Scotland is set to invest more than £5 billion in climate action as part of its draft 2026–27 budget, marking a record commitment to tackling emissions and restoring nature.
Ministers say the funding will accelerate the transition to net zero while delivering jobs, lower energy bills and stronger communities.
The investment was confirmed by Climate Action and Energy Secretary Gillian Martin ahead of the Scottish Renewables Offshore Wind Conference.
The funding is designed to address the twin crises of climate change and biodiversity loss through large-scale support for low-carbon infrastructure and nature recovery.
Of the £5 billion allocation, £2.9 billion will be capital funding, representing 41% of the Scottish Government’s total proposed capital budget. The spending will prioritise renewable energy, energy efficiency and sustainable transport to reduce greenhouse gas emissions and improve resilience.
A significant share will support Scotland’s renewable energy sector, including offshore wind, which ministers see as central to long-term decarbonisation and economic growth. The budget also aims to ensure a fair transition by creating green jobs and spreading benefits across communities.
Measures include more energy-efficient affordable homes to tackle fuel poverty and reduce bills, alongside investment in public and active travel. Funding will make it easier for people to choose walking, wheeling and cycling for shorter journeys.
Nature restoration is another pillar of the package, with investment in woodland creation and peatland restoration to lock away carbon and protect habitats. Community-led climate action will also be expanded, enabling local responses such as flood mitigation, repair schemes and local energy generation.
Gillian Martin said: “This draft Budget for the next year demonstrates the Scottish Government’s continued commitment to achieving net zero by 2045 and tackling the twin crises of climate change and biodiversity loss.
“Our record investment of more than £5 billion will help reduce household energy costs, support green jobs, restore nature and build healthy and resilient communities.”
Further funding will support low-carbon heating, sustainable travel and climate resilience overseas. Ministers say the package positions Scotland to cut emissions while building a more sustainable and inclusive economy.
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