Labour leadership contender Michael Fagan has emphasized the need to prioritise fundamental issues before scheduling a second Scottish independence referendum, arguing that the party must first rebuild its identity and confidence. Speaking ahead of the closing of the Scottish Labour leadership ballot this Thursday, with the winner to be announced on Saturday, Fagan outlined his vision for revitalizing the party and addressing pressing social concerns.

Fagan, who became a Member of the Scottish Parliament (MSP) in May, highlighted his four years of leadership experience as South Lanarkshire council leader as a key qualification. He contrasted his executive background with that of his main rival, North East Scotland MSP Neil Gray, who has served in the Scottish Parliament since 2021 and was part of Anas Sarwar’s shadow cabinet. Fagan argued that leading one of Scotland’s largest councils, managing a £1 billion budget and a workforce of 16,000, offers valuable frontline experience relevant to the party’s future.

“The Scottish Labour Party right now seems to lack a sense of definition, and really lacks a sense of identity,” Fagan said. He called for a renewed focus on the issues affecting working people and suggested that political dynamics are shifting away from identity politics toward a new era of community-oriented politics, a change he said had helped bring a new British Prime Minister to office.

Among his key policy proposals, Fagan advocates using Scotland’s £67 billion council pension funds to finance the construction of more social housing, aiming to tackle the ongoing housing crisis. He stressed, however, that these independently managed funds would not be compelled to invest, but rather encouraged to consider transparent and locally beneficial opportunities. Fagan noted that similar initiatives are already underway in parts of England and said working collaboratively with pension fund boards could help mobilize investment to support social infrastructure.

On foreign policy, Fagan echoed criticism of Israel’s actions in Gaza by branding them a “genocide.” He expressed concern that Western governments may face future condemnation for insufficient pressure on the Israeli government during the conflict.

The Scottish Labour leadership race reflects ongoing debates about the party’s direction amid challenges related to Scotland’s constitutional future and domestic policy priorities. With the party membership vote concluding this week, observers are watching closely to see whether Fagan’s emphasis on practical governance and community-focused politics will resonate with voters seeking a clear alternative in Scotland’s changing political landscape.