Westminster’s Scottish Affairs Committee has launched an inquiry into how the Scottish Government is funded within the UK.  

The cross-party Committee will explore the Barnett formula, which determines the change to funding for devolved public services like healthcare, transport and education from one year to the next.  

The Committee will examine the impact UK Government fiscal events and in-year budgetary changes can have on the funding available to the Scottish Government through the annual Block Grant.  

Alongside this, MPs will explore the effectiveness of the wider financing of the Scottish Government, including the fiscal framework, Block Grant Adjustments and the process for Barnett formula bypass.  

Patricia Ferguson, chair of the Scottish Affairs Committee, said:  “The Committee’s inquiry is a timely opportunity to examine the current funding model for the Scottish Government, and wider model of fiscal devolution.

“Our inquiry will explore how Scotland’s funding arrangements, particularly the Barnett formula, came to be, and how it determines the level of funding made available to the Scottish Government. As part of this, we’ll also look closely at the current Fiscal Framework.”