Tackling poverty and inequality is the biggest challenge facing Scotland, First Minister Humza Yousaf will say at today’s anti-poverty summit.
Led by the First Minister, the summit offers a vital opportunity for the Scottish Government to listen to, and work with key partners, campaigners, cross-party representatives and those with direct experience of poverty, to help inform Scotland’s drive to tackle poverty and inequality.
Opening the anti-poverty summit, the First Minister is expected to say: “The Scottish Government recognises the cost of living crisis is putting a huge strain on households and no-one should have to make the choice between heating, eating or turning the lights on.
“Tackling poverty and inequality is the single biggest challenge facing Scotland and requires continued, urgent and sustained action.
“Today’s anti-poverty summit is an opportunity to get round the table with campaigners, businesses, the third sector, local government, representatives from Holyrood’s main political parties and, crucially, those with direct experience of poverty, to hear their views and insights.
“This is the collaborative approach that people across Scotland want to see their First Minister and political leaders take – to secure real action on the biggest issues facing our country.
“We have a strong foundation to build on, with almost £3 billion allocated this year to support policies which tackle poverty and protect people as far as possible during the cost of living crisis, and we have announced details this week of how tens of thousands of households will be supported as a result of the Fuel Insecurity Fund being tripled.
“But, as we discuss what more can be done, nothing will be off the table and I look forward to hearing all contributions at the summit, which I hope will drive new momentum in the fight against poverty in Scotland.”
Delivering even more tailored support to tens of thousands of households is at the heart of a major expansion of this year’s Fuel Insecurity Fund.
The First Minister announced in March that the Fund will be tripled to £30 million this year. Details have now been announced of how the additional funding will be used to help those who need it most through new and existing services.
This includes £5 million for one-to-one mentoring for households to be provided by a new funding partner, The Wise Group, as part of a longer-term approach to tackling poverty and its causes.
Households will also be helped through additional funding being directed to existing delivery partners, including:
£9 million to enable Advice Direct Scotland to administer Home Heating Support Fund grants to those struggling with the rapid increase in gas, electricity and oil prices
£8.5 million for the Fuel Bank Foundation to rapidly support more than 85,000 households, including those with prepayment meters and at risk of imminent disconnection
£7.25 million to enable the Scottish Federation of Housing Associations to provide more than 55,000 households across Scotland with advice, support with bills and energy- saving items
Details of the additional support were announced ahead of an anti-poverty summit being convened by the First Minister tomorrow (Wednesday). Those with direct experience of poverty, as well as experts from the public, private and third sectors, will take part.
Energy Minister Gillian Martin visited Advice Direct Scotland’s Glasgow headquarters to meet advisers and learn more about how they are supporting people who are struggling to heat their homes.
She said: “The Fuel Insecurity Fund has been and continues to be a direct lifeline for many thousands of households, which is why the First Minister acted swiftly and decisively to triple the Fund to £30 million this year. We want to support even more people facing unprecedented rises in the cost of energy.
“Whilst the key energy policy levers remain with the UK Government, one of our interdependent missions as a government is to tackle poverty and protect people from the impact of the current cost of living crisis, which is why we have taken this action.
“The UK Government has continually failed to take the necessary steps to support people now and make the necessary changes – which only it can take – to ensure households and businesses never experience an energy crisis like this again.
“This includes reversing its decision to end the Energy Bills Support Scheme and making essential reforms to the energy market so the link between the price of electricity and the cost of gas is permanently broken.”
Conor Forbes, Director of Business Development and Policy at Advice Direct Scotland, said: “We are delighted to be working with the Scottish Government again to support Scottish citizens struggling with the cost-of-living and energy bills.
“With the UK Government’s Energy Bills Support Scheme coming to an end, many are finding themselves having to cut back on energy to afford other things. It’s important that anyone who is struggling reaches out for support.
“Advice Direct Scotland runs a number of services that can offer assistance in various areas related to the cost-of-living, including energy, debt, and support with benefits applications.”
Sean Duffy, Chief Executive Officer at The Wise Group, said: “It’s great to see the Scottish Government taking action to help households struggling with fuel insecurity and poverty.
“We’re proud to be a new funding partner for the Fuel Insecurity Fund, and excited about the opportunity to provide tailored, one-to-one Relational Mentoring to households in need.
“We know that everyone’s situation is different, so we’re committed to taking a personalised approach to support each household in a way that supports sustainable change. We’ve had great success stories, and we’re looking forward to making a real difference to people’s lives through this initiative.”
May Day is a unique occasion in our calendar. It’s when we celebrate the bonds that unite workers and trade unionists across the world. When we reflect on our shared values of equality, justice and solidarity. And when we remember the huge advances won by the collective struggles of working people (writes TUC General Secretary PAUL NOWAK).
And this year, May Day has a special resonance. The cost-of-living crisis shows few signs of easing. Food prices are now rising at almost 20 per cent, hitting the poorest hardest. And across the economy, in both private and public sectors, hundreds of thousands of workers are striking for fair pay. I’ve been proud to visit scores of picket lines, meeting inspirational reps and workers, many on strike for the first time. Unions don’t accept we have to become poorer.
In the public sector, the government is refusing to deliver decent pay rises for the workers it lauded as heroes during the pandemic. Ministers had to be dragged kicking and screaming to the negotiating table following industrial action by health and education unions. But they are still failing to negotiate in the civil service – and the TUC will resist any attempts to play one group of workers against another.
Meanwhile, in the private sector, unions have been winning some impressive deals for their members. And a special mention to workers at Amazon in Coventry, who have been taking historic strike action for fair pay and union recognition.
But as workers fight for a fair deal, the Conservative government is attacking our right to strike. Their Anti Strikes Bill is undemocratic, unworkable and probably unlawful. It makes the UK an international outlier by imposing yet more draconian restrictions and penalties on unions.
Small wonder the legislation has been condemned by employment law experts and, earlier this week, by over 100 politicians worldwide. And on Wednesday, Labour, Lib Dem and crossbench peers in the House of Lords defeated the government four times on the bill.
That’s why the TUC has called an emergency “reject and repeal” protest outside Parliament to coincide with the final Commons votes on the bill. We can’t be sure about exact dates just yet, but it’s likely to be sometime in mid May.
Full details will be posted on our website as soon as possible. This is a big opportunity for us to put our concerns firmly in the political, media and public spotlight.
As working families struggle to stay afloat, those at the top are raking it in. Chief executives continue to trouser massive pay packages. Shareholder dividends have gone up three times faster than wages. And bankers in the City of London have just enjoyed the biggest bonus round since the crash. Britain is increasingly unequal: as hospitals set up food banks to feed their own staff, Porsche dealers report record sales.
Instead, we need an economy that rewards work not wealth. The TUC is demanding fair taxes, including a proper windfall tax on obscene energy profits. We want a £15 minimum wage, better pensions and a boost to Universal Credit. And we want stronger collective bargaining rights for unions, so we can win fair pay for all and ensure the gains of tech change and AI are shared fairly.
We’re also campaigning for political change and the election of a new government on a worker- and union-friendly manifesto. But whatever happens, we must rebuild our collective strength, advancing our membership and organisation right across the economy.
My overwhelming priority remains to build a stronger, more diverse, more inclusive movement. And whether it’s fighting racism, rooting out sexual harassment or resisting the government’s spiteful Illegal Migration Bill, there’s plenty we can do. This May Day, let’s resolve to fight for all working people, in all our wonderful diversity. Ultimately, that’s the best way to win the change we need.
This is first of three new Cost of Living payments adding up to £900 in 2023/24 – though some people will receive up to £1,350
Over 8 million households to receive £301 from the Government with payments hitting bank accounts from today
Those eligible will be paid between Tuesday 25 April and Wednesday 17 May, with HMRC making payments to tax credit-only customers between Tuesday 2 and Tuesday 9 May
Over eight million households across the UK will receive a £301 Cost of Living Payment from the Government, with payments rolled out from today, demonstrating the Government’s relentless focus on our five priorities – including halving inflation, growing the economy and reducing debt.
As the cost of living continues to affect families across the UK, these payments are designed to target support towards the most vulnerable in society and provide them with a financial boost.
The Department for Work and Pensions (DWP) will send payments automatically and directly to recipients’ bank accounts, with a reference of their National Insurance number followed by ‘DWP COL’.
This is the first of up to three payments for those eligible on means-tested benefits, including Universal Credit, Pension Credit and tax credits, totalling £900 through 2023/24. These will be accompanied by a £150 payment for people on eligible disability benefits this summer, and a £300 payment on top of Winter Fuel Payments for pensioners at the end of 2023.
This builds on the significant cost of living support already provided to eligible households throughout 2022 – now worth an average of £3,300 per household over this year and last.
Those entitled do not need to do apply for the payment or do anything to receive it. Payments made during this window will be staggered over the next couple of weeks meaning not everyone entitled to receive a payment will receive it today.
Mel Stride, Secretary of State for Work and Pensions, said: “This latest additional payment will be welcomed by millions of families – as will further payments due over the next year.
“We have continually supported those most vulnerable to rising costs, including through record benefits and national living wage increases as well as these exceptional Cost of Living Payments responding to the global pressures we are facing.
“We will also continue to deliver on our five priorities, including halving inflation, as this will ease pressure on households currently struggling with household bills and rising prices.”
Jeremy Hunt, Chancellor of the Exchequer, added: “The best thing we can do to help people’s money go further is deliver on our priorities to halve inflation and grow the economy.
“But we’re also here to help people through these tough times, which is why we’re holding down energy bills, freezing fuel duty, increasing Universal Credit, and giving £900 payments to low income and vulnerable families – all in part funded through windfall taxes on energy profits.”
People will be eligible for the Cost of Living Payment if they have been entitled to a payment for one of seven benefits between 26 January and 25 February 2023. The eligible benefits are:
Universal Credit;
Pension Credit;
Income-based Jobseekers Allowance;
Income-related Employment and Support Allowance;
Income Support;
Working Tax Credit;
Child Tax Credit.
Once the majority of those who are entitled to a payment by DWP have been paid, HM Revenue and Customs (HMRC) will make payments of £301 between Tuesday 2 and Tuesday 9 May to one million eligible families receiving tax credits only, with the banking reference ‘HMRC COLS’.
The latest payment follows on from the £650 Cost of Living Payment delivered by the Government in 2022, along with another £150 disability payment and a £300 pensioner payment.
While payments are made automatically, people must be receiving one of the eligible qualifying benefits during the specified period to qualify. Those who wish to check their entitlement to benefits should use a benefits calculator on Gov.uk to get a better idea of what they could receive.
Low-income pensioners particularly should check their eligibility for Pension Credit, as they may still be able to receive the £301 Cost of Living Payment, and subsequent payments, if they make a successful backdated application by 19 May 2023.
Those in need are also encouraged to contact their local council to see if any additional support is available in their local area, such as through the DWP’s Household Support Fund in England, worth over £2 billion across its lifetime.
Further Information
These payments will all be tax-free, will not count towards the benefit cap, and will not have any impact on existing benefit awards.
The three means-tested Cost of Living Payments, worth up to £900 in total, will be delivered in three slightly different amounts, each relating to a specific qualifying period before the payment is made. This allows DWP and HMRC to ensure support is targeted at those who need it and are eligible; to determine if a payee received the correct payments and identify the payment value; and to reduce the risk of fraud.
To get the £301 payment someone must (subject to a very limited exception explained below) have been entitled to a payment of a qualifying benefit as follows:
For Universal Credit, payment in respect of an assessment period ending between the 26 January 2023 to the 25 February 2023
For all other DWP means-tested benefits, payment in respect of any day between 26 January and 25 February 2023.
For tax credit-only customers to be eligible they must have received a payment of tax credits in respect of any day in the period 26 January 2023 to 25 February 2023, or later be found to have been entitled to a payment for this period.
Those on DWP benefits other than Universal Credit who are entitled to less than 10 pence and meet all other qualifying criteria but who do not receive a benefit payment, will still receive a Cost of Living Payment.
More than 6 million people on qualifying disability benefits will receive a Disability Cost of Living Payment of £150 during Summer 2023. This includes those in receipt of one of the following benefits:
Disability Living Allowance;
Personal Independence Payment;
Attendance Allowance;
Scottish Disability Benefits;
Armed Forces Independence Payment;
Constant Attendance Allowance;
War Pension Mobility Supplement.
The £300 Pensioner Cost of Living Payment will be paid to all households in receipt of Winter Fuel Payments, in the same way as 2022/23 payments were made.
Payment windows and eligibility dates for the remaining Cost of Living Payments will be announced in due course.
Aldi donated 391 meals to local good causes to help people in need over the Easter school holidays.
The supermarket’s stores across the UK have paired up with local charities, community groups and foodbanks through its partnership with community giving platform Neighbourly.
More than 550,000 meals were donated throughout the UK, with almost 2,000 UK causes benefitting from the initiative in total.
Liz Fox, Corporate Responsibility Director at Aldi UK,said:“We understand that the school holidays can be an especially challenging time for families, particularly amid the current cost-of-living crisis.
“Neighbourly carries out such vital work in the community, so we’re proud to be able to support them and the charities, foodbanks and community groups they work with in Midlothian in their efforts to support those who may be struggling.”
Steve Butterworth, CEO of Neighbourly, added: “The impact of the cost-of-living crisis has intensified, meaning that the demand on foodbanks is continuing to increase, particularly during the school holidays.
“The donations from Aldi are a lifeline for many and provide the essential boost good causes need to continue supporting their local communities.”
The UK workforce expanded in the three months to February, driven by young people leaving full-time education and moving into work, but the longer-term problem of rising ill-health continues to worsen, the Resolution Foundation said in response to the latest ONS labour market statistics yesterday.
The UK workforce continued to expand in recent months, with employment up 170,000 on the quarter, and economic inactivity down 230,000. The fall in inactivity was driven by full-time students: the number of people inactive due to being a full-time student was down 180,000 on the quarter.
The labour market has loosened overall, with short-term unemployment (up to 6 months) rising by 52,000 to above normal pre-pandemic levels, and vacancies falling by 47,000 on the quarter.
Less encouragingly, inactivity among older workers aged 50-64 remains high – up 298,000 on pre-pandemic levels – while the number of people inactive due to ill-health rose to a record high of over 2.5 million.
Reversing this trend – which predated the pandemic – is a huge priority that is likely to take years to address, says the Foundation, and a key test of the new Health and Disability White Paper.
Nominal pay growth strengthened in February, driven by the gap between public-sector (5.3 per cent) and private sector (6.1 per cent) pay growth closing. However, with inflation still at double digits, pay packets continue to shrink in real terms.
Louise Murphy, Economist at the Resolution Foundation, said:“Britain’s workforce continued to expand in early 2023 as thousands of full-time students moved into work. But while the young entered work, but the old and sick did not. Reversing these trends are a major problem for policy makers across government to confront.
“Strong growth in the public sector has helped to close the gap in pay growth with the private sector. But the picture remains that almost all workers across Britain are seeing their pay packets shrink in real terms, which will continue for the foreseeable future.”
Commenting on the Resolution Foundation’s Low Paid Britain Report, which criticises the UK’s lack of decent sick pay, TUC General Secretary Paul Nowak said: “Nobody should be plunged into financial hardship if they become sick.
“But Britain has one of the most miserly sick pay rates in Europe.
“This is disproportionately punishing low-paid workers and leaving them without a safety net.
“We must fix our broken sick pay system by making statutory sick pay available from day one and raising it to the level of the real living wage.
“The lack of decent sick pay cost us dear during the pandemic. The government should have learned this lesson.”
On the need for a higher minimum wage and sector-wide fair pay agreements, Paul Nowak added: “Let’s not kid ourselves. Low-paid workers remain under huge financial strain.
“Energy bills have shot up by £67 a month and food prices are through the roof.
“It’s time to put an end to low-pay Britain once and for all. That means getting the minimum wage to £15 per an hour as soon as possible.
“And it means introducing industry-wide fair pay agreements so that all workers have a minimum set of pay and rights.”
An additional 200,000 Universal Credit claimants will be able to access quicker support with their mortgage from today
Support for Mortgage Interest loan scheme extended to 200,000 additional Universal Credit claimants in efforts to support more households with the cost of living
They will be able to access help towards mortgage interest on their home or certain home improvements worth up to £200,000 after three months on Universal Credit
Support will be automatically offered to qualifying claimants after three months on Universal Credit
Previously, claimants would need to have been unemployed for nine months before they could access a Support for Mortgage Interest loan, which helps them cover interest payments for a mortgage, or a home repairs and improvements loan, whilst they seek work.
Today’s reforms, which were announced in the Chancellor’s Autumn Statement, mean claimants will be able to receive the support after just three months of being on Universal Credit, and in another change they now do not have to be unemployed to do so. They will also be able to re-claim the support if they leave Universal Credit but return within six months.
Mims Davies, Minister for Social Mobility, Youth and Progression, said: “The fear of losing your home when you have fallen on difficult times is incredibly stressful and makes getting back on your feet all the more difficult.
“This increased support is an important lifeline to help provide stability for those who are seeking to find work and move back towards long-term prosperity.”
Support for Mortgage Interest loans will now be automatically offered to claimants by the Department for Work and Pensions (DWP) if they qualify after three months on Universal Credit – they do not need to do anything to receive this offer.
The loans are designed to help claimants with the interest on mortgages or loans for certain home improvements, such as repairs or improvements to keep their home habitable or to adapt them for people with disabilities, whilst they are on Universal Credit. Even if claimants reject the offer of a loan initially, as long as they are still eligible, they can start claiming it at any point.
The loan needs to be repaid when claimants sell their home, though no one will be asked to sell their home in order to repay it. If needed, claimants can contact the DWP about transferring the loan to a new home.
More widely, the Government is projected to have spent £28.5 billion supporting renters in 2022/23, whilst the Affordable Homes Programme, worth £11.5 billion, will deliver more affordable homes across the country, including tens of thousands for social rent.
The Government has also provided over £1.5 billion for Discretionary Housing Payments since 2012, whilst Local Housing Allowance rates were increased above inflation during the pandemic and have been maintained since to provide housing support to Universal Credit claimants.
Additional Information:
Support for Mortgage Interest loans are available for people on the following qualifying benefits:
New data reveals that Edinburgh North and Leith residents would be able to save an estimated average of £1,294 through Government-funded home insulation and heat pump installation
On weekends throughout February and March, Greenpeace Edinburgh spoke to people in Edinburgh about their energy bills, and the solutions to the cost of living and climate crisis.
Residents wrote eight messages to Deirdre Brock, MP for Edinburgh North and Leith, about their worries. These messages will be delivered next week, as part of the Warm This Winter mass lobby.
Local people also used the Affordable Energy Calculator [1] to see how much money they would save on their energy bills if our homes were well insulated and had cheaper, cleaner energy.
Carrie from Newhaven wrote: ‘Help to combat energy costs has helped but costs are still too high. Funding for new home-owners to help insulate windows is needed.’
Mark, a resident in North Edinburgh, wrote: ‘It would be great to see someone in the government stand up for lower energy bills and preparing homes for becoming sustainable and economical to maintain.’
Another local, Ros, wrote: ‘We need to prioritise those who need help during this time and make the cost of living crisis a lot more manageable than it currently is.’
Ian, a volunteer from Leith said: ‘The messages that people in Edinburgh North and Leith have written to Deirdre Brock MP show how people are still having to choose between heating and eating.
But it doesn’t have to be this way. We need the Government to commit more money for home insulation and heat pumps to make our homes warmer, our bills cheaper and our carbon emissions lower.’
Keeping the Energy Price Guarantee at £2,500 per month rather than raising it to £3000 is welcome but 7.5 million households in the UK will continue to be in fuel poverty from 1st April. If the Government makes the investment necessary to meet their currently unfunded 2030 targets for insulation, and support a UK heat pump programme, a typical UK home would see a difference of £1,832 a year, with savings ranging from around six hundred to several thousand pounds.
Data from the Affordable Energy Calculator shows that people in Edinburgh North and Leith could save an estimated average of £1,294 on their energy bills by 2030.
Hugh who lives in this constituency said: “‘I live in a rented flat in Leith and I was amazed to see that I would save £1,083 on my energy bill in 2030 if my home was properly insulated and was powered by a heat pump.
“I’d definitely recommend checking out the Affordable Energy Calculator to see how much you could save if the Government funded a UK-wide home insulation and heat pump programme.’
Ian added: “On 31st March, Greenpeace volunteers and other constituents have invited Deirdre Brock to meet as part of the Warm This Winter Coalition’s mass lobby.
“We are asking Deirdre Brock to pledge to call for the expansion of Government-funded home insulation schemes, heat pump installation, more investment in renewable energy, and further support for vulnerable households with their energy bills.
“If you live in Edinburgh North and Leith, we’d love for you to join us in inviting Deirdre Brock to meet, or if you live elsewhere, check out the online map [below] to see if a meeting has already been organised with your MP.”
Tommy Sheppard, MP for Edinburgh East, is hosting a free advice event with key local and national organisations to help constituents through the current cost of living crisis.
It will take place on Friday 31 March at The Ripple Project, 198 Restalrig Road South, Edinburgh EH7 6DZ, and will run on a drop-in basis from 11am to 1pm.
Representatives from Citizens Advice Edinburgh, Social Security Scotland, Home Energy Scotland, Age Scotland and the Edinburgh Food Project will be on hand to offer practical support and expertise on a range of issues including money and debt advice, welfare and benefits, energy costs, and personal finances.
Granton Information Centre also provides a weekly advice service for local people at The Ripple Project.
The advice event follows a similar one hosted by the SNP MP in October last year, which saw over eighty people attend from across the Craigmillar area.
It also comes as polling carried out by Survation in partnership with campaign group 38Degrees revealed the stark impact of rising costs imposed on households in recent months, with findings showing in Edinburgh East:
• 21% of people have missed rent payments in the last six months
• 32% of people haven’t been able to afford to turn the heating on
• 21% of people fear they may have to use a foodbank
Commenting, Tommy Sheppard MP said: “With each passing day, we see new figures which highlight how devastating this crisis is for households. I’m determined to do everything I can to support those who are struggling, and ensure they have the information they need to tackle the rising cost of living.
“From practical ways to save money on your energy bills to signposting you towards extra money you may be eligible for, the organisations invited have been chosen to cover a range of problems that ordinary families are facing right now.
“We shouldn’t need to have events like this, because our Government in Westminster ought to be doing something about it. Instead, at a time when households desperately need help, they are withdrawing vital support and imposing real-term cuts to incomes.
“That’s why it’s more important than ever that people know that help and support is available – I’d encourage anyone struggling with the cost of living to attend this free advice event.”
Jamie Gray, Centre Manager for Home Energy Scotland, added: “We’re looking forward to meeting and supporting lots of people at this cost of living event.
“With more people now worrying about their energy bills, our advisors will be there to give advice on ways you can reduce your energy use and save money on your bills. They will also be able to look at whether you would be eligible for any grants or funding that can help make your home more energy efficient which will lower your energy bills.
“If you aren’t able to make it along to the event, we can still support you. Just give us a call on 0808 808 2282 or email us via our website at homeenergyscotland.org/contact.”
CAN’T ATTEND FRIDAY’S EVENT?
GRANTON Information Centre holds weekly outreach surgeries every Thursday at the Ripple Project for people with an EH6/7/8 postcode.
To make an appointment to see Shannon at the The Ripple Project (Restalrig and Lochend Community Hub) please contact GIC on 0131 551 2459 or 0131 552 0458 or email appointments@gic.org.uk .
