Around 2000 families in North Lanarkshire impacted by removal of two-child cap

Daily Record

6 hours ago

The Scottish Government has confirmed it intends to mitigate the effect of the two child cap with a separate payment administered by Social Security Scotland.
Around 2000 families in North Lanarkshire will be impacted by the two-child cap, as the Scottish Government confirmed the Labour policy will be effectively scrapped in Scotland from March next year.
The two-child cap restricts support in universal credit to two children in a family. It was introduced under the Conservatives and the new Labour government has kept the cap in place, despite campaigning against it in opposition.
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The Child Poverty Action Group says scrapping the two-child limit is the most cost-effective way to start to reduce child poverty. It would lift 350,000 children out of poverty and mean 700,000 children are in less deep poverty UK wide.
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Though the policy is reserved to Westminster, the SNP have pledged to use its powers over social security in Scotland to mitigate the effect of the two child cap with a separate payment administered by Social Security Scotland.
Motherwell and Wishaw MSP Clare Adamson said: 'The two-child cap is a huge driver of child poverty. People in my Motherwell and Wishaw constituency are directly harmed by the two-child cap.
'We have repeatedly called on successive UK Government's to scrap this cruel and damaging policy. Scottish families cannot afford to wait any longer. Around 26,000 households across Scotland are impacted by this policy while the Labour government shrugs its shoulders.
'John Swinney's government will lift 20,000 children out of poverty, making progress on the key mission of this Scottish Government: to eradicate child poverty.'
At Holyrood this week. Social Justice Secretary Shirley-Anne Somerville said applications will open for mitigation of the welfare policy on March 2, with payments being made 'as soon as possible' afterwards - meaning it will likely take place just ahead of the Scottish Parliament election.
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However, the minister also told MSPs she is 'deeply disappointed' that Scotland's interim child poverty targets have not been met, saying there is no single reason for them being missed.
Labour has cited fiscal constraints for keeping the cap, but in May the Prime Minister said he will be 'looking at all options' to tackle child poverty.
Following an announcement on Tuesday morning, Ms Somerville addressed MSPs on the Government's 'tackling child poverty delivery plan'.
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She said it is 'deeply disappointing' that interim child poverty targets have not been met, but rates are nevertheless coming down, and she pledged to 'build on that progress' ahead of 2030 targets.
Conservative MSP Liz Smith pressed the minister on how the mitigation policy will be funded, saying the Scottish Fiscal Commission (SFC) has noted a 'widening gap' between the Scottish Government's welfare spending and its funding.
In March, the Institute for Fiscal Studies warned the policy could harm incentives to work because some of the lowest-paid workers could earn more on welfare than in employment.
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However, the move has been welcomed by anti-poverty charities, who have urged the UK Government to scrap the cap, with the Child Poverty Action Group saying the move would lift 350,000 children across the UK out of poverty.