Call to use welfare powers to increase child benefit

The Scottish Government is being urged to use new welfare powers to increase child benefit payments by £5 a week, with campaigners saying this could cut the number of youngsters living in poverty by 14%.

Published 27th Jun 2016

The Scottish Government is being urged to use new welfare powers to increase child benefit payments by £5 a week, with campaigners saying this could cut the number of youngsters living in poverty by 14%.

The Child Poverty Action Group is also demanding SNP ministers at Holyrood introduce a Child Poverty Act for Scotland, including a strong public commitment to ending the problem.

The campaigning charity made the plea ahead of the latest figures on child poverty, which are due to be published in the coming week.

Research by CPAG has shown that poor families in the UK receive an income that is £55.60 below the poverty line - with this "poverty gap" said to have risen by 9.4% in three years.

To help tackle the problem, CPAG Scotland wants SNP ministers to use new powers to top-up benefit payments to raise child benefit payments from the current rate of £20.70 a week for the first child and £13.70 for any additional children.

There are 210,000 youngsters in Scotland classed as living in poverty - more than one in five of all children - but upping child benefit could reduce the total by 30,000, according to the charity

The Scottish Government supports the commitment to eradicate child poverty by 2020 that was introduced by then prime minister Tony Blair in 1999, but researchers have forecast the number of Scottish children living in poverty could increase by 100,000 between 2012 and 2020.

A Child Poverty Act for Scotland could provide a framework for the prevention, reduction and eradication of the problem north of the border, CPAG said.

It also said actions should be taken to remove the financial barriers that can hold some children back at school, by for example investing more cash in school clothing grants.

John Dickie, director of CPAG in Scotland, said: "This financial squeeze on low income families, including those in work, has meant that more families are missing out on the basics in life.

"More than one in five parents on low incomes can't keep their home in a decent state of repair or pay for home contents insurance. Almost a quarter don't have the money to fix or replace a broken fridge or washing machine.

"Cuts to family benefits and in-work support mean that the money parents do have goes on children's essentials. Parents are depriving themselves to protect their children, but even so increasing numbers have been missing out on basics like being able to go on a school trip. "

Cabinet Secretary for Communities, Social Security and Equalities Angela Constance said: "We share CPAG's concerns and believe that UK Government delays to benefits, increased benefit sanctions and continued cuts have pushed people - including many families with young children - into crisis situations on a daily or weekly basis.

"We are being forced to spend £100 million a year tackling the effects of UK Government cuts and keep people at a standing position, rather than being able to use our resources to lift people out of poverty."

On the issue of topping up child benefit, a Scottish Government spokeswoman said: "We are currently working on developing our approach to social security and this year we will be consulting on a Social Security Bill which will be the foundation for how we use our new powers.

"Clearly this is set against the backdrop of a tough financial climate and difficult decisions will be needed to ensure we deliver an affordable, deliverable system that best meets the needs of everyone in Scotland. We are committed to delivering, as a priority, the safe and secure transfer of the new devolved benefits and to building a social security system for Scotland founded on dignity and respect."