Scotland's public sector has continued to grow, adding 6,640 employees in the year leading up to June 2026, bringing the total workforce to 603,800. This expansion occurred despite repeated promises from the Scottish National Party (SNP) government to scale back public employment and reform its efficiency.
The increase was primarily seen in devolved civil services, local councils, and public corporations, while employment in colleges and the police and fire services saw a decline. The current public sector workforce constitutes 23 percent of all jobs in Scotland.
First Minister John Swinney recently outlined plans for public sector reform, including reducing the number of health boards from 14 to two and merging quangos. He has also proposed an overhaul of local government. However, Swinney has ruled out compulsory redundancies and has not specified the impact on overall job numbers.
Critics argue that the persistent growth of the public sector indicates inefficiency and a failure to deliver value for taxpayers. Murdo Fraser, Scottish Conservative public service reform spokesman, stated that the figures contradict SNP ministers' assurances of getting a grip on public sector efficiency. He called for greater detail on the reform proposals to ensure they are not being developed ad hoc.
Official statistics show a 1.1 percent increase in the overall public sector workforce compared to June 2025. The devolved public sector alone saw an increase of 6,060 employees, a 1.1 percent rise. Specific areas like the NHS experienced a 2 percent employment boost, local government 0.9 percent, and public corporations 2.7 percent.
Conversely, employment in colleges decreased by 2.6 percent, and police and fire services saw a marginal reduction of 0.1 percent.
Since the COVID-19 pandemic, public sector employment has seen a notable increase. Between June 2019 and June 2026, the headcount rose by 11 percent, from 498,700 to 553,600.
In 2022, former Finance Secretary Kate Forbes initially proposed a "reset" of the public sector to enhance efficiency post-pandemic. Swinney's latest programme for government described potential reforms as the "most radical reshaping of public services since the establishment of the Scottish Parliament."
His reform agenda includes a three-month consultation on a new structure for local government and the consolidation of 14 regional health boards into two, aimed at achieving significant savings in administrative costs. Other proposed changes involve bringing Transport Scotland back into the Scottish Government and merging environmental bodies. A review of a single ferry body for specific routes is also under consideration.
An earlier analysis highlighted that the backroom "corporate functions" of 87 public bodies cost £512 million in 2024-25. Backroom costs within Scotland's NHS alone increased by £58 million, reaching £1.1 billion.
A Scottish Government spokesperson commented that the focus remains on improving the public sector workforce through reform, efficiency, and natural attrition, ensuring resources are effectively allocated. The spokesperson added that the core Scottish Government workforce has decreased annually since recruitment controls were implemented in 2022. Ministers are committed to protecting frontline roles and collaborating with partners, staff, and trade unions to optimize staffing for service improvement and public value.