The Scottish Government’s flagship Just Transition Fund has come under intense criticism after a new report revealed that just 120 jobs have been safeguarded, despite £43 million being spent in its first two years.
It was formed by the Scottish Government under Nicola Sturgeon, with the hopes of spending £500m over 10 years, as the country moves away from fossil fuels.
However, between 2022 and 2024 – its first two years of operation – the fund paid out £43m to 24 projects, saving 120 jobs and creating a further 110.
Scottish Conservative net zero spokesman Douglas Lumsden was scathing in his assessment:
“This paltry return will do nothing to allay the fears of tens of thousands of highly-skilled workers in Scotland’s oil and gas sector. They know the SNP and Labour are taking a wrecking ball to their industry and this report confirms they have not got a clue how to properly protect jobs for the future. Taxpayers will be rightly thinking their money has typically been squandered by the SNP who must urgently shift from their current reckless approach if we are to achieve an affordable transition.”
The Scottish Government’s own evaluation, conducted by research firm Blake Stevenson, defended the fund’s broader aims:
“It has supported job creation and reskilling, empowered communities, catalysed private investment, and initiated innovation in green technologies and land restoration. Many of the projects are still in their early phases, and long-term impacts – particularly around carbon reduction, employment retention, and supply chain transformation – will take time to materialise. Nonetheless, the fund has provided the foundations for economic and environmental change.”
The fund has also created 110 new jobs and provided training for 750 people in its first two years. It leveraged £30 million in private sector investment and £4.7 million from public sector or charities.
Despite these broader impacts, critics argue that the immediate return in terms of job protection is insufficient, especially for workers in the North Sea oil and gas sector facing redundancy. The Scottish Parliament’s Economy and Fair Work Committee has also raised concerns about the reduction in funding and the lack of a clear long-term investment strategy.
