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The Herald Scotland
01-05-2025
- Business
- The Herald Scotland
You could raise Scottish Child Payment if you wanted to, Mr Swinney
Hmmn. The trouble is, this jars with pretty much everything he and his ministers have said about it before. Just last summer Mr Swinney hailed 'our game-changing Scottish Child Payment', which had helped keep '100,000 children out of relative poverty'. It has been hiked several times before, with each increase explained as part of the drive to meet what Mr Swinney calls his 'top priority' – meeting the target of reducing relative child poverty to 10 per cent by 2030. Child poverty is falling in Scotland while it rises in other parts of the UK largely because of this policy, a source of justified pride for ministers. How strange then that just as the latest accounting shows an interim target has been significantly missed, the First Minister backs off raising the child payment any further. Read more by Rebecca McQuillan Campaigners are fed up and confused, and understandably so. They want to understand what Mr Swinney is basing his concerns on. After all, most recipients of the Scottish Child Payment (SCP) are in work, are they not? The Scottish Government's own analysis shows the child payment isn't putting people off getting jobs and campaigners are aware of none that suggests raising it further would do so, certainly not at a scale that would outweigh the benefits. It's easy to overemphasise the impact that social welfare has on working rates. The effects depend on which benefits are raised and by how much, the nature of someone's work and their individual circumstances. The academic literature does not show that incremental benefit increases significantly impact working hours. Anti-poverty organisations have been asking for the child payment to be increased over time to £40 from its current weekly level of £27.15. One told me that the idea this would stop people getting jobs was fanciful. Recipients are more likely to say the payment helps them overcome obstacles to work, by going towards transport, childcare costs, education or training. Many households are still reeling from the impact of years of inflation, and the inflation rate is still above the Bank of England's target. The Scottish Government itself has always made clear it sees welfare benefits as critical to reducing poverty. Scottish ministers promise to start mitigating the two-child benefit cap next year and loudly attack the UK Government for reducing welfare benefits – but now, at the same time, are slamming the brakes on the SCP. Mixed messages indeed. The IPPR think tank says 20,000 children would be lifted out of poverty if the SCP were set at £40 per week. So why would Mr Swinney, who has staked his reputation on driving down want among low-income families, suggest limiting the most effective anti-poverty measure we have? Find all articles in our Scotland's Forgotten Children series here Cash, of course. Funding the SCP already costs the Scottish Government more than £450 million a year and the public finances are stretched to breaking point. Swing open the big iron safe under St Andrew's House and there's a cavernous emptiness. The UK Treasury is in the same impoverished state. Perhaps it's not surprising that Mr Swinney doesn't want to put the financial argument front and centre since if he did, he'd have to parry endless questions about how he was finding the cash for road-building or civil service pay rises or arts funding but not child poverty. But it's just a bit too convenient to suggest the benefit is a work disincentive. If you were really concerned it could eventually have that effect, there would be things you could do without freezing it. You could taper it down as a person's earnings rose. A more straightforward alternative would be to allow people who went into employment to continue claiming it for a period, so they could adjust. All governments have a duty to use public funds responsibly, but there are few more responsible uses for our cash than this. Independent modelling suggests a rise to £40 in the SCP would cost £261m more. Money well spent: far too many children live in damp cold homes, miss out on the joy of trips and activities, and know what hunger feels like because there isn't enough money coming in. Lifting children out of poverty is a moral mission, but it's also the soundest of investments. John Swinney during his interview with The Herald (Image: Duncan McGlynn) Poverty is wildly expensive. One of the underlying reasons for the UK's sluggish economic growth is poverty. Poverty is hugely costly to the NHS. Children who grow up with financial security do better at school and have better health throughout their lives. They work more. As Mr Swinney himself puts it, there is an 'economic and social imperative' to tackle child poverty. The Herald and 23 anti-poverty organisations are calling for the two-child benefit cap to be lifted by the UK Government and that is an essential staging post on the route to eradicating child poverty. If Labour don't abolish it, they will face their own reckoning. But the target Mr Swinney talks about so much is Holyrood's and many of the levers lie in his hands. Is there any realistic hope of reaching the 2030 target without substantial increases to the SCP? No, say campaigners. Employability schemes, expanded childcare, free school meals – all of these will have to be boosted further but even then it's very hard to see a route to success without a higher child payment. Here is the danger: the target disappears down the plughole and the collective failure to tackle child poverty turns into a mutual blame game between SNP and Labour. What a sickening thought that is. If Mr Swinney isn't going to raise this benefit any further, then he needs to explain how he is going to reach the 2030 target by alternative means. Otherwise people might suspect him of relying on optimism and crossed fingers. Rebecca McQuillan is a journalist specialising in politics and Scottish affairs. She can be found on X at @BecMcQ and on Bluesky at @
The Herald Scotland
30-04-2025
- General
- The Herald Scotland
The Herald unites with 23 charities on child poverty push
