Welfare cuts ‘intolerable’ – Sturgeon

The true impact of the UK Government’s benefit reforms have been revealed by a new Scottish Government analysis that shows people in Scotland could be hit with a cut of £4.5 billion in the five years to 2014-15 – £2 billion more than the UK Government originally claimed.

The report also estimates that £1 billion of the welfare cuts will have a direct impact on children living in Scotland – a situation Deputy First Minister Nicola Sturgeon today described as “intolerable”.

Ms Sturgeon (pictured below)  said: “The Scottish Government’s analysis we are publishing today suggests that the true scale of the cuts on Scottish households as part of the UK Government’s welfare reforms could be much greater than previously anticipated. In 2011, the Department for Work and Pensions claimed Scotland’s benefits bill would be reduced by £2.5 billion by 2014-15. We believe that today’s new analysis shows this to be a huge underestimation, with hard working families and children among those being hit with a reduction in benefits that may will actually reach over £4.5 billion. The UK Government must urgently clarify the true scale of the impact in Scotland.

“These unfair cuts to the welfare system have been imposed on Scotland and will hit a million working age households in Scotland, weakening consumer demand and damaging economic growth. The fact that around £1 billion of the welfare cuts will directly impact on children in Scotland is particularly worrying – it is an intolerable situation that represents a devastating blow to the hard working people of Scotland.

“Our vision of an independent Scotland, is one where the welfare system will reflect our nation’s values and provide fair and decent support for those who need it most. It will encourage those people who can – and should work – into work. But it will also support people who are unable to work, allowing them to play a full and active part in society, and it will tackle poverty where this exists. It is clear that the UK Government’s agenda is completely at odds with the aspirations we have for our country. With every day the case for independence becomes even more compelling.”

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Hospitals to become smoke-free

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NHS grounds to be completely smoke-free by 2015 under new Scottish Government plans

In a move to promote smoke-free environments and healthier lifestyles, patients, visitors and staff will no longer be able to smoke on NHS sites. Under the plans, people who smoke will be offered advice and support to help them not to smoke during hospital visits as well as access to specialist smoking cessation services for those wanting to quit. NHS Boards will be required to implement and enforce smoke-free policies across their grounds by March 2015.

Health Secretary Mr Alex Neil (pictured below) said: “This Government has ambitious plans to reduce the number of people choosing to smoke. To this end, we want to build on the ban on smoking in public places, which was introduced seven years ago this week, by ensuring that our hospital grounds become smoke-free.

“We know that smoking is extremely harmful to health and causes in excess of 13,000 deaths per year in Scotland. The toll of smoking on our nation’s health cannot be underestimated. Creating smoke-free hospital grounds sends out a powerful message that every visit to our health service is an opportunity to promote and improve people’s health.

“We all know how unpleasant it can be to walk through a cloud of smoke in order to enter or leave a building. These measures will help to ensure that we create a healthier environment for people who use, visit and work in our health service. That is why we believe staff, patients and visitors will support and respect this decision and refrain from smoking until off-site.”

In 2005 the Scottish Government issued guidance on smoking policies for the NHS, local authorities and care providers which gave NHS boards the power to ban smoking on their premises. The new measures will not apply to mental health facilities, which have an exemption to allow the provision of designated smoking rooms under the original smoke-free legislation.

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Millions pledged for social housing

Councils will receive a share of £40 million to help families into hundreds of new social homes, Deputy First Minister Nicola Sturgeon has confirmed. The total funding package is expected to deliver around 1,000 homes, mainly for social rent, and support up to 700 jobs in construction and related sectors, over the next two years.

Local authorities will allocate £40 million to meet the housing needs in their areas.

Ms Sturgeon said: “This funding will deliver up to 1,000 affordable homes that meet people’s needs, a central focus of our housing polices and a principle that underpins everything we do. It will help realise our ambition of 5,000 council homes as part of wider plans to deliver more than 30,000 affordable homes during this Parliamentary term.

“Quite simply, investing in new homes helps people into work by creating a jobs spin-off with the employment and training that takes place during construction. This funding illustrates that despite the 26% cut to our capital budget by Westminster, the Scottish Government is determined to continue investing in new social housing. If we want a strong economy, we must have access to all of Scotland’s resources, not just the portion of Scotland’s resources that the UK Government chooses to give us.”

Pauline Mills, Land & Planning Director for Taylor Wimpey East Scotland said: “As one of Scotland’s largest house builders delivering high-quality new homes is our area of expertise, and the provision of social housing is an integral part of our business across Scotland. The announcement today of funds for Councils to provide more new affordable homes, highlights the importance of the house building industry and the key role that it plays in creating a positive impact on the economic landscape of Scotland.”

