A NEW report has shown that the social care sector contributes more than £5.1bn to Scotland’s economy, as well as some 300,000 jobs.
The report, commissioned by ENABLE Group and produced by BiGGAR Economics, marks a significant step towards a new narrative on the sector, highlighting that it is far from being a burden on public finances.
It has prompted new calls for a pay rise for Scotland’s frontline social care workers, arguing that it would provide a significant boost to the national economy through the generation of additional tax revenues, reduction of the need for in-work benefits, and enabling higher spending.
The report indicates that the sector’s direct economic impact is more than £3.3 billion Gross Value Added (GVA), while its indirect impact – through supply chains and supporting industries – contributes £800m GVA.
It adds that the induced impact of the sector – from employees spending their wages – generates £1.1bn GVA.
In terms of employment, 206,410 jobs are directly provided in the wider social care sector, while 49,510 jobs in suppliers and supporting industries are provided.
The report also highlights that some 41,100 roles are supported by social care employees’ spending in the economy.
Graeme Blackett, director of BiGGAR Economics, said: “The care sector is often discussed in terms of the challenges of funding it.
“However, this study shows that we should recognise the significant contribution that the care sector makes to the Scottish economy and how it can be a driver of inclusive sustainable growth as the Scottish population ages, if wage levels reflected the value of care to society.”
Theresa Shearer, ENABLE Group CEO, added: “This new report lays out a detailed economic analysis that strengthens the case for significant investment in social care, and in particular, demonstrates how enhanced pay for the frontline social care workforce brings benefits to the wider economy.
“As the population ages and expectations of truly human rights-driven, self-directed support rightly grow, the social care sector must no longer be viewed as some expensive burden, but as a thriving engine of inclusive, sustainable growth for the future Scottish economy.”
Why are you making commenting on The National only available to subscribers?
We know there are thousands of National readers who want to debate, argue and go back and forth in the comments section of our stories. We’ve got the most informed readers in Scotland, asking each other the big questions about the future of our country.
Unfortunately, though, these important debates are being spoiled by a vocal minority of trolls who aren’t really interested in the issues, try to derail the conversations, register under fake names, and post vile abuse.
So that’s why we’ve decided to make the ability to comment only available to our paying subscribers. That way, all the trolls who post abuse on our website will have to pay if they want to join the debate – and risk a permanent ban from the account that they subscribe with.
The conversation will go back to what it should be about – people who care passionately about the issues, but disagree constructively on what we should do about them. Let’s get that debate started!
Callum Baird, Editor of The National
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel