances in power, income and wealth, exacerbating structural injustices. A chronic problem of low investment has undermined living standards, hampered productivity growth, and stifled innovation. The sense of despair and powerlessness deriving from this has created fertile ground for fear, backpeddling, division and hatred to fester. At this critical moment, we must be clear about what the real problems are, and what is really to blame for Scotland’s economic malaise.
Some choose to blame the transition to net zero, while others aim to scapegoat marginalised communities and migrants. Neither are supported by evidence. In reality, Scotland’s intersecting challenges share a common root cause: an extractive and unjust economic system. A system that has delivered growing insecurity, flatlining wages, and rising costs for so many, and soaring wealth for the privileged few.
Now is not the time to shy away from transformative action. Choosing to maintain the status quo would not be a neutral act – it would be an active decision to deepen our multiple crises. The challenges we face cannot be overcome by making minor tweaks to the status quo, or by simply ameliorating the worst excesses of a broken model. Instead, we need political parties to embrace bold and transformative policies that harness devolved powers to the fullest possible extent.
Today we have published our new briefing, ‘Beyond Business-as-Usual’, setting out our policy priorities for the 2026 election. We set out 11 out bold, practical ideas to help Scotland rise to the scale of the challenges we face
– and create a more democratic, sustainable and just economy:
- Replace Council Tax with a fairer and more effective property tax to raise revenue, tackle inequality and create a more efficient property market
- Replace Air Departure Duty with a Frequent Flyer Tax to support Scotland’s climate targets
- Double the size of the Just Transition Fund to £1bn over 10 years to diversify the North East’s economy away from carbon-intensive industries
- Create a new Scottish Land Agency with the power to purchase, develop and sell land strategically in the public interest
- Introduce Compulsory Sale Orders to bring vacant and derelict urban land into productive use
- Take minority public equity stakes in future offshore wind projects; and strengthen conditionalities to encourage local investment and job creation
- Introduce long-term rent controls to protect tenants from unwarranted rent hikes, alongside supply-side interventions to scale up affordable housing
- Create a Community Wealth Fund to scale up community owned energy across Scotland
- Increase the budgets for the Forestry Grant Scheme and Peatland Action Fund by at least 25%, accompanied by steps to address the many non-financial barriers to nature restoration
- Initiate detailed labour market planning to secure livelihoods for workers in Scotland’s oil and gas sector, and increase funding for the skills transition – including Scotland’s colleges
- Implement a mission-oriented industrial strategy – harnessing the full arsenal of industrial policy tools, public institutions and capabilities to drive system-wide transformation
To find out more about these proposals, read our full briefing. We will be publishing more election-related research and analysis over the coming months.