No evidence child payment deters work, admits Government

The Herald Scotland

15-05-2025

However, a Freedom of Information request submitted by the Common Weal think tank revealed the Government has carried out no research to support this.
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The group requested data on the number of households receiving the Scottish Child Payment where no adult is in work or retired, and what proportion of the total this represents.
Social Security Scotland responded to say it did not hold the information, 'because employment status is not a requirement for Scottish Child Payment'.
Separate official documents, published in July by the Scottish Government, stated the payment was 'not currently negatively affecting labour market outcomes at any scale in the economy'.
The Herald led a series on the impact of child poverty in Scotland (Image: Damian Shields)
Craig Dalzell, Head of Policy at Common Weal, criticised the First Minister's comments. He said: 'It is simply irresponsible for politicians to make statements and policy which have the potential for devastating effects on vulnerable children if they do not have the evidence to support those claims.
'Worse still, they should not make these statements if they have not even attempted to gather the information needed to know whether the statement is correct or not.
'The First Minister has basically decided not to increase support for children in poverty and then made up an excuse which he has absolutely no reason to believe is true.
'The stark reality is that most people in poverty are in work. Starving their children will not increase their pay.'
John Dickie, Director of the Child Poverty Action Group in Scotland, said there was plenty of evidence showing that increasing the payment would reduce child poverty.
'There is no evidence that we are aware of that increasing the Scottish Child Payment would act as a disincentive to enter the labour market or reduce labour market participation in any significant way,' he said.
'On the other hand, there is a mountain of evidence that boosting the payment would reduce child poverty further, improve children's health and wellbeing, and act as an investment in Scotland's economic future.
"If Scotland is serious about ending child poverty it is vital that politicians of all parties base their decisions on the evidence.'
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The Scottish Child Payment, which is available to families on means-tested benefits including Universal Credit, is currently set at £27.15 per child per week.
As part of The Herald's Scotland's Forgotten Children series, we joined forces with 23 children's charities calling for the Scottish Government to raise the payment to £40 per week.
Research from the Institute for Public Policy Research (IPPR) suggests that this level of increase would lift an additional 20,000 children out of poverty.
Modelling by the Fraser of Allander Institute separately found it could lead to a further 2.5 percentage point reduction in child poverty, putting the Scottish Government on track to meet its statutory targets.
Ministers missed their legally binding interim target to reduce the number of children living in relative poverty — defined as below 50% of the UK median income — to 18% by 2023–24.
The latest figure is 22%, down from 26% the previous year.
Charities have welcomed the fall but warn that the Scottish Government is now at risk of missing its 2030 target of reducing relative child poverty to 10%.
In last week's Programme for Government, the First Minister reiterated his commitment to eradicate child poverty.
He said: "In the coming year, we will consult on, develop and publish a tackling child poverty delivery plan for 2026-31 - outlining the actions we will take with our partners for low-income families across Scotland to keep us on the journey to meet our poverty reduction targets for 2030."
The Scottish Government has been approached for comment.