It was revealed as part of the Scotland's Forgotten Children series that at least 80,000 children were now living in "very deep poverty", while other charities warned many families live in homes without essential items. Other families have become dependent on food banks, The Herald's investigation found. The Scottish Child Payment has been labelled a "game-changer", however charities have warned that it currently does not go far enough. Families in receipt of means tested benefits, including Universal Credit, receive £27.15 a week, per child. But independent research from the Institute for Public Policy Research (IPPR) suggested increasing the rate to £40 per week would lift an additional 20,000 children out of poverty. Modelling from the Fraser of Allander Institute separately estimated it could lead to a further 2.5 percentage point reduction in child poverty - putting the Scottish Government on track to meet its ambitious targets. Read more in the series: 'Devastating': Charity boss reveals essential items children in poverty are missing Swinney angers charity bosses over Scottish Child Payment increase warning UK welfare cuts to plunge thousands of disabled children into poverty Opinion: 'No child should be hungry. It's time for action to eradicate child poverty' Rebecca McCurdy: I was ashamed of growing up poor – but I am proud of it now Exclusive: Wake up call: Extreme child poverty in Scotland is now higher than 1990s An open letter to the First Minister said: "The Herald, together with Scotland's leading children and anti-poverty charities, calls on you to take urgent action by raising the Scottish Child Payment to £40 per week - a step that could lift thousands of children out of poverty and change lives." The Scottish Government missed its legally binding interim targets to reduce the number of children living in relative poverty - 50% less than the average UK income - to 18% by 2023-24. The current rate sits at 22%, down from 26% in the previous year. While charities welcome that progress, they warn the Scottish Government is now at risk of failing to meet its ambitious 2030 targets of reducing relative child poverty to 10%. Amongst the charities to sign the open letter are Aberlour, Action for Children, Amnesty International, Barnardo's Scotland and Save the Children. The Child Poverty Action Group in Scotland has also backed the campaign alongside the Poverty Alliance, Trussell Trust and Oxfam Scotland. Nicola Killean, Scotland's children and young people's commissioner, also signed the open letter after she wrote in The Herald on Monday: "Addressing child poverty must move from a vision to a reality. Politicians can and should make the decisions to finally eradicate it." In an exclusive interview with The Herald this week, the First Minister described the level of child poverty in the country as a "matter of shame". He also revealed the emotional toll tackling child poverty has had on him as his government looks to eradicate the issue in Scotland. The Herald's child poverty investigation has heard directly from families on the scale of the issue. It has also recognised the importance of the Scottish Child Payment in lifting children out of poverty, with the policy credited in reducing the current rate to 22%. The open letter to Mr Swinney states: "This increase to £40 to £27.15 would be life-changing for families. "The Scottish Child Payment has already been a game-changer. Parents have told us this support is a lifeline, allowing them to buy essentials and even share small moments of joy with their children that would otherwise be out of reach. "This policy is working - but it now needs to work harder and reach further if we are to protect all our children from poverty." "First Minister, you have the power to make a profound and lasting difference to the lives of Scotland's children," the letter adds. "By urgently increasing the Scottish Child Payment, you would not only provide vital financial relief to families struggling to make ends meet but send a clear message that your government is committed to turning the vision of eradicating child poverty into a tangible reality. "The time for decisive action is now." However, the open letter also acknowledges the significant implications of UK Government policy on Scotland's child poverty rates. The charities who join with The Herald for the campaign have said removing the two child benefit cap - which limits means-tested benefits to the first two children in the family - would lift an estimated 250,000 children in the UK out of poverty. An open letter has also been sent to Prime Minister Sir Keir Starmer urging him to lift the cap, which has been described as "one of the most significant drivers of child poverty". The letter to the Prime Minister states the cap "punishes children for circumstances entirely beyond their control and entrenches hardship across generations". It adds: "We believe the removal of the two-child limit would be one of the single most effective measures your government could take to reduce child poverty swiftly and significantly." "Prime Minister, we urge you to seize this opportunity for moral leadership," the letter to Sir Keir states. "A fair and compassionate society does not discriminate against children based on the size of their family. "We urge you to act now." Catherine Salmond, editor of The Herald, said: "There is no greater power in a newsbrand than its voice. "Today, The Herald is using its to speak up for those children living in poverty in Scotland. There are far too many and solutions are needed quickly. "Equally as important, we have listened. This week, we have heard the human stories behind the statistics and from those charities fighting for a better quality of life for Scottish children. "Together, we are now calling on the Scottish Government to increase the Scottish Child Payment to £40 to help them have a better life. This marks the start of our campaigning for change." The full list of charities and groups backing The Herald's call: Aberlour Action for Children Amnesty International Barnardo's Scotland CELCIS (Centre for Excellence for Children's Care and Protection) Citizens Advice Scotland Child Poverty Action Group Children First Nicola Killean, the Children and Young People's Commissioner for Scotland Coalition for Racial Equality and Rights Families Outside Fife Gingerbread Includem Independent Food Aid Network One Parent Families Scotland Oxfam Scotland Parenting Across Scotland Save the Children Scottish Trades Union Congress (STUC) Scottish Women's Budget Group Shelter Scotland The Poverty Alliance Trussell Trust