This funding package brings the Scottish Government’s budget for housing supply to almost £860 million over three years.

Affordable Housing Supply Programme (AHSP)

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Health Secretary opens Royal Victoria

Health Secretary Alex Neil officially opened the new Royal Victoria building within the Western General Hospital this morning. The £43.6 state of the art facility replaces the Royal Victoria Hospital on Craigleith Road which closed last year.

The new building is all single-bed rooms – the government set out an aim in 2008 that single rooms would become the norm for new and refurbished hospitals.

Health Secretary Alex Neil said there are substantial financial and health benefits to single rooms. He said: “You have to look over the life cycle of the hospital, the building, what is going to be the savings made for example by reducing the incidence of hospital acquired infection. It’s not just the financial cost of that, what’s most important is the benefit to the patient. I think most people would want to be in an environment where the risk of hospital acquired infection was kept to the absolute minimum.”

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Mixed views on latest employment figures

Unemployment in Scotland fell over the last three months, but opinion is divided on just how robust the economic recovery is looking in Scotland. The Scottish government has welcomed the latest figures, but trade union leaders believe that, with a continued rise in long-term unemployment, the lessons of past recessions have not been learnt.

According to official figures released today, unemployment in Scotland has fallen by 14,000 over the three month period from September to November 2012. The Office of National Statistics figures also show that the youth unemployment rate saw the largest annual drop since the time series began in 2006, and is now the lowest level since March to May 2011.

Youth unemployment has fallen by 23,000 over the year to September to November with the rate decreasing by 4.8 percentage points to 19.9 per cent. The UK rate decreased by 1.7 percentage points to 21.0 per cent. This is the largest annual decrease in the youth unemployment rate in Scotland since the data series began in 2006. The youth employment rate in Scotland is 55.1 per cent compared to the UK rate of 51.8 per cent.

Scotland’s headline employment rate (for those aged 16 to 64) fell by 0.6 percentage points over the three months from September to November to 70.6 per cent, but the headline employment level (for those aged 16 and over) increased by 1,000 over the year. Scotland continues to have the fifth highest employment rate of all 12 UK countries and regions.

The claimant count in Scotland decreased by 1,400 over the month of December 2012, the second consecutive monthly fall. Over the year, the number of people claiming Jobseekers allowance fell by 4,400 to 137,500.

Commenting on the latest figures, Finance Secretary John Swinney said: “These figures show that unemployment in Scotland has continued to fall for the second monthly release. The strong performance in youth unemployment over the year is particularly welcome. We have lower youth unemployment, higher youth employment and lower youth inactivity than the UK. What’s more, this month’s release sees the largest annual drop in the youth unemployment rate since the data series began in 2006.

“However, we must continue to work to boost employment and the Scottish Government is taking direct action by investing in our infrastructure and maintaining the most competitive business environment anywhere in the UK. Our budget includes a tax relief package for business worth over £540m this year and bring forward a further £385 million package of economic stimulus.

“We are also targeting growth markets and growth industries and our efforts are paying off with today’s Global Connections survey showing that Scottish exports increased by by £1.6 billion to £23.9 billion in 2011. With the full fiscal and economic powers of independence the Scottish Government could do even more to strengthen our economy and create jobs.”

Youth Employment Minister Angela Constance said: “Today’s figures show that youth unemployment in Scotland is at its lowest level since March to May 2011 after falling for the second monthly release in a row. Our actions to improve youth employment rates have included a guarantee of a place in education or training for every 16-19 year old through Opportunities for All, funding 25,000 Modern Apprenticeships in each year of the current parliament and £8.5 million to create 1,400 jobs in the third sector through Community Jobs Scotland.

“This year we will continue our efforts by launching an Employer Recruitment Incentive which will give financial support to small companies willing to give young people a job. This is backed by £15 million of Scottish Government funding and by £10 million European Structural funding. Our young people’s fresh and modern thinking in the workplace will help drive our economy forward and we will continue to work hard to ensure they have the opportunity to do that.”

However Scottish Trades Union Congress (STUC) General Secretary Grahame Smith said: “For the second month in a row, the reported fall in unemployment has been exceeded by the fall in employment and economic activity. Quite simply it is no cause for celebration if people are leaving the labour force altogether rather than looking actively for work.

“These statistics show a very weak labour market which continues to be characterised by significant falls in full-time permanent positions, rising underemployment and worrying increases in inactivity. The fall in youth unemployment over the year is encouraging although the rate has hardly shifted. The rise in very long-term unemployment across all ages confirms the STUC’s consistently expressed fears that the errors of past recessions are being repeated.”

