The Welfare Experiences project is a ground-breaking international study comparing how people experience benefits in Estonia, Hungary, Norway, Spain, and the UK.It looks at how policies shape those experiences and, more importantly, what needs to change.
Inclusion Scotland is proud to be a co-production partner, bringing disabled people’s lived experience in Scotland into the spotlight. In 2024, we ran focus groups with our members about claiming Universal Credit.
This report shares what they told us. These are real stories that we aim to use to push for a fairer, more respectful benefits system.
The Welfare Experiences project is an ambitious, innovative project comparing the experience of receiving benefits in five different countries: Estonia, Hungary, Norway, Spain and the UK.
The project will be one of the first international comparisons of the experiences of individuals receiving public benefits. We are looking at the nature of these experiences, how different policies affect them, and their impacts – with the aim of making welfare systems work better.
The project runs from 2023-28 and is both mixed-methods and coproduced – find out more by looking at the Work Packages page, which explains what we are doing.
Our pan-European team includes eight different research organisations and seven organisations that work with people with lived experience of claiming – you can find out more about the Team here.
The WelfareExperiences project receives €3m of funding from the UK Research & Innovation Guarantee [EP/Y024621/1], having been selected by the European Research Council.
Change for the better happens when we stand together and demand it!
Join this free online meeting to talk about how we can mobilise people in your community for the Scotland Demands Better march.
Are you an activist? Do you want to campaign for a better Scotland?
Change for the better happens when people stand together and demand it.
Help us rally Scotland behind Scotland Demands Better—let’s fill the streets of Edinburgh on October 25th!
Scotland needs that change. Too many of us are being cut off from life’s essentials. Too many are frightened of what the future will bring. Too many of us are feeling tired, angry, isolated, and disillusioned.
Scotland Demands Better is a march and festival for all of us. It’s our chance to come together and demand that politicians make the changes we need for a decent society.
We demand better jobs for everyone who needs one, with fair conditions and wages that pay the bills.
We demand better investment for life’s essentials – like affordable homes, good public transport, a safe environment, and strong public services.
We demand better social security so that all of us have a foundation for the future.
We are hosting a series of ‘Get Organised’ meetings to support you to mobilise your communities to stand up and demand change.
This first meeting will be an opportunity to network with others who are supportive of the campaign. We will give an update on the campaign so far, discuss strategies to spread the word about Scotland Demands better and chat about what support we can offer you.
We are looking forward to seeing you there.
This meeting is for people interested in the campaign and activists, rather than organisations.
MPs voted by 335 votes to 260 to give the Universal Credit and Personal Independence Payment Bill their initial backing last night after rebel Labour MPs forced further concessions from the government.
The Government, gearing a humiliating defeat, said it would pause changes to PIP until a review has been carried out.
Despite the concessions, 49 Labour MPs, including local North and Leith MP Tracy Gilbert, voted against their government.
Ms Gilbert was one of only three Scottish Labour MPs to oppose the Bill.
It was chaotic, but campaigners today forced the govt to postpone PIP cuts from their welfare bill.
— Andy McDonald MP for Middlesbrough & Thornaby East (@AndyMcDonaldMP) July 1, 2025
45 MPs – 18 of these Labour – abstained or did not vote.
Labour Campaign for Socialism issued a statement after the vote:
Conservative leader Kemi Badenoch said: “This is an utter capitulation.Labour’s welfare bill is now a TOTAL waste of time. It effectively saves £0, helps no one into work, and does NOT control spending. It’s pointless.”
Ms Badenoch said that the Starmer government should ‘ditch the bill, do their homework, and come back with something serious’.
Scotland’s First Minister John Swinney said: “Labour’s behaviour towards people with disabilities is appalling.
“The chaos that Keir Starmer and Rachel Reeves have presided over has shown total contempt for the vulnerable. And Anas Sarwar has supported them all the way. Westminster is failing. Scotland deserves better.”
Anti-poverty campaign group Trussell said: ‘The government’s bill to cut disabled people’s social security is still proceeding, but with all cuts to PIP now set to be REMOVED. We applaud the power of disabled people, MPs, and community organisations like food banks who have tirelessly raised their voices and stood up for future of disabled people
‘The improvements to the bill agreed in recent days are the right thing to do and will protect hundreds of thousands of disabled people from being forced into severe hardship.
‘This bill should never have come before MPs. This was a chaotic and upsetting process that could have been avoided had this government stuck to its commitments to disabled people.
‘Deep cuts to Universal Credit still stand, and when MPs look at the amended Bill, they must ensure disabled people are protected from severe hardship ahead of their final vote next week. More than three quarters of people claiming Universal Credit and disability benefits have gone without essentials in the last six months.
‘We now have an opportunity to work together to build a more compassionate, effective, and fair system of social security for disabled people, and move towards a future without the need for food banks.’
Commenting on the Chancellor’s Spending Review, Poverty Alliance chief executive Peter Kelly said: “People in the UK are desperate for a government that delivers a just and compassionate country – and that’s one of the reasons so many voted for change at the last General Election. They will feel that today’s Spending Review falls short.
“There was a positive story to tell on capital spending and increased resources for health and housing are welcome and will have benefits for the Scottish Government too.
“But that story masks cuts to day-to-day spending in unprotected areas. We all rely on public services, but when libraries, buses and social care system see cuts, it will be people living on low incomes that feel that impact the hardest because they are more likely to use and rely upon those services.
“After 14 years of austerity, any spending cuts will drive living standards down further. We’ve been down that road before and it’s not what people voted for.
“This review also includes £5bn worth of cuts to social security for disabled people which are expected to push 400k people into poverty. It is completely unjust to see the UK Government once again try to balance the books on the backs of disabled people. That also has financial implications for the Scottish Government’s devolved social security benefits.
“After almost a year in power, we had expected the UK Government to take action on the two-child limit – an unjust policy that forces 80 children into poverty every single day. Thousands more children will be in poverty by the time the Chancellor considers the policy again at the Autumn Statement.
“It doesn’t have to be this way. We’d like to see the Government take a different road at the next budget – and make changes to their self-imposed fiscal rules and look seriously at the tax options being put forward by Tax Justice Scotland and our UK counterparts, so we can pay for the things our economy and society needs to function.”
Poverty Alliance: ‘People in Scotland are demanding better’
The NHS will deliver 100,000 additional GP appointments and Scotland will have a ‘best in UK’ cost-of-living guarantee, including the permanent abolition of peak rail fares, First Minister John Swinney announced as he set out a Programme for Government against a backdrop of global economic challenges.
Speaking one year since he was elected First Minister and one year before the end of this Parliament, Mr Swinney committed to a package of cost-of-living initiatives for households and businesses and a new Six Point Export Plan to unlock target markets.
He set out plans to strengthen the NHS with the delivery of extra GP appointments for key health risks such as high blood pressure, and 150,000 more NHS appointments and procedures, including a 50% increase in surgical procedures such as hip and knee replacements.
Key announcements include:
100,000 enhanced service GP appointments by March 2026 for key risk factors including high blood pressure, high cholesterol, high blood sugar, obesity and smoking as well as more than 150,000 extra appointments and procedures, including surgeries and diagnostic tests, and target cancer pathways to tackle backlogs against the 62-day referral to treatment standard
The cost-of-living guarantee which includes ongoing free prescriptions, eye exams, bus travel for 2.3 million people, free tuition for students and more than £6,000 in early learning and childcare support for each eligible child
ScotRail peak rail fares abolished and the general alcohol ban on ScotRail trains removed and replaced with time and location restrictions
Winter fuel payments for pensioners restored
A new Six Point Export Plan, with a focus on actions to unlock target markets, and showcase Scotland to global buyers
A national regeneration fund that will support at least 26 projects to renew and restore communities, with a focus on delivering more local jobs
More rights and stronger protections for tenants, helping deliver more than 8,000 affordable homes, including for social and mid-market rent, and removing barriers on stalled building sites with the potential to deliver up to 20,000 new homes
The First Minister said: “This Programme for Government is focused on providing the best cost-of-living support across the UK, as well as delivering a renewed and stronger NHS.
“When I became First Minister a year ago, I heard loud and clear people’s concerns about the NHS which is why I am taking serious action to ensure the NHS meets the needs of the public.
“This PfG also shows decisive action to protect Scotland’s economy and maximise our economic potential in the face of global challenges.
“It is being published earlier than usual, in part because it allows a clear year of delivery on the NHS and other public services, but also due to the scale of the looming economic challenge.
“It is a programme for a better Scotland, for a stronger NHS and a more resilient and wealthier Scotland. It is a Programme for Government that gets our nation on track for success.”
POVERTY ALLIANCE: Government programme misses need for fundamental change
Commenting on the Programme for Government, Poverty Alliance chief executive Peter Kelly said: “Many of today’s announcements are welcome, but the package doesn’t go far enough towards creating a just and compassionate Scotland where people have what they need to build a life beyond poverty.
“More and more people in Scotland believe the system is rigged against them and their families. And they’re right.
“Scrapping peak rail fares for good will help many people on low incomes, but many, many more are still being left with unaffordable buses that don’t meet their needs.
“It’s welcome that this programme turns its back on previous cuts to affordable homes, but we urgently need more investment to create a social housing programme that will bring the scandal of child homelessness to an end.
“Reversing the effect of the unjust two-child limit for households in Scotland is the right thing to do, but there was no sign of a pledge to raise the Scottish Child Payment – never mind raising it to the £40 a week that we know is needed to meet our legal child poverty targets.
“And it was good to hear the First Minister talking about sharing Scotland’s growing wealth more fairly, but the Government simply can’t do that without using its powers over investment and taxation.
“People in Scotland are demanding better, and they want a Scottish Govt that will make the big, fundamental changes that will empower households to build a better life for themselves and a better future for all of us.”
STUC: Scrapping peak fares is a victory for workers in Scotland
Commenting on the scrapping of peak rail fares within the Scottish Government’s Programme for Government, STUC Deputy General Secretary Dave Moxham said:“This is deeply welcome news that, whilst long overdue, shows the strength of campaigners and rail unions in demanding an affordable and accessible rail network that is fit for the future.
“This is a clear victory for workers in Scotland and it’s commendable the Scottish Government has listened to the voices of our movement – and listened to their own evidence – which showed the positive impact of scrapping peak fares.
“Peak fares were, simply put, a tax on workers that hit commuters directly in the pocket. We can now ensure we build an interconnected, cheaper and greener rail networks that puts people before profit and puts peak fares out of commission for good.”
Children First: First Minister missed another chance by not increasing Scottish child payment
Children First statement on Scottish Government Programme for Government
Mary Glasgow, chief executive of Children first, said: “We hoped the First Minister would bring bold, ambitious plans to tackle the crippling levels of child poverty in Scotland. Instead, the Programme for Government, while well-intentioned, lacked real action. The First Minister missed another chance to help families by not increasing the Scottish Child Payment to £40.
“While we recognise the Scottish Government’s commitment to eradicating child poverty, supporting whole families and improving mental health support for young people, we are deeply concerned that it lacks urgency and the necessary financial resources and policy ambition.
“Scotland is facing a childhood emergency. The children and families we support cannot wait another 12 months for yet another fresh approach.
“They need action now.”
ALBA Party: Scotland “won’t accept” the Scottish Government’s decision to omit independence from its Programme for Government, says Ash Regan
For the second year in a row First Minister John Swinney has failed to mention independence in his Programme for Government with the document not setting out any plans to give Scots a choice on their future in the remainder of the current Parliament.
The SNP were re-elected in 2021 promising a referendum would be held during the life of the current Parliament but after the Supreme Court ruled against the Scottish Parliament’s ability to do so the Scottish Government have taken no action to find a path to giving the people of Scotland a choice on their future.
Alba’s Ash Regan wanted to see First Minister John Swinney set out the actions his Government will take to advance the case for Scottish independence in the run up to next year’s Scottish Parliament elections. But she has hit out as the Government has confirmed today that the only action it will take in the next year will be the publication of another independence paper.
The Alba MSP says that the Scottish Government’s plan for how it intends to progress the case for Scottish independence should have featured “front and centre” of John Swinney’s plans and the failure to do so is a “missed opportunity.”
Last year, in his first ever PfG as First Minister, John Swinney did not make reference to independence when he addressed parliament and in his speech today he again failed to reference any actions his Government would take to help deliver independence.
Commenting Alba Party Holyrood leader Ash Regan MSP said: “Last year the word ‘independence’ was not mentioned once in the Programme for Government statement to Parliament. Since then we have witnessed consistent polling showing that at least half the country favour independence.
“The failure to put independence front and centre of today’s Programme for Government is a wasted opportunity. The people of Scotland are now ahead of the SNP when it’s comes to independence and that is why we have seen a separation of support for independence and support for the SNP.
“Scots want to see a drive towards governing competently again and focus to be put back onto the people’s agenda of health, the economy, jobs and the protection of women and children.
“The case for independence has never been stronger, it is now vital we see support for Alba Party on the list to ensure the SNP don’t see out another term of Parliament without taking action on independence.”
RCEM: Scotland’s Programme for Government a ‘missed opportunity’ to tackle UEC crisis
After enduring another challenging winter, Scotland’s Programme for Government has failed to deliver a tangible plan to address the emergency care crisis. That’s the response from the Royal College of Emergency Medicine after the First Minister, John Swinney, delivered a speech today (6 May 2025) which laid out his government’s key pledges for the final year of the Scottish Parliament’s current term.
Reducing time patients wait for treatment by delivering more than 150,000 extra appointments and procedures, including surgeries and diagnostic tests.
Ensuring more people can see their GP and get cared for in the community – reducing pressures in hospitals
Ensuring more people can be cared for at home, reducing pressures in hospitals by expanding the number of Hospital at Home beds to at least 2,000 by December 2026.
Mr Swinney’s speech coincided with the release of new data by Public Health Scotland which revealed in March, there was an average of 1,925 people waiting to be discharged from hospital, despite being deemed medically well enough to go home.
That’s the highest number of so called ‘delayed discharges’ for the month of March since guidelines changed in 2016.
This is often caused due to a lack of social care support. Therefore, the system grinds to a halt, with patients stuck in Emergency Departments, often on trolleys in corridors, facing extreme waits because there’s no in-patient beds available.
Today’s figures, which cover March 2025, also show:
120,143 people attended a major Emergency Department in Scotland – a 17.7% increase when compared to February.
One in three patients waited four hours or more in Emergency Departments, one in 9 waited eight hours or more, and one in 23 waited 12 hours or more.
While waits have slightly improved across the board when compared to February, they are significantly higher when compared to March 2018. The numbers waiting four hours or more has increased by 158%, the numbers waiting more than eight hours by 490%, and the numbers waiting more than 12 hours by 803%.
There was a total of 60,129 days spent in hospital by people whose discharge was delayed – a 2.5% increase compared to March 2024 (58,646).
Dr Fiona Hunter, Vice President of RCEM Scotland said, “Today’s Programme for Government is a missed opportunity. It was a moment to resuscitate emergency care but instead, we have been left without a tangible plan.
“You just have to simply look at today’s figures from Public Health Scotland to see the level of pressure our Emergency Departments our under – thousands of people waiting extreme and dangerous long stays, often on trolleys, in corridors, because there are no available beds on wards for them to move to.
“And let’s be clear – these aren’t just numbers, data, statistics. Each is a loved family member – mums, dads, grandparents, sons, daughters.
“While we welcome the government’s commitment to improving access to GPs, this can’t be done in isolation. Equal attention is needed at the ‘back door’ of hospitals – ensuring patients who are well enough to be discharged, can be, with the appropriate social care in place.
“Only then will our patients be able to move as they should throughout the hospital system, rather than experiencing significant delays.
“Our members and their colleagues will be deeply disappointed after enduring another challenging winter. It’s left us asking, when will Emergency Care become a political priority?”
Greens hail peak rail fares U-turn and call for cheaper buses
The Scottish Greens have welcomed the Scottish Government’s decision to finally take forward the Green policy of scrapping peak rail fares for good, and have called for action to make public transport cheaper across the board.
The policy was initially secured by the Scottish Greens through budget negotiations in 2023 before being dropped by the SNP in 2024.
In the 2025 budget the Greens secured a £2 bus fare cap that the Government has committed to rolling out as a regional pilot project by January 2026.
Speaking in the Scottish Government’s Programme for Government 2025-26 debate today at Holyrood, the party’s co-leader, Lorna Slater, said: “I am delighted that the Government has finally committed to the Scottish Green policy of ending peak rail fares for good.
“Earlier this year, they said they wouldn’t do it. They even voted against Green calls to do it. We’ve finally got there.
“More brave decisions are needed to make all public transport cheaper.
“The Scottish Government agreed to Green proposals for a £2 bus cap, only as a local pilot from January 2026, but people all across Scotland need cheaper buses now.
“Will the First Minister avoid the hesitation he showed over peak rail fares, get on with delivering another great Green idea: capping the price of bus fares in Scotland for good?”
Independent Age: No New Support for Older People in Poverty
Debbie Horne, Scotland Policy and Public Affairs Manager at Independent Agesaid: “Today’s Programme for Government announced no new support for older people in poverty.
“Making sure every pensioner in Scotland receives some winter heating support is very welcome, particularly for older people on lower incomes. However, there is more the Scottish Government should do to reduce the growing number of pensioners in poverty.
“With 156,000 older people across Scotland currently living in poverty – an increase of 30% the last decade – the need for a clear strategy to address this is more urgent that ever. Our polling shows that people of all ages in Scotland agree that a strategy to reduce pensioner poverty should be created – with 9 in 10 supporting the idea. Without one, people facing financial hardship in later life will continue to struggle to maintain even the most basic quality of life.
“Poverty at any age is extremely damaging to both mental and physical wellbeing. Our 2025 Index showed that nearly one in five (19%) older people in Scotland have a household income of under £15,000 a year and almost one in three (29%) older people in Scotland have skipped meals in the last 12 months.
“In a compassionate and wealthy society, this shouldn’t be the case. Both the UK and Scottish Governments need to take action. If the Scottish Government wants to make Scotland the best place to grow old and tackle the injustice of pensioner poverty it is essential they have a plan for doing so.”
UK Government decisions ‘hold back further progress’
New statistics show that child poverty in Scotland has fallen, in contrast to the rest of the UK.
Annual statistics published yesterday show that compared with the previous year’s statistics, relative child poverty in 2023-24 reduced from 26% to 22% in Scotland while absolute child poverty fell from 23% to 17%. UK Poverty statistics published today show levels of relative child poverty at 31% and absolute child poverty at 26%.
Modelling published today suggests that UK Government policies are “holding back” Scotland’s progress. It estimates the UK Government could reduce relative child poverty by an additional 100,000 children in 2025-26 if it heeded Scottish Government calls to end the two child limit, replicate the Scottish Child Payment in Universal Credit, remove the benefit cap and introduce an essentials guarantee.
This model does not take into account the UK Government’s own impact assessment of its welfare cuts announced on Wednesday , which states that they will leave an additional 250,000 people, including 50,000 children, in poverty.
Social Justice Secretary Shirley-Anne Somerville said: “Eradicating child poverty is the Scottish Government’s top priority and we are committed to meeting the 2030 targets unanimously agreed by the Scottish Parliament.
“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.
“Statistics published today show that, although we have not met the interim child poverty targets, the proportion of children living in relative poverty has reduced and year-on-year rates are now lower than they have been since 2014-15, while the proportion in absolute poverty has also fallen with the annual figure the lowest in 30 years.
“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 the UK Government are holding us back, and yesterday’s 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, which must call into question their commitment to tackling child poverty.
“I have already written to Work and Pensions Secretary Liz Kendall to seek reassurance about the purpose and direction of the UK Government’s Child Poverty Taskforce. The Taskforce’s credibility has been drastically undermined by the policies announced by the UKG in the past few days.”
Responding to yesterday’s official government statistics on child poverty John Dickie, Director of the Child Poverty Action Group (CPAG) in Scotland said: “These latest statistics show that Holyrood polices, especially the Scottish child payment, are working to shift the dial for children in Scotland in the face of poverty rising to record highs across the rest of the UK.
“It is obviously disappointing that progress falls short of the interim targets, but the statistics show that when government invests to support families then child poverty will fall.”
The latest figures show that in the single year 2023/24 22% of children were living in poverty against a target rate of less than 18%, but down from 26% in the previous year. The three-year average rate of child poverty between 2021 and 2024 was 23%, down from 24%.
Across the UK child poverty rose to a record high with 4.5 million (31%) now living in poverty. New analysis from Child Poverty Action Group (CPAG) shows child poverty will rise even higher under the current UK government – to 4.8m by the end of this parliament (2029/30) – unless it takes urgent action including scrapping the two-child limit in its forthcoming child poverty strategy and stepping back from benefit cuts.
The Child Poverty (Scotland) Act, passed in 2017 with the unanimous support of all the political parties, requires the Scottish government to ensure less than 10% of children are living in poverty by 2030/31.
Analysis published earlier this week by independent economists at the Fraser of Allander Institute concluded that “meeting the targets is still feasible but will require sizeable additional investment beyond what is currently proposed” and that “increases to the SCP (Scottish child payment) are the most effective tool available.”
The testimony of struggling parents backs up the picture painted by the new government data.
Lisa, a participant in Changing Realities, a participatory project documenting life on a low income, said: “The Scottish child payment has enabled me and my son to participate in more social and educational activities which normally we would have struggled to afford.
“It alleviates some of the financial pressure and gives me and my son more breathing space to enjoy life. The Scottish child payment has been a ‘game changer’ for me.”
Mr Dickie continued: “The message from the statistics, from the independent experts and from parents themselves is clear. The Scottish child payment is working to reduce poverty but a step change is needed in investment to meet child poverty targets.
“At the same time action is needed to boost earnings from work and reduce the housing and childcare costs that parents face.”
Commenting on the latest child poverty statistics, Mary Glasgow, chief executive of Children First said: “Failing to meet the interim target for reducing child poverty should be a wake-up call to everyone in Scotland. The slight decrease in child poverty doesn’t change the fact we are in the grip of a national childhood emergency.
“Behind these numbers are more than 200,000 children living in grinding poverty without the essentials who are going to bed hungry each night. Poverty has a devastating impact on children’s mental health, wellbeing, education and prospects that can last into adulthood.
“The First Minister says tackling child poverty is his number one priority. We urge him and his government to act now to invest in early help and support for families and to increase the Scottish Child Payment which is the most effective way to alleviate poverty. Children can’t wait.”
The latest child poverty statistics from the Scottish Government can be viewed here: Child poverty summary
Last year Children First worked with 1000 families struggling to make ends meet to provide financial wellbeing support.
If you are a parent or carer who is worried about money, call the Children First support line on 08000 28 22 33 or visit www.childrenfirst.org.uk/supportline to start a web chat.
AberlourChief ExecutiveSallyAnn Kelly OBE said: “Aberlour acknowledges the slight reduction in child poverty however is disappointed that the figures remain significantly above the interim target, highlighting the need for stronger efforts to meet the 2030/31 goal. Too many children in Scotland still grow up in poverty.
“Scottish Government actions, particularly the Scottish Child Payment, are beginning to make a difference. However, with looming financial uncertainty due to UK-level benefit changes, more action is needed over the next five years to sustain progress.
“Despite challenges, the target remains achievable if the Scottish Government prioritises investment, leverages all policy tools, and collaborates with the UK Government where necessary. Increased investment in social security, particularly a significant rise in the Scottish Child Payment, is essential.
“However, social security alone won’t lift families out of poverty long-term. It must be combined with action on housing, employment, childcare, and addressing the public debt crisis. Immediate support is needed for those in greatest need, alongside long-term strategies to build community capacity and create sustainable routes out of poverty.
“Scotland must move from managing poverty to preventing it. The First Minister must uphold his commitment to ending child poverty as a top priority. We cannot fail Scotland’s children.”
Save the Children Scotland’s Fiona King said: “Today’s child poverty stats show that positive policy choices, including the Scottish Child Payment are making a difference, but not nearly enough is being done to give all children a decent start in life.“
Campaigners say it’s not too late to end the injustice of child poverty
Responding to today’s figures on poverty and inequality in Scotland, Poverty Alliance chief executive Peter Kelly said: “People in Scotland want a compassionate country beyond the injustice of child poverty. Today’s figures finally confirm what we all feared – we are not on course to build that better future.
“In Scotland we have clear, legal targets to reduce child poverty that the Scottish Parliament approved unanimously. But with the interim targets now missed, it is vital that our politicians do more to turn their words and commitments into the fundamental action we need.
“Child poverty is shameful. It highlights that our social security system and economy are failing to deliver what we all need to build a better life and a better future. By allowing such levels of poverty to persist we are denying children their rights and undermining the social foundation that they need to thrive, develop their talents, and achieve their potential.
“But it’s not too late. There are concrete, practical things that the Scottish Government can do now to meet our legal child poverty targets in 2031. They can increase the Scottish Child Payment to £40 a week. They can invest in flexible, accessible childcare. They can expand free school meals. They can strengthen the public services that we all rely on. And they can work to build a well-being economy with good jobs, secure hours, and real Living Wages.
“We have choices to make in our country, about how we unlock our country’s wealth to investment in the common future. We must invest in policies like the Scottish Child Payment to invest in our children’s future. Together, we can build a Scotland beyond the injustice of needless poverty.”
Largest welfare reforms for a generation to help sick and disabled people who can and have the potential to work into jobs – backed by a £1 billion investment, unveiled by the Work & Pensions Secretary today
Work Capability Assessment to be scrapped and “right to try” work guarantee to be introduced in drive to tear down barriers to work
Changes will unlock work, boost employment, and tackle the broken benefits system to unlock growth as part of the government’s Plan for Change
Record £1 billion employment support measures have been announced ‘to help disabled and long-term sick people back into work’.
The new measures are designed to ensure a welfare system that is fit for purpose and available for future generations – opening up employment opportunities, boosting economic growth and tackling the spiralling benefits bill, while also ensuring those who cannot work get the support they need as part of the government’s Plan for Change.
This will end years of inaction, which has led to one in eight young people not currently in work, education or training and 2.8 million people economically inactive due to long term sickness – one of the highest rates in the G7.
The number of people receiving one of the main types of health and disability benefit, Personal Independence Payments (PIP), has also risen rapidly and is becoming unsustainable.
Since the pandemic, the number of working-age people receiving PIP has more than doubled from 15,300 to 35,100 a month. The number of young people (16-24) receiving PIP per month has also skyrocketed from 2,967 to 7,857 a month. Over the next five years, if no action is taken, the number of working age people claiming PIP is expected to increase from 2 million in 2021 to 4.3 million, costing £34.1 billion annually.
All this has driven the spiralling health and disability benefits bill, forecast to reach £70 billion a year by the end of the decade, or more than £1 billion a week. This is equivalent to more than a third of the NHS budget, and more than three times as much as is spent on policing and keeping communities safe.
Speaking in Parliament today, Liz Kendall announced a sweeping package of reforms to overhaul the system, so it better supports those who need it while tearing down barriers to work including:
Ending reassessments for disabled people who will never be able to work and people with lifelong conditions to ensure they can live with dignity and security
Scrapping the controversial Work Capability Assessment to end the dysfunctional process that drives people into dependency – delivering on the government’s manifesto commitment to reform or replace it
Providing improved employment support backed by £1 billion – one of the biggest packages of employment support for sick and disabled people ever – including new tailored support conversations for people on health and disability benefits to break down barriers and unlock work
Legislating to protect those on health and disability benefits from reassessment or losing their payments if they take a chance on work.
To ensure the welfare system is available for those with the greatest needs now and long into the future, the government has made bold decisions to improve its sustainability and protect those who need it most, including:
Reintroducing reassessments for people on incapacity benefits who have the capability to work to ensure they have the right support and aren’t indefinitely written off.
Targeting Personal Independence Payments for those with higher needs by changing the eligibility requirement to a minimum score of four on at least one of the daily living activities to receive the daily living element of the benefit, in addition to the existing eligibility criteria.
Rebalancing payment levels in Universal Credit to improve the Standard Allowance. Raising it above inflation by 2029/30, adding £775 annually in cash terms.
Consulting on delaying access to the health element of Universal Credit until someone is aged 22 and reinvesting savings into work support and training opportunities through the Youth Guarantee.
Prime Minister Keir Starmer said: “We inherited a fundamentally broken welfare system from the previous government. It does not work for the people it is supposed to support, businesses who need workers or taxpayers who foot the bill.
“This government will always protect the most severely disabled people to live with dignity. But we’re not prepared to stand back and do nothing while millions of people – especially young people – who have potential to work and live independent lives, instead become trapped out of work and abandoned by the system. It would be morally bankrupt to let their life chances waste away.
“When I talk about opportunity for all, I mean it. That’s why we are bringing forward the biggest changes to the welfare system in a generation and improving support for those who need it. Ensuring those who can work do work is not only right, but it will also improve living standards and drive growth, the number one priority in our Plan for Change.”
Work and Pensions Secretary Liz Kendall said: “Our social security system must be there for all of us when we need it, now and into the future. That means helping people who can work to do so, protecting those most in need, and delivering respect and dignity for all.
“Millions of people have been locked out of work, and we can do better for them. Disabled people and those with health conditions who can work deserve the same choices and chances as everyone else.
“That’s why we’re introducing the most far-reaching reforms in a generation, with £1 billion a year being invested in tailored support that can be adapted to meet their changing circumstances – including their changing health – while also scrapping the failed Work Capability Assessment.
“This will mean fairness for disabled people and those with long term health conditions, but also for the taxpayers who fund it as these measures bring down the benefits bill.
“At the same time, we will ensure that our welfare system protects people. There will always be some people who cannot work because of their disability or health condition. Protecting people in need is a principle we will never compromise on.”
In her statement to Parliament, the Work and Pensions Secretary outlined the clear case for change to the welfare system and set out her commitment to ensuring that disabled people and those with a health condition have the same opportunities to work as anyone else.
In particular, she highlighted that the UK has one of the highest reported rates of working-age people out of work due to ill health in Western Europe and the UK is the only major economy whose employment rate hasn’t recovered since the pandemic – exacerbated by a broken NHS with millions of people on waiting lists.
The government has already made huge progress to fix the NHS, including by hitting the manifesto commitment to deliver over two million extra elective care appointments seven months early, and bringing forward a wider programme for NHS reform through the rollout of community diagnostic centres and 10-year plan. The Health Secretary has also sent crack teams spearheaded by top clinicians into areas of high economic inactivity, and the latest data shows waiting lists in these areas have reduced at almost double the rate of the rest of the country.
The reformed system will be built on a straightforward guarantee: any disabled person or person with a long-term health condition who is claiming out of work benefits will be able to access high quality, tailored help into a job. It will also mean that those who cannot work will always get the support they need. In Scotland and Wales, we will work closely with the devolved governments as we develop this package of support.
The reforms are based on five key principles:
Protecting disabled people who can’t and won’t ever be able to work and supporting them to live with dignity by:
Income Protection: Those currently in receipt of UC health will benefit from the increased standard allowance and will not be affected by plans to reduce UC health in future.
Extra Financial Support: For people who receive the new rate of UC health in the future system, we are proposing a new premium for individuals with severe, life-long health conditions who will never be able to work. The details, eligibility criteria and rate of this premium will be set out in due course.
Ending Reassessments: Reassessments for disabled people and people with life-long conditions who will never be able to work will be scrapped.
Improving Safeguarding Practices: The government will look at how safeguarding practices for the most vulnerable can be improved and improve experiences with the system, working with stakeholders to identify areas for improvement.
Delivering better and more tailored employment support to get more people off welfare and into work. This includes:
£1 Billion employment package to deliver tailored support for disabled people and those with long-term conditions.
New Support Conversations to provide earlier opportunities for people with health conditions to discuss work goals and available help.
Investing in the Youth Guarantee by delaying access to UC health element until age 22 and reinvesting savings into work support and training for young people.
Stopping people from falling into long-term economic inactivity through early intervention and support by:
Access to Work Scheme: We will consult on improvements to help people start and stay in work with reasonable adjustments including aids, appliances and assistive technology. These would be the first substantive changes to Access to Work since its introduction in 1994
Unemployment Insurance: We will reform contributory benefits (ESA and JSA) into a single, non-means tested, time-limited benefit for those who have paid into the system to ensure people get the support they need to find a new job that makes the most of their skills, contributing to a dynamic and productive economy.
Restoring trust and fairness in the system by fixing the broken assessment process that drives people into dependency on welfare by:
Scrapping the WCA to end the labelling of people as either ‘can or can’t work’ and consulting on a new single assessment. Under the new system, any extra financial support for health conditions (including PIP, ESA or UC health) will be assessed via a new single assessment which will be based on the PIP assessment – considering on the impact of disability on daily living, not on capacity to work.
Increasing Face-to-Face Assessments for PIP and the WCA to improve the quality of assessment decision while ensuring we continue to meet the needs of those with who may require a different method of assessment.
Longer term reform of the PIP Assessment – In the long term we will set out broader reforms to the PIP assessment, and intend first to carry out a review involving experts and stakeholders to adapt and improve it.
Right to Try Guarantee: which will ensure someone trying work or on a pathway towards employment will never lead to an immediate reassessment or award review.
Restarting Mandatory Reassessments: We will reintroduce reassessments for incapacity benefits, with exceptions for those who will never work and those under special rules for end-of-life care. Reassessments have largely been switched off since 2021, leaving people stuck on benefits when they could be helped into work and to improve their quality of life.
Ensuring the system is financially sustainable to keep providing for those who need it most by:
Changing PIP Eligibility: PIP will be targeted more on those with higher needs by requiring a minimum of four points on one daily living activity, in addition to the existing eligibility criteria.. DWP will work with DHSC to ensure that existing people who claim PIP who may no longer be entitled to the benefit following an award review under new eligibility rules have their health and eligible care needs met. The government is consulting on how best to achieve this.
Rebalancing Universal Credit: by improving the Standard Allowance to provide more adequate support. The government plans to raise the Standard Allowance above inflation by 2029/30, adding £775 in cash terms annually. This aims to avoid people having to choose between employment or adequate financial support. This change addresses the current issue where the health element rate is double that of the standard allowance, creating an incentive for people to prove they are unfit to work to claim the health element and access greater financial support.
Helen Barnard, director of policy at Trussell, said: “We’re deeply concerned by the cuts announced to disability payments today.
People at food banks have told us they are terrified of how they might survive. We welcome the positive proposals from the Department for Work and Pensions to boost the basic rate to Universal Credit and invest in employment support. However, we fear these steps will be undermined by a Treasury drive to make short-term savings.
“Huge cuts risk pushing more disabled people to the doors of food banks, and will have devastating consequences for us all. The UK government was elected on manifesto pledges to end the need for emergency food parcels. This isn’t what people voted for.
“Disabled people are already three times more likely to face hunger, and three quarters of people at food banks are disabled or live with someone who is. Our social security system should be rooted in justice and compassion, able to be there for us all, especially when we need it most.
“This isn’t a done deal. With at least a year before any cuts come into force, there’s still time for the Prime Minister and Chancellor to rethink and make good on today’s promise to restore trust and fairness in the social security system.”
The TUC said: ’11 General Secretaries of our trade union affiliates have written to the government to raise “profound concerns” about today’s welfare cuts targeted at disabled people. The labour movement must stand together with campaigners, charities & carers to resist”
Responding to today’s statement by Liz Kendall MP, Poverty Alliance policy & campaigns manager Ruth Boyle said: “People in the UK are desperate for a government that delivers a just and compassionate country.
“They want to see an end to deepening poverty, debt, destitution, and hunger in their communities. Many will be distressed, disappointed, scared, and angry at today’s announcements.
“The plans to cut the health element of Universal Credit are wrong and unjust. Cutting vital financial support to disabled people won’t help them into paid work – but it is likely to move them towards poverty.
“Equally unjust is the idea of making it virtually impossible for under-23s to get Universal Credit health support. The Government is punishing young people who aren’t fit for work simply because of their age.
“These changes are driven by a desire for financial cost savings, rather than helping people access the support they need. Positive proposals like personalised support to help people into work and a Right-to-Try will be undermined by cuts which force people into further and deeper poverty.
"The plans to cut the health element of Universal Credit are wrong and unjust. Cutting vital financial support to disabled people won't help them into paid work – but it is likely to move them towards poverty." https://t.co/gLnkE8FNAkpic.twitter.com/CZAIn0O6kL
— The Poverty Alliance (@PovertyAlliance) March 18, 2025
“Personal Independence Payments are a vital part of the social security system, and even though we have a replacement Adult Disability Payment in Scotland, there are still many people here who are on PIP.
“These social security benefits support people’s basic freedom – whether they are in work or not. They help cover some of the extra living costs that are forced on disabled people. The Government now plans to make it harder for them to get that vital support, denying them a full place in society, and undoubtedly pushing many towards debt and destitution.
“We urge the Scottish Government to maintain its commitment to justice and compassion, and to make sure the Adult Disability Payment still supports the freedom and rights of disabled people.
“It is shameful to try to balance the books on the backs of disabled people and households that are already struggling to keep their heads above water. Instead, the Government should do the responsible thing and use their tax powers to unlock our country’s wealth for investment in a strong social foundation.
“And they can scrap their self-imposed fiscal rules with a plan to help everyone build a better life for their households, and a better future for our country.”
Commenting on the Green Paper’s plans for social security reform announced by the government today (Tuesday), TUC General Secretary Paul Nowak said: “During 14 years of Tory failure, too many people were written off. Millions of workers have been left without proper support to move into work or progress in good jobs, and too many people with disabilities or ill health have not had access to the support they need.
“But change must be done in the right way. While we welcome the decision not to freeze PIP, this package will still lead to significant cuts in entitlements for some disabled people.
“As well as ensuring that those with the most severe disabilities are protected, we urge ministers to reconsider the scale of proposed cuts in disabled people’s incomes.
“Disabled people who are unable to work must not be pushed further into hardship.”
Commenting on the Green Paper’s wider proposals, Paul added: “Action to boost access to quality employment programmes and ensure that Jobcentre work coaches can provide quality and meaningful support is welcome. As too are proposals to strengthen contributory benefits.
“This needs to be accompanied by ongoing investment in the NHS, including mental health services. Better healthcare can transform lives.
“The government’s plan to Make Work Pay is also crucial to driving up the quality of jobs in Britain and ensuring more people have access to decent work.”
Transport union, RMT has criticised Labour’s decision to cut welfare spending by up to £5bn by 2030.
Eddie Dempsey RMT general secretary said: “Welfare cuts target people who rely on support to survive, including disabled people, carers, the unemployed, and those in insecure work.
“For the past 40 years our economy has been marked by low investment, wage suppression and super-high profits.
“Our economy needs to be fundamentally restructured so we can invest in housing, infrastructure and services to create well paid jobs and provide an adequate safety net for those who fall on hard times.
“There is an enormous amount of wealth in this country and the Labour government should be using the economic levers at their disposal to capture it from the rich.
“Billions could be recouped by the treasury through levies on wealth, the closure of tax loopholes, and extracting excess corporate profits.
“RMT stands with all in our working-class communities, including the disabled and unemployed.”
OXFAM Scotland tweeted: ‘Just a reminder there’s no shortage of money in the UK, just a shortage of political will to go out & tax it.
‘While more people risk being locked into hardship/deeper poverty, the ballooning bank balances of the UK’s richest millionaires/billionaires get off virtually scot-free’
The Disability Policy Centre’s Interim Director of Research, Arun Veerappan, response to the Government’s release of the Green Paper this afternoon.
Green MSP slams Labour betrayal of disabled people and calls on MPs to fight back
Scottish Green’s co-leader and MSP for Lothian region Lorna Slater is calling on Labour MPs to fight back on the inhumane cuts that the UK government are proposing to hit their fiscal targets.
In the Westminster government’s latest controversial move, it has announced a package of changes expected to affect some of the UK’s most severely disabled people. The measures will deny benefits for thousands of people across the country.
Lorna Slater MSP for Lothian region said: “These cuts will make a cruel and dehumanising system even more brutal than it already is. They will spread pain and misery across every community.
“ This decision is immoral. You can’t cut £5 billion of support without causing real harm to disabled people.
“ None of this is inevitable. Labour could choose to bring in a wealth tax that collects a fair and justified share from the richest people to invest in the services we all rely on.
“Labour are doubling down on the Tory idea that you can work your way out of disability. They are sending a cruel and dangerous message that only people who can boost our economy are worth supporting. They promised an end to austerity, but this goes even further than anything that the Tories ever dared.”
“The fact that they are choosing to punish the people with the least tells us everything we need to know about Labour’s values. The millions of people who waited 14 long years to get rid of the Tories deserve so much better than this.”
‘Cuts to benefits announced today have clearly been motivated by a desire to make short-term savings to meet arbitrary fiscal rules, says New Economics Foundation’s Head of Social Polict Tom Pollard.
‘They’re not going to help ill and disabled people, they’re only going to create more problems.’
Former Labour Party leader and now Independent MP Jeremy Corbyn said: “This is a seminal moment: a Labour government cutting disability benefits. Not just continuing Tory levels. Cutting.
“This comes after a week of speculation, itself an act of cruelty by a government toying with people’s dignity. These cuts are disgraceful – and will cost lives.”
Scope charity commented: “These plans will be catastrophic for disabled people’s living standards. Nearly half of families living in poverty already include someone who is disabled. Now the government is choosing to penalise some of the poorest people in our society.
“We welcome the investment in tailored, non-compulsory employment support. But ripping £5 billion out of the benefits system by 2030 will completely undermine this positive step.
“Countless disabled people, charities, MPs, and experts are urging the government to think again. And we’re not backing down. The consultation is likely to receive an overwhelming response. We urge the government to listen to disabled people and think again.
“Over the coming days, we’ll analyse all the details in the government’s plans. We’ll then share more information about what these changes mean and who could be affected as soon as we can. We’ll also share ways you can have your say in the consultation.
‘This is an especially worrying time for many disabled people. If you’re concerned about these changes, you can contact our helpline for advice and support.
Call us free on 0808 800 3333, or visit our website for more ways to get in touch:
‘If you need to talk to someone about how you’re feeling, day or night, Samaritans are here to help. Call 116 123 for free, or visit their website https://samaritans.org “
Money and Mental Health response to government welfare green paper
Today the government has published its welfare green paper, which outlines its proposals to reform the welfare system.
In particular, the green paper sets out plans to make it harder for people to qualify for Personal Independence Payments (PIP) — a benefit which people with disabilities and long-term ill-health can claim to help cover the extra costs associated with their disability, and which is not connected to work. In addition, people aged under 22 will not be able to qualify for the health top-up element of Universal Credit.
The government has also announced £1bn additional funding for personalised employment support to help people with disabilities move into work, and that people receiving benefits will be given a “right to try” work without losing their benefits entitlement.
Commenting on the proposals, Helen Undy, Chief Executive of the Money and Mental Health Policy Institute, said:“PIP is an absolute lifeline for thousands of people with mental health problems.
“It can be the difference between being able to afford basic things like a phone to call your crisis team or help to clean your home, or living in disarray and increasing isolation. Making it harder to access will jeopardise people’s financial security and cause serious distress, which won’t set up people to go back into work and to thrive.
“These changes will mean that needing help to wash or get dressed because of your mental health wouldn’t be enough to qualify for PIP. The government says it will ensure people with ‘genuine need’ aren’t affected, but we’re really concerned that these new reforms will take us further back to the days when people with mental health problems were treated as less worthy of help than those with physical health issues.
“The new ‘right to try’ a job without losing the benefits is welcome, as is the funding for personalised employment support for people with disabilities or health conditions. But introducing these measures alongside cuts to PIP and stopping young people from getting incapacity benefits will do more harm than good.
“It is a short sighted approach that will have a devastating impact on many people’s finances and mental health, and we urge the government to rethink these plans.”
Mikey Erhardt, Policy Officer at Disability Rights UK, said: “The minister stood up today and made clear that, after months of rumours, media speculation and spin, these reforms are not about supporting Disabled people into work, but making brutal and reckless cuts of £5 billion. That is up from £3 billion just a few weeks ago.
“The rise in claims is driven by the increase in the retirement age, record NHS waiting lists, inadequate education and mental health support for young Disabled people and a complete failure to tackle the disability employment and pay gaps. Yet the government has decided to create a rhetorical smokescreen around the depth of cuts it’s going to make.
“The government intends to bar young Disabled people from receiving the Universal Credit health component until they are 22. That is alongside their promise to significantly increase assessments at scale without making the assessment process safer for those going through the system right now.
“These measures mark dangerous cuts for all Disabled people. Furthermore, altering the PIP award criteria will make it harder for those who need support to qualify.
“The minister’s assertion that 1000s more face-to-face assessments will be more accurate is laughable; we know that in-person assessment causes more stress and worry and often leads to inaccurate findings from assessors.
“Let’s be clear: there is nothing ambitious about cutting support from those who need it and that’s what today’s announcements were really about. Rising claims for personal independence payment reflect not a problem with Disabled people but rather reflect successive government’s failure to do even the bare minimum to create a more equitable society.”
Mental Health Foundation responded:
Responding to the Government’s proposed changes to welfare and work announced today, Carers Trust’s CEO, Kirsty McHugh, said:“In the midst of today’s announcements on welfare reform, we cannot lose sight of the nation’s carers. Two-thirds of carers have been forced to give up work or cut back on hours because of their caring role.
“Many would like to work if they were able to access flexible jobs and the right employment support – sadly this is rarely on offer. But for many carers, work isn’t an option – either because of the toll of their caring role or their own ill health.
“Proposals to tighten eligibility criteria for benefits will strike fear into the heart of many carers. Around half a million carers look after someone receiving Personal Independence Payments (PIP), and nearly 150,000 people rely on both PIP and Carer’s Allowance.
“Disabled people and their carers are already among the most vulnerable in our society and more likely to live in poverty. Reducing their access to a financial safety net could push them over the edge.
“Carers already prop up our ailing health and social care system and we cannot introduce welfare changes that leave carers again picking up the pieces. We therefore welcome the commitment in the Green Paper to consider the impact of these changes on carers.”
The public will be invited to submit their views on how to make the Council Tax system fairer, as part of wider efforts to explore options and build a consensus for potential reform.
As part of a joint programme of engagement by the Scottish Government and COSLA, independent analysis will also be commissioned to examine the Council Tax system accounting for market changes, reforms, and improvements.
This will inform public engagement later this year, followed by a Scottish Parliament debate on the findings and proposed policy reforms.
Finance Secretary Shona Robison said: “Partnering with COSLA, we want to examine ways to make Council Tax fairer, which will help to continue to deliver better public services across Scotland.
“By working closely with local authorities and listening to the public, we will be seeking a consensus on a local taxation system that is fairer, financially sustainable and fits a modern Scotland.”
COSLA Resources Spokesperson Cllr Katie Hagmann said: “Local Authorities wish to see a fair and proportionate Council Tax, which benefits people and communities.
“COSLA is looking forward to working with the Scottish Government on a programme of engagement with the public, with the shared goal of achieving a better, fairer system of local taxation.”
Poverty Alliance chief executive Peter Kelly said: “People across Scotland want local services that support a just and compassionate society. We need a fair system of local taxation to support those local services. The unjust and regressive council tax is simply not up to that job.
“We have been waiting for years for political leaders to take responsibility to bring in a progressive system of local taxes that will ease the burden on low income households and raise the investment needed for public services.
“There have been manifesto promises, consultation after consultation, and an independent commission. Now we have yet another deliberation process between the Scottish Government and Cosla.
“Scotland can no longer wait. The Poverty Alliance has been giving evidence for years on how council cuts are hitting people on low incomes the hardest.
“This consultation must lead to real and substantial change – not only to fairly fund the local services we all need, but to rebuild trust in our political process.
After years of broken promises on changing local tax, the time for action is now.”
Programme of engagement:
Expert and independent analysis will be commissioned, including to provide high level analysis and modelling on alternative scenarios and reforms of the system.
Following that, a range of activities to seek the views from a wide range of people from across Scotland will be undertaken, consisting of three key elements:
A formal public consultation process.
A number of public events or ‘town hall’ meetings held over the autumn months, ensuring a reasonable geographical spread and diversity.
A set of focused discussions with key stakeholders and experts.
The public engagement will aim to capture a wide spectrum of opinions and considered responses, ensuring a diverse range of perspectives, including representation from those paying Council Tax across different bands.
The 2025-26 Budget will deliver progress for the people of Scotland, with a record increase in frontline NHS spending, and plans to lift 15,000 children out of poverty by mitigating the UK Government’s two-child limit from 2026.
Setting out the Budget to Parliament, Finance Secretary Shona Robison said the government had listened and would now act on the priorities of people, businesses and organisations across the country – delivering progress for Scotland, by Scotland.
The 2025-26 Budget includes:
a record £2 billion increase in frontline NHS spending taking overall health and social care investment to £21 billion to reduce NHS waiting lists, making it easier for people to see their GP, and progress the Belford Hospital, Monklands Hospital and Edinburgh Eye Pavilion projects
funding for universal winter heating payments for older Scots, and investment to allow the mitigation of the two-child cap from 2026
tax choices that freeze income tax rates, increase the Basic and Intermediate rate thresholds to put more money in the pockets of low and middle-income earners, and provide business rates relief for hard-pressed local pubs and restaurants
a record £15 billion for local government to support the services communities rely on and £768 million to provide 8,000 more affordable homes
£4.9 billion of action on the climate and nature crises to lower emissions and energy bills, protect the environment, and create new jobs and opportunities
a real-terms uplift of 3% for spending on education and skills to maintain teacher levels and invest in school infrastructure, as well as new funding to put more breakfast clubs in primary schools
a £34 million uplift for culture in 2025-26
The Finance Secretary said: “I am proud to present a budget that delivers on the priorities of the people of Scotland.
“Parliament can show that we understand the pressures people are facing. We can choose to come together to bring hope to people, to renew our public services, and deliver a wealth of new opportunities in our economy.
“This Budget invests in public services, lifts children out of poverty, acts in the face of the climate emergency, and supports jobs and economic growth.
“It is a budget filled with hope for Scotland’s future and I look forward to working with all parties in Parliament to secure agreement around its provisions.”
£6.9 billion total investment in social security, including the Scottish Child Payment
almost £4.2 billion across the justice system in 2025-26, including £1.62 billion for policing to support capacity and capability, £881.1 million for prisons, including £347 million for the prison estate to deliver HMP Glasgow and HMP Highland, and £159 million for community justice services to support the wider use of community interventions
over £2.6 billion towards public transport to support bus, rail and ferry services and increases the dedicated funding available to the four councils operating their own ferry services to £50.3 million
over £660 million for rural communities to support the crucial contribution of Scotland’s farmers, crofters and the wider rural economy
almost £90 million to protect, maintain and increase our woodlands and peatlands, to restore more than 15,000 hectares of degraded peatland and ensure the creation of more than 11,000 hectares of woodland across Scotland
a £34 million uplift for culture in 2025-26, building on the £15.8 million increase in the last Budget to take the total incremental increase in culture funding to almost £50 million – the halfway point in our commitment to increase funding to culture and the arts by £100 million more annually by 2028-29
£6 million for the National Islands Plan to deliver infrastructure projects designed in partnership with islanders to support successful and resilient island communities
protection for free tuition and a 3.5% increase in total investment in Higher Education, compared to a 3.08% increase in university funding in England
Ben Macpherson MSP has welcomed the Scottish Government’s budget commitment to provide significant additional funding for the Granton Waterfront regeneration project, with a long-term agreement to be formalised in 2025.
Having spoken regularly about Granton in the Scottish Parliament this year, and previously, to promote the area as a strategic development site for Edinburgh and Scotland as a whole, Ben Macpherson MSP is delighted that the Scottish Government has committed financial support to significantly progress the City of Edinburgh Council’s ambitions plans.
The budget statement by Shona Robison MSP included: “I can confirm today that we will be working with Edinburgh City Council to unlock over 800 new, net zero homes at their Granton development site.”
In the Scottish Parliament, during the Budget statement and question session, Ben Macpherson MSP for Edinburgh Northern and Leith said: “As the local constituency MSP, I believe passionately in the significant potential for the development of Granton Waterfront to help tackle Edinburgh’s housing challenges, to transform the northern part of our capital city for the common good, and to deliver economic growth, new opportunities and multiple positive benefits for existing communities and our country more broadly – that’s why I have worked constructively to highlight all of this to Ministers, and am therefore delighted and grateful that the Finance Secretary has committed to working with City of Edinburgh Council to deliver 800 more homes.
“Can the Finance Secretary say more about the Scottish Government’s commitment to the development of Granton Waterfront – as a strategic site – and the positive impact this will deliver for the people of Northern Edinburgh and Scotland as a whole?”
The Cabinet Secretary for Finance, Shona Robison MSP, replied: “Ben Macpherson is absolutely right, the Granton Waterfront development is a big deal for Edinburgh, and we will work with Edinburgh Council over the coming months and hope to announce a deal on the detail early in the 2025-26 financial year to support this multi-year project.
“And I talked in my statement about it unlocking 800 new net-zero homes of mixed types and tenures but also sustainable transport links and placemaking initiatives.
“This can be a gamechanger for Edinburgh and I am very acutely aware of the housing need in Edinburgh, and I think this will go a long way to helping as part of this solution.”
Ben Macpherson MSP for Edinburgh Northern and Leith, added: ““This is a very significant step forward towards tackling Edinburgh’s housing emergency and realising all of North Edinburgh’s remarkable potential.
“I have passionately and consistently supported the regeneration of Granton Waterfront throughout my time as the MSP for Edinburgh Northern and Leith, and have worked to be a constructive link between the Scottish Government and the City of Edinburgh Council in this collective endeavour.
“The vacant and derelict land in Granton has the potential to be transformed into a new residential hub and a destination to visit for locals and tourists alike – just like in Dundee and other waterfront cities across the world. It is fantastic that the Scottish Government has committed to this vision and given pivotal financial backing to make it happen!
“Edinburgh continues to face significant, various housing challenges and building more affordable homes is crucial in helping to tackle this. With Scottish Government support, the development plans for Granton will deliver transformational change to benefit the local area and the wider economy.
“It has been a consistent priority since my election to promote and deliver more affordable housing in Northern Edinburgh – as well as accompanying infrastructure and facilities in the area, like cultural and creative hubs, opportunities for small businesses to thrive, and key services such as schools and health centres – and I look forward to seeing the development of Granton benefit the people of Edinburgh in the years ahead, and the additional investment and opportunities that will be created.”
BUDGET REACTION:
Responding to today’s Budget statement by the Finance Secretary, John Dickie, Director of Child Poverty Action Group (CPAG) in Scotland, said: “The Finance Secretary is absolutely right to mitigate the two-child limit in the absence of abolition at UK level.It’s a pernicious policy that pushes 15,000 children into poverty in Scotland alone.
“Investing in social security for families is key to delivering on the First Minister’s number one priority of eradicating child poverty.
“The devil will be in the detail and families really can’t wait until 2026 to see their incomes boosted, so an above inflation increase to the Scottish child payment is still needed in the meantime.
“But there is no question this is the right focus for prioritising spend. We need the UK government take the same approach to investing in family benefits as a matter of utmost urgency.”
CHILD POVERTY ACTION GROUP
COSLA
Responding to today’s Scottish Government draft budget, Poverty Alliance chief executive Peter Kelly said: “The two-child limit is a huge injustice that has no place in a compassionate society – because every child matters and every child should get support they need.
“We welcome the Scottish Government’s proposals today, and we hope that the UK Government works positively and quickly to get this extra support to households with children. We hope it adds to the pressure to scrap the two-child limit across the UK.
“With record numbers of children in temporary accommodation, additional investment in affordable homes and homelessness prevention is necessary and welcome. But we know that more social homes are needed to tackle the housing emergency in Scotland – meeting that challenge requires further investment.
“Many of our members have called for the Scottish Government to make up the difference for pensioners who have had Winter Fuel Payments taken away from them. They will welcome today’s plans.
“We have worked directly with people who are forced to live on a pittance by the unjust UK asylum system, and we supported their campaigns for free bus travel. It is welcome that the Scottish Government have allocated to funding to that proposal, which will increase their freedom to build a life beyond poverty and take part in society. We hope this is the start of a move to provide bus passes to more people – starting with those eligible for benefits.
“But we can do more. There are around 240,000 children in poverty in Scotland. We need to go further and faster if we are going eradicate child poverty.
“That means more immediate support through the Scottish Child Payment and using our powers over tax and investment to build a stronger society for all of us – especially people in poverty.”
POVERTY ALLIANCE
SAVE THE CHILDREN SCOTLAND
SCVO
SCOTTISH HOSPICES
“Today @scotgov announced £768m to buy or build 8k affordable homes next year. It is a sign it’s taking the housing emergency seriously but it is only a reverse of previous cuts. As a result, it’s a cut in real terms as same money buys less now compared to two years ago.
“Though it is a step forward, 8,000 homes is a drop in the ocean compared to what is needed There are 243,000 people on waiting lists in Scotland. The last decades have seen the decimation of council housing because of a lack of funding, stock transfer and right to buy.
“This government needs to deliver more social housing by allocating greater funding for stock buy back and for social and council house building programmes, to ensure more people have a stable, secure, affordable place to live.”
LIVING RENT
We welcome the budget statement from the Scottish Government signalling the value it places on culture & the arts.
Culture is the beating heart of Scotland & this budget offers us all hope for a more stable, positive future.
EDINBURGH INTERNATIONAL FESTIVAL
Creative Scotland wholeheartedly welcomes the positive news of the substantial uplift for Culture, including Creative Scotland, in the Scottish Government’s draft budget announced today.
In 2025/26, Creative Scotland’s draft Grant-in-Aid budget from the Scottish Government will be £80m, up from £51.4m in the previous year. Included in this is an additional £20m, specifically for use in supporting the Multi-Year Funding programme and an additional £2m to support delivery of Screen Scotland’s strategy.
The Board of Creative Scotland will meet on 16 December to agree the final budget for Multi-Year Funding and a further update will be made following that meeting.
The final outcomes from the programme will be announced by the end of January.
Creative Scotland’s Chair, Robert Wilson, said: “Today’s draft budget announcement by the Scottish Government is enormously welcome. The major boost to Multi-Year Funding and other activities opens up wider opportunities, and we are grateful to the Scottish Government for this significant vote of confidence in Creative Scotland and the creative and culture sector.
“This is especially positive in the light of the long-term financial challenges the sector has been dealing with and will enable people and organisations to once again look forward with more confidence.”
CREATIVE SCOTLAND
Today’s budget released by the Scottish government is a “step in the right direction” but comes too late to ease the winter crisis already hitting some of the country’s A&Es.
This is the response from The Royal College of Emergency Medicine (RCEM) following the budget announcement today – Wednesday 4 December 2024 – by Finance Secretary Shona Robison MSP.
Dr Fiona Hunter, RCEM’s Vice Chair for Scotland said: “We welcome the government’s commitment to addressing many of the systemic issues that have plagued our health care system – its patients and staff – for far too long.
“However, it has not come soon enough to ease pressures faced by A&Es who are working under extreme pressure to care for patients right now.
“We restate our commitment to working with the Scottish government to bring an end to this reality and #ResuscitateEmergencyCare in Scotland, for generations to come.”
The budget statement comes just one day after an Audit Scotland report revealed the number of people remaining in hospital because their discharge has been delayed – often due to a lack of social care capacity – is the highest on record.
ROYAL COLLEGE OF EMERGENCY MEDICINE
In response to today’s Scottish Government Budget,Debbie Horne, Scotland Policy and Public Affairs Manager at Independent Age said: “Older people across Scotland will be relieved to see the return of some help with winter energy bills through the Pension Age Winter Heating Payment from next year.
“For many not currently receiving Pension Credit, or those just above the eligibility, this money is desperately needed. Although not what they were originally due to receive, last week’s decision has been welcomed by older people in financial hardship across Scotland.
“It’s also good news that Scottish Social Security has been uprated with inflation, including entitlements that are important to older people, such as Pension Age Disability Payment and Winter Heating Payment. Many people in later life will be reassured that this has been confirmed.
“We are pleased to see that the Scottish Government is focussed on supporting renters. Over recent years both the number of older people renting privately and the proportion in poverty has risen. The increase in the Discretionary Housing Payment funding pot is an important lifeline to many older private renters, making up rent shortfalls, and the increased investment in social homes building should give tenants of all ages more security.
“However, it is concerning that the Scottish Welfare Fund, which can be a crucial safety net for older people when emergencies occur, such as needing help with food or heating costs, has not been increased.
“Generally, the older people in financial hardship that we speak to will feel heard by the Scottish Government today. However, we remain concerned about older people this winter. Going forward, the Scottish Government must continue to make decisions that improve the lives of older people in poverty.”
INDEPENDENT AGE
Jonathan Carr-West, Chief Executive, LGIU Scotland,said: “We know from our annual survey that local government finances in Scotland are hanging by a thread. One in four councils are afraid they won’t be able to pass a balanced budget next year. Three quarters are warning that they may not be able to do so within the next five years. Today’s Budget from the Scottish Government does not engage with the scale of that challenge.
“Local government may welcome commitments to the New Deal with Local Government continuing work on a fiscal framework and plans to deliver new revenue raising powers. However, they will be dismayed to see how much funding continues to be ring fenced.
“There is an increase in core funding in today’s Budget but it doesn’t cover the ever growing costs of core statutory services.
“The Scottish Government has responded to the concerns of councils and has removed the freeze on council tax rises, but the Cabinet Secretary’s expectation that record funding levels should mean councils do not need to put up council tax is too complacent.
“The truth is that even with the additional funding announced today, local authorities will still need to raise council tax and make cuts to services and will still edge closer to being unable to balance their books.”
LOCAL GOVERNMENT INFORMATION UNIT
Commenting on the Finance Secretary’s Budget statement this afternoon, Director of CAMRA Scotland Stuart McMahon said:“Pub goers and licensees will be raising a glass to the news that the Scottish Government are finally introducing help with the burden of business rates that have contributed to scores of pubs having to close their doors in recent years, and at a higher rate than elsewhere on these islands.
“Pubs are a vital part of our social fabric and it is right that they will now get the same 40% reduction in business rates that pubs in England get. It is also encouraging that pubs on island communities will continue to get a 100% reduction with their business rates.
“In order to make sure our pubs survive and thrive at the heart of our communities ministers must now commit to reforming the entire Business Rates system to make it fairer. The Scottish Government should level the playing field between online and bricks-and-mortar businesses and finally end the shocking overpayment that pubs have to cough up under the current system.”
CAMRA
Mary Glasgow, chief executive at Children First said: “The Cabinet Secretary says this budget will lift children out of poverty but given that Scotland faces a childhood emergency it is difficult to see how.
“The promise of jam tomorrow, in the form of mitigating the UK two-child cap does nothing to alleviate the plight of thousands of children and families across Scotland who are going hungry today.
“We called on the Scottish Government to invest in early help and support for families and to increase the Scottish child payment. It is disappointing that they have chosen to delay investing in children rather than taking immediate action. Children can’t wait.”
