New benefit announced to reduce child poverty in Scotland

The SNP Scottish Government has today announced it will use new social security powers to introduce a brand new benefit to tackle child poverty

The Scottish Child Payment will be introduced by 2022 for all eligible families with children under 16. The Payment will begin for children under six by early 2021, with the payment set at £10 per week.

This new benefit will provide support for families on low incomes, reduce child poverty and mitigate some of the damaging impact of UK Government austerity and welfare cuts. It will be paid monthly and will be available to all children in eligible families with qualifying benefits including Universal Credit, Jobseekers Allowance and Child Tax Credits. There will be no cap on the number of children in families.

When fully introduced, the payment to around 410,000 eligible children and a substantial investment in families most in need in Scotland.

Earlier this year a report by the United Nations Special Rapporteur on Extreme Poverty made clear that families are bearing the brunt of UK Government policies and child poverty is rising.  The Rapporteur cited the “harsh and uncaring ethos” of UK government welfare policy, which had led to the “systematic immiseration” of huge numbers of people.

Whilst he condemned the austerity and welfare cuts of the UK government, he praised the Scottish Government for mitigating against them, but also said it was ‘unsustainable’ for devolved administrations to mitigate everything.

Explainer

Scottish Child Payment

The SNP Scottish Government has announced the Scottish Child Payment, a new bold and ambitious benefit to tackle child poverty and provide a lifeline for families struggling to make ends meet.

Earlier this year a report by the United Nations Special Rapporteur on Extreme Poverty made clear that families are bearing the brunt of UK Government policies and child poverty is rising.

Whilst he condemned the austerity and welfare cuts of the UK government, he praised the Scottish Government for mitigating against them, but also said it was ‘unsustainable’ for devolved administrations to mitigate everything.

However, the Scottish Government simply cannot and will not stand by while the numbers of children in poverty are set to increase.

Here’s what you need to know about the Scottish Child Payment.

What is the benefit?

This new benefit will provide support for families on low incomes, reduce child poverty and mitigate some of the damaging impact of UK Government austerity and welfare cuts.

When will it be introduced?

The benefit will be introduced for all eligible families with children under 16 by the end of 2022. We will introduce early for families with a  child under six by early 2021.

How much will eligible families receive?

The payment will be worth £10 per week, providing much needed financial support to a 2 child family of over a £1000 a year. It will be paid monthly and will increase annually in line with inflation.

The Scottish Child Payment has the potential to reduce the relative poverty rate by 3 percentage points. It will also help prevent poverty for families on insecure incomes just above the poverty threshold, as well as children at risk of material deprivation, another of our targets.

Aileen Campbell MSP said: “The Scottish Child Payment is one the most progressive policy proposals put forward since devolution. I am proud this government has agreed on this bold, ambitious new benefit – guided by doing what we know is right to shift the curve on child poverty.”