The Scottish Greens are also warning the Scottish government against complacency. Green MSP Alison Johnstone, a member of Holyrood’s Economy committee, said: “The government’s efforts to date on training and apprenticeships are welcome but much more needs to be done to ensure young people and women in particular are not shut out of the jobs market. It is also a concern that we’re continuing to see part-time work replace full-time jobs, and that many people feel the need to take a second job to make ends meet.

“The evidence I’ve been hearing as the economy committee examines underemployment clearly shows this is a serious problem. I urge the Scottish Government to do more to help small and medium sized businesses expand so they can offer their staff more hours. I also want to see more done to provide good quality, affordable childcare, the lack of which forces many women to stay out of work. It’s also appalling that Scotland has the second most expensive childcare in Europe yet those providing it are often on very low wages.”

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Benefits advice groups to share Holyrood cash

The Scottish Government is directing new money to agencies helping people facing the brunt of UK benefit cuts, Deputy First Minister Nicola Sturgeon announced yesterday. In response to a substantial increase in requests for help as a result of Westminster welfare reforms, a new package of funding will support those providing front-line advice and support to people across Scotland.

This will include an immediate cash injection of £300,000 for services such as those provided by Citizens Advice Scotland (CAS), the setting up a new £1.7 million fund providing direct support to advice services and a further £3.4 million to be spent over the next two years on helping organisations mitigate the impacts welfare reforms.

Changes in Child Tax Credit and Working Tax Credit will reduce the budgets of more than 100,000 households in Scotland – 88 per cent of them couples with children. On average these families will be £700 a year worse off.

Over 100,000 households across Scotland will also lose on average of around £600 a year as a result of the bedroom tax.

And it is estimated that around 1 million working age households in Scotland will be affected by the uprating of benefits by 1 per cent, announced in the Autumn Statement, reducing the total income of Scottish households by around £210 million by 2014-15.

Announcing the funding boost Ms Sturgeon said: “Many people across Scotland are suffering as a direct result of UK Government benefit cuts, and many more are concerned about how they may be affected by changes yet to come into force. Citizen’s Advice Bureaux across the country are currently dealing with nearly 800 new issues for every working day. And the latest extremely worrying analysis about the families affected by benefits illustrates exactly that point.

“This reflects our serious concerns about the pace, scale and impact of Westminster’s benefits changes. It is clear that the impact of the cuts will extend across Scottish society, with vulnerable groups, women and working families all likely to suffer. This is putting more and more pressure on the organisations that provide crucial front line advice to those affected. These are the people, who, on a daily basis see how lives are being damaged by the fall out from the UK government’s welfare reform changes. That is why we have listened and are providing £5.4 million to help meet the demand for advice and support as it dramatically increases.

“This is just further evidence of the need for independence. We want a welfare system in Scotland that provides fair and decent support for all and protects the vulnerable in our society. The only way to guarantee that is to have possession of the powers to deliver it.”

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Pilton CAB

Background Information:

The Child Tax Credit and Working Tax Credit analysis is taken from published DWP statistics. Bedroom tax analysis estimates that:

105,000 households will be affected by the bedroom tax.

Of these, 83,000 will be under-occupying by one bedroom and 22,000 will be under-occupying by two or more rooms.

With around 586,000 households in the social rented sector, it is estimated that 18 per cent of all households in the sector will be affected.

Depending on the measure of inflation used, the average weekly loss in 2012/13 prices is between £11 and £12.

This gives an estimate total loss of Housing Benefit to the sector of between £60 -£65 million per annum.

The Bedroom Tax will reduce the amount of housing benefit support that can be given to tenants in the social rented sector by introducing new size criteria for working-age Housing Benefit claimants, who have extra bedrooms.

People who are judged to be ‘under occupying’ their home by one bedroom will have their housing benefit slashed by 14 per Cent. Where they are under occupying by two or more bedrooms the deduction is 25 per Cent.

The new criteria for under occupation could mean that ill or disabled people, who use a spare bedroom for medical equipment, may all be affected.

More face fuel poverty despite Holyrood help

Basic energy efficiency measures have prevented up to 35,000 Scottish households from falling into fuel poverty over the past year, according to the Scottish government.  

Statistics released today show that the installation of measures such as loft and cavity insulation, double glazing and new boilers have helped to reduce energy consumption, greenhouse gas emissions and cut household energy requirements.

In spite of efforts by the Scottish Government to help reduce household energy bills, tens of thousands of families were pushed into fuel poverty in 2011 as a direct result of energy company price rises.  Between July and October 2011,  more than 102,000 households fell into this category after energy prices increased by 14%.

