Charities and voluntary organisations have launched a scathing attack on the Westminster government’s welfare reforms. The Scottish Council for Voluntary Organisations (SCVO) says proposed cuts to benefits through the introduction of the new Universal Credit are ‘criminal’.
Research figures released by SCVO show that three-quarters of welfare charities expect demand for their services to increase in the next year as benefit cuts start to bite, while facing further funding cuts themselves.
Martin Sime, Chief Executive of SCVO, said ‘ill-conceived’ cuts are coming at a time when the country is struggling to emerge from the deepest recession for generations, and that charities and voluntary projects are concerned about meeting an anticipated record high demand for services.
“It’s clear from this research that Westminster’s criminal cuts to welfare are putting so much pressure on charities’ services that some will struggle to keep up with demand from people and families in Scotland,” he said. “The sector is pulling together to pick up the pieces and help to mitigate the terrible effects of these ill-conceived Westminster cuts which should never have happened in the first place.”
The government is cutting £10bn from the welfare budget to make benefits fairer and more able to tackle poverty. Six different benefits will become just one – the Universal Credit – with changes coming into force from next year, and up to nineteen million people will be affected by the controversial reforms.
The Westminster government determines welfare payments, and insists that the reforms are necessary and fair. Secretary of State for Work and Pensions Iain Duncan-Smith (pictured below) said: “The introduction of the Universal Credit is not about cuts. This is about taking a very complex system and making it simpler, easier and fairer. Yes, it is an enormous change but it rewards and supports those people who make decision to go back to work. Really caring about people is about saying: ‘look, I want to change your life with you’ – we offer positive incentives to help people to do that.”
The Scottish government has no control over welfare payments and says that the Westminster reforms are both ill-considered and are being implemented with undue haste, leaving local councils and the voluntary sector to deal with the consequences. Deputy First Minister Nicola Sturgeon admitted there is only so much Holyrood can do, and said: “The Scottish government will do all it can to mitigate the impact of these cuts and changes, although there are consequences that are currently out with the capability of the Scottish government’s powers.”
First Minister Alex Salmond said that only independence can give Scotland the powers it needs to develop a welfare system that allows work to pay ‘without reducing people to penury or despair.’ He told a Third Sector conference: ““We need the powers of an independent country if we are to properly protect the foundations of the welfare state in Scotland. In our own hands, it would surely not be beyond our collective abilities to manage to make work pay without reducing people to penury or despair. We do not want independence for its own sake – independence is a means to greater ends, and this is a prime example of that. We want Scotland to be independent because we know that only then can we build a society that reflects our shared values. An independent Scotland can and will be a fairer Scotland.”
There is no public sympathy for those who can work but choose not to, but campaigners fear that benefit changes will hit the worst-off hardest – the poorest families will suffer most.
Alison Garnham, Chief Executive of Child Poverty Action Group, said: “It’s not problem families, but families faced with the problem of low pay and shrinking government help for families. It’s some of the hardest working families that have been first in the queue for cuts – they’ve had their tax credits cut, their Child Benefit frozen year after year and many will have had essential help for childcare costs slashed.
“Six out of ten poor children come from working families. These are some of the hardest working people in the country, working the longest hours, for the lowest pay, in the worst conditions and with the highest aspirations for themselves and their children.
“A child in poverty is much more likely to be in poverty because they have a parent who is a security guard or a cleaner than one who is a drug addict or ‘feckless’. There is no evidence that people don’t want to take jobs but plenty that shows that people are hurling themselves at the labour market – the problem is that they don’t stick, not that they don’t try.”
Granton Information Centre is one of the voluntary organisations already seeing the impact of the welfare reforms. The advice centre based on West Granton Road dealt with over 5000 benefit enquiries last year, but staff have already seen a 50% rise in demand during the first six months of this year due to benefit changes that have already taken place.
GIC manager Caroline Pickering said: “Over the last couple of months we have been making presentations to other agencies, groups and health professionals to prepare them for the changes and many have been shocked by the scale of what is being proposed, and the effect it is likely to have on both their clients and patients and the services they currently provide. We are already seeing an upsurge in client numbers and there’s absolutely no doubt that this number will at least double next year as the effect of the changes are felt. At least we know the changes are coming – but we know that there are still a lot of people out there who are not aware of some major changes to their benefit entitlement. As an organisation we are as prepared as we can be, but resources are very tight. We will be facing a huge challenge.”