Tag: welfare

Scottish government commits £100 million to welfare support

‘It is unacceptable that anyone should be living in poverty in a country as wealthy as Scotland’ – Margaret Burgess, Housing & Welfare Minister

beggarMeasures to tackle the impact of Westminster welfare reforms will receive £104 million of Scottish Government support next year, it was announced today.

£8 million will be allocated to funding advice services which support those affected by welfare changes and for the delivery of the Emergency Food Aid Action Plan which helps organisations combat food poverty in Scotland.

Around £35 million will be divided between local authorities to support people affected by the bedroom tax.

£38 million will be allocated to the Scottish Welfare Fund and its delivery. The Scottish Welfare Fund provides a safety net to people in an emergency or a disaster and helps people on low incomes access household goods.

In addition, the Scottish Government is committing a further £23 million funding for the Council Tax Reduction scheme which supports vulnerable people in meeting their Council Tax liabilities.

The £104 million forms part of the Scottish Government’s draft budget for 2015-16.

To date the Scottish Government’s welfare support has:

  • Helped over 100,000 households, including 32,000 families through the Scottish Welfare Fund, between April 2013 and June 2014.

  • Protected over 537,000 vulnerable people from increased Council Tax liabilities, following the UK Government’s abolition of Council Tax Benefit.

  • Helped 71,000 households affected by the bedroom tax, at an average cost of £50 a month.

  • Helped to deliver 72 projects which are supporting 20,000 people through the Making Advice Work programme funded by both Scottish Government and the Money Advice Service.

Announcing the welfare budget allocations ahead of the Welfare Benefits for People Living with Disabilities Debate, Housing and Welfare Minister Margaret Burgess said:

“It is unacceptable that anyone should be living in poverty in a country as wealthy as