Housing and Welfare Minister Margaret Burgess said: “Basic energy efficiency measures can make a huge difference to Scottish families who are struggling to make ends meet, allowing them to heat their homes more cost effectively.

“This government has allocated over £68 million in 2012-13 to energy efficiency and fuel poverty programmes to help individuals and families who are in most need of support.  We also have in place a cashback voucher scheme offering up to £500 per household for energy efficiency measures such as double glazing and loft and cavity wall insulation, and from today, energy efficient boilers and appliances for private sector landlords.

“Rising energy bills are a huge concern for this government, and fuel poverty  is an absolute scandal in an energy rich country like Scotland. The more that energy companies continue to implement punishing price increases, the more they are undoing the good work we are doing to tackle fuel poverty. That is why we are urging the UK government – who has responsibility in this area – to do more to help vulnerable people and ensure that our households are better protected.”

However the Scottish Greens believe the government should be doing a lot more to address the problem, and they are calling on ministers to stop hand-wringing on the worsening issue of fuel poverty. The Scottish Greens say the National Retrofit Programme to insulate homes – first proposed by the party in 2009 – needs to be increased from the current £65million a year to at least £100 million to make a real difference.

Green MSP for Lothian and Holyrood energy committee member Alison Johnstone said:
“Scottish Greens have long argued for extra money focused on rapid upgrading of peoples’ homes. For SNP ministers to suggest this issue is worsening despite their efforts hides the fact that they could do much more.

“With thousands more homes in fuel poverty, the Scottish Government must be more ambitious. Wringing hands about Westminster’s failure to tackle the Big Six energy companies isn’t good enough.”

The Scottish Government’s latest figures show that recent energy price rises have pushed an extra 26,000 households in Scotland into fuel poverty. Around 29 per cent of Scottish households now spend over 10 per cent of their income on energy bills, and 185,000 of those households spend over 20 per cent.

Commenting on the figures, Norman Kerr, Director of national fuel poverty charity Energy Action Scotland said: “The fact that more Scottish households are now in fuel poverty is very disappointing but not surprising, as energy prices have gone up and people’s budgets generally are under pressure.  Efforts to make homes energy efficient, so that less energy is needed to heat them, are more vital than ever and will clearly have to be increased.

“Our advice to the public is to check out if they are on the best fuel tariff and payment method for their needs, to shop around energy suppliers, and to take up the free or discounted insulation from Scottish Government programmes such as Home Energy Scotland.  There is a tendency to think it won’t make a difference, but it does all help at these difficult times.”

Energy Action Scotland is highlighting that the figures released today are for the period to autumn 2011.  Using those figures and adding the effects of energy price rises announced in autumn this year, the numbers living in fuel poverty today are more likely to be around 900,000 household (40%).  Today’s report states that those on the lowest incomes are hit hardest by the price rises.

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Summit to address youth unemployment

Young people are discussing youth employment issues with senior Scottish Government Ministers today. Around 120 young people from a broad range of backgrounds are attending Scotland’s Youth Summit at the Hub on the Royal Mile.

The event – organised by Young Scot, the Scottish Youth Parliament and the Scottish Government – gives young people the chance to speak directly to Ministers, including Minister for Youth Employment Angela Constance, about ways in which 16-24 year olds can be supported into work.

Education Secretary Michael Russell, Culture Secretary Fiona Hyslop, Minister for Learning, Science and Scotland’s Languages Alasdair Allan, Minister for Children and Young People Aileen Campbell and Minister for Commonwealth Games and Sport, Shona Robison will also attend.

Ms Constance said: “Hearing the experiences of young people directly is vital to our work to support them and their peers into work. I have met many young people in training or education in the last year, as well as a number seeking an opportunity, but the Youth Summit will given dozens of 16-24 years the chance to tell Ministers about their experiences face to face.

“This government is doing more than any other to improve the employability of our young people. We are already committed to 25,000 Modern Apprenticeship opportunities in every year of this parliament and have guaranteed every 16-19 year old a place in education or training. The Employer Recruitment Incentive announced in the draft budget will also help small and medium-sized businesses to recruit unemployed young Scots. Today’s meeting will give key partners, including Ministers, a good sense of progress and ideas on how we can help further.”

Grant Costello MSYP, Chair of the Scottish Youth Parliament, said: “Young people have suffered enormously as a result of the economic downturn. It is crucial that action is taken to prevent a lost generation of young people who are unable to find work. I’m therefore delighted senior Government figures are coming to the Youth Employment Summit to hear from young people on their experiences and on the solutions which can make a difference to the thousands of young people who need a leg-up to get back on the ladder of work.”