The Herald Scotland
28-04-2025
- General
- The Herald Scotland
80,000 children currently live in 'very deep poverty'
That is despite overall child poverty rates falling from 32% to 24% in 2020-23. Our exclusive figures are as revealed at The Herald launches Scotland's Forgotten Children - a three day series investigating the severity of child poverty across the country. Our in depth investigation will explore the harrowing realities of growing up in poverty. While it is First Minister John Swinney's central mission in government to eradicate child poverty, SNP ministers have been warned the goal will now be "almost impossible". The Scottish Government aims to reduce the number of children in relative poverty to under 10% by 2030 and absolute poverty to under 5%. But interim targets were missed, with an estimated 240,000 - 23% - in relative poverty, where they receive 50% less than the average UK household. Very deep poverty, meanwhile, is described as families facing the most severe impacts of poverty. Read more: Herald investigates scale of children poverty in Scotland The report, seen exclusively by The Herald, warned: 'With such a high proportion of children in very deep poverty it is almost impossible to reach child poverty targets without lifting these children, who are the furthest from the poverty line, out of poverty.' "That one child and their family has to get by on such low incomes is a tragedy; that 80,000 do should enrage and empower our politicians and decision-makers to vanish this hardship from our country," the report added. It also means that any measures to reduce poverty by the Scottish Government is unlikely to be effective for this proportion of children. The 80,000 figure is equivalent to every under 16 in Edinburgh, according to the research from lead analyst Carla Cebula. Research from the Joseph Rowntree Foundation found that families in very deep poverty were, on average, 54% below the poverty line. That means their incomes are less than half of what is needed to reach the poverty line. For a couple with two primary aged children in very deep poverty, being 54% below the poverty line equals to a gap of £1,160 per month. Researchers suggest they would ned to work an additional 15 days to earn this - or the Scottish Child Payment, which currently sits at £27.15, would have to be increased to £120 per week to take them to the poverty line. The analysis found that three in 10 of the families in very deep poverty have more than 90% of their income coming from benefits. Meanwhile, 55% in very deep poverty have less than half of their income coming from benefits and within that group, three in 10 have 10% or less from benefits. More than 40% of children in the most extreme levels of poverty have no adult in the household in employment, while one in three are pulled into poverty by housing costs. The report has been published to mark almost a year until the 2026 Scottish Parliament election, with the Joseph Rowntree Foundation warning that whoever forms the next government must take urgent action. It said: 'The prevalence of younger children in very deep poverty is concerning and highlights the need for more support for parents in the early years." Chris Burt, associate director for Scotland, Wales and Northern Ireland, said: "We've heard a lot recently about people feeling left behind by politics. What more striking evidence of that is needed than the stark findings of this report? "If this happened overnight, it would be an emergency. The outcry should be the same even if we've got here after 30 years. "Politicians want to rebuild trust in politics so they must take action for these children that are being left behind. And take that action at scale. "We know the drivers of poverty in Scotland are poor work, poor housing and even poorer social security. "You can't pull one of these levers only and expect the substantial impact we need to see. "Progress on all three will truly give children in Scotland a more hopeful future." The report calls for an uplift of the Scottish Child Payment to at least £40 per week, acknowledging the significant impact it has had on reducing child poverty so far. However it also calls for the UK Government to scrap the two-child benefit cap. Mr Birt told The Herald: "Whichever party wins the next Holyrood election will carry the heavy burden of meeting the Scottish Parliament's child poverty targets. "Succeeding against the target will deliver a Scotland where all our children are able to flourish, and trust in our political institutions can be restored. "The UK Government must also not sit idly by - it can also play a massive role in improving the lives of children in Scotland and across the UK. They must also keep up their end of the bargain." Social Justice Secretary Shirley-Anne Somerville said: 'Our policies are having to work harder than ever to make a difference, against a backdrop of a continuing cost of living crisis, rising energy costs and UK Government decision making. However, we know these policies are working. 'Recently published statistics show that the proportion of children living in relative poverty has reduced while the proportion in absolute poverty has also fallen with the annual figure the lowest in 30 years. 'We are committed to doing all that we can with the 2025-26 Scottish Budget prioritising action to eradicate child poverty, including through investment in breakfast clubs, employability support and to develop the systems to mitigate the two-child limit. "On average, households with children in the poorest 10% of households are estimated to be £2,600 a year better off in 2025-26 as result of Scottish Government policies, with this value projected to grow to an average of £3,700 a year by 2029-30. "While JRF predict child poverty will rise in other parts of the UK by 2029, they highlight that policies such as our Scottish Child Payment, and our commitment to mitigate the two-child limit, 'are behind Scotland bucking the trend'. 'But decisions taken by successive UK Governments are holding us back, and the Spring statement will only make things worse. The DWP's own figures show that proposed welfare cuts will drive 50,000 more children into poverty.'
