Cost of living support

More than £2 million will fund wrap-around support to households

The Scottish Government will invest nearly £2.2 million to enable the Wise Group to provide wrap-around support to individuals and families on low incomes in six local authority areas.

The investment, from the Tackling Child Poverty Fund, was announced by Social Justice Secretary Shirley-Anne Somerville during a Scottish Parliament debate on supporting households with cost-of-living pressures and rising energy bills.

It will allow the Wise Group to continue with work which has so far helped 3,200 households, enabling people to find work, increase their skills and improve their financial situation.

The wrap-around nature of the support means mentors from the Wise Group are also able to support people to improve their mental health and wellbeing.

Ms Somerville said: “We know people continue to face pressures with the cost of living and the recent announcement that energy bills are set to rise again this month will only add to those pressures.

“The Wise Group work we are funding, offers support not just with an immediate crisis, but aims to help people make long-term improvements to their financial stability, helping them to access help with issues such as childcare, training and finding sustainable work.

“Eradicating child poverty is the Scottish Government’s overriding mission. This year’s budget commits more than £3 billion to a range of actions to tackle poverty and the cost of living. However our efforts are undermined by the social security policies of the UK Government, not least the two-child cap which prevents parents from claiming universal credit for more than two children.

“That is why we will develop the systems necessary to effectively scrap the impact of the two-child cap in 2026. The Child Poverty Action Group estimates that scrapping the cap in Scotland could lift 15,000 children out of poverty.”

Sean Duffy, Wise Group Chief Executive said: “This investment is a vital opportunity to rethink how we deliver services, strengthen local partnerships, and take a preventative, ‘invest to save’ approach that drives lasting change in tackling poverty.”

A Budget for a Fairer Scotland?

‘We are putting tackling poverty at the heart of the Budget’ – Social Security Secretary Shirley-Anne Somerville

Tackling deep-seated poverty and inequality will be supported by increased funding from the 2021-22 Scottish Budget.

To ensure all children have the best start in life, £68 million will be invested in the Scottish Child Payment, and £53 million will fund universal Free School Meals to all children in primary one, two and three.

Communities impacted by the coronavirus (COVID-19) pandemic will continue to be supported through funds aimed at helping them recover and rebuild.

The 2021-22 Scottish Budget includes:

  • a near doubling of spending through the Tackling Child Poverty fund with £23.3 million of investment, and providing £6 million to local authorities to continue providing a school clothing grant worth at least £100 to every eligible child
  • £3.6 billion for social security to carers and those on low incomes
  • £150 million for fuel poverty and energy efficiency measures
  • £711.6 million for affordable housing and a new £55 million programme to support town centres
  • £32 million to promote equality and human rights, including actions to ensure this approach is embedded across government and the wider public sector
  • £15 million to further support children and young people with Additional Support Needs
  • more than £26 million of investment in the vital Third Sector
  • £81.6 million for projects to support community regeneration, town centres and 20 minute neighbourhoods – where people can meet their needs within a 20 minute walk from their home
  • over £12 million to support the Ending Homelessness Together action plan, including specific actions to scale up Housing First, end the use of communal night shelters, advance legislative protections for people experiencing domestic abuse and explore alternative routes to reduce migrant homelessness

Social Security Secretary Shirley-Anne Somerville said: “We are putting tackling poverty at the heart of the Budget. In two weeks we introduce our new game-changing Scottish Child Payment, backed by investment of £68 million.

“As well as mitigating the impact of UK Government welfare cuts, we are supporting carers, young people, and low income families through our range of new benefits. This year also sees the start of the introduction of the first disability benefits as we continue to establish a social security system that is based on dignity and respect and investing in our people.”

Communities Secretary Aileen Campbell (above) said: “In addition to responding to the impacts of the coronavirus pandemic, this budget is investing in actions designed to tackle deep-seated poverty and inequality including almost doubling our child poverty budget to £23.3 million.

“This means we will deliver our £50 million Tackling Child Poverty Fund commitment in full, continuing with investment in actions including our Parental Employability Support Fund, Access to Childcare Fund and innovative Children’s Neighbourhoods Scotland programme.

“Funding for more affordable, greener housing is at the heart of the Scottish Budget, contributing to our net-zero ambitions while helping to ensure everyone has a home that meets their needs.

“We will also invest over £26 million in the local and national Third Sector infrastructure, support the capacity and growth of social enterprises, and ensure the Third Sector can help people and communities recover from the impact of the pandemic.”

New funding for childcare and employability to cut child poverty

Low-income Scottish families will benefit from improved access to learning, advice and employment support with a multi-million pound package of measures. 

Communities Secretary Aileen Campbell has set out the next steps of an ambitious plan to help lift parents and families out of poverty, backed by the £50 million Tackling Child Poverty Fund. Continue reading New funding for childcare and employability to cut child poverty