Craig Shaw, Young Scot Digital Creative Modern Apprentice added: “When I left school, it look me a long time to find a job that I wanted to make into a career and I know the uncertainly of employment can be a daunting time for any young person. That’s why events such as the Youth Employment Summit are really important because it gives young people the chance to share their views with the Scottish Government and together with them, help design future employment opportunities for young people in Scotland.”

Deal struck for single question referendum?

There is speculation that the Scottish and Westminster governments have reached a deal over the independence question. Following months of negotiations it appears that the Scottish people will now vote in a one-question referendum – a straight yes or no – other than a ballot paper that contains another – increased powers for Holyrood or ‘devo-max’ – option.

It also seems that likely that sixteen and seventeen year olds will have the right to vote in the independence referendum, scheduled to be held in autumn 2014.

Further details will be announced when Prime Minister David Cameron meets Scottish First Minister Alex Salmond at the Scottish Parliament in Holyrood next Monday.

Should sixteen and seventeen year olds have the right to vote? Let us know!

Go ahead for new Sick Kids

Plans to build a replacement for Edinburgh’s Royal Hospital for Sick Children (RHSC ) and Department of Clinical Neurosciences (DCN) have been approved.

The new building, next to the Royal Infirmary at  Little France, will provide a replacement for the current children’s hospital at Sciennes, the Department of Clinical Neurosciences currently based at the Western General Hospital and new facilities for the Child and Adolescent Mental Health Service (CAMHS) which will move from the Royal Edinburgh Hospital.

The project is due to be completed in 2017 and is part of the NPD and hub initiative pipeline, supported by the Scottish Futures Trust, which will see £750 million of investment in health facilities across Scotland.

Negotiations over the site for the new building, currently car park B at the Royal Infirmary of Edinburgh, have delayed the project but these were completed in August. Approval of the outline business case will see NHS Lothian take the next step in the process to select a private sector partner to design, build, finance and maintain the new facility.

Health Secretary Alex Neil made the announcement as he met young patients and staff at the current Royal Hospital for Sick Children. He also confirmed his commitment to investing over £1billion in NHS Scotland capital projects over the next two years, including £485m in 2013-14.

Mr Neil said: “I am pleased to say that the outline business case for the new RHSC and DCN has been approved meaning work to get the new hospital up and running for 2017 can move apace. “There have been delays with the new Sick Kids Hospital in the past, due to land and commercial issues with an inherited PFI contract on the proposed site. I am pleased to say that there is now a framework in place to resolve the legal and commercial issues that arose in the original contract. “This project is part of a £750 million health pipeline delivering a range of improvements to hospital and community health facilities right across Scotland.

“We have already seen £1bn being pumped into our hospitals and health centres since 2011 and I can confirm that another £1bn will be invested over the next two years. In 2013 alone we will invest nearly £500m. “I’ve been clear in the past that investing in our infrastructure is vital to growing our economy and the NHS presents huge opportunities to do this. Not only will it bring benefits to business and more jobs but it also means that patients can be treated in the best possible surroundings. “High quality health services as close to home as possible is what the people of Scotland want, and that is something this Government is determined to give them.”

Dr Charles Winstanley, Chair of NHS Lothian said: “Having the outline business case approved is a significant step forward in this important project. The benefits of having children’s, maternity and adult services on the same site are well documented. This project to re-provide services from the RHSC and DCN will create a centre of excellence at Little France, bringing paediatric care, specialist neonatal care, neurosciences and A&E together. The proximity to the University and the BioQuarter will also improve opportunities for partnership working and bring research to the bedside. We are working closely with the Scottish Futures Trust to plan the procurement process and, as required, we expect to advertise the project in the Official Journal of the European Union before the end of the year.”

The new hospital will cost around £150 million to build and brings together children’s, maternity and adult services on the same site. The new building will:

  • bring together paediatric care, specialist neonatal care, neurosciences and adult and children’s emergency departments all on one site, ensuring that that teams can share experience and expertise for the benefit of patients.
  • provide the ability to deliver paediatric and adult neurosurgery in the same theatre suite, maximising the utilisation of specialist equipment (e.g. intra-operative MRI) and expert staff, with direct internal access to age-appropriate critical care and wards
  • mental health services for children and young people on the same site as acute hospital services, supporting their physical and psychological care
  • joint-working and economies of scale in high-cost specialist clinical areas such as theatres and radiology
  • the opportunity to improve emergency access to services by incorporating a helipad on the roof of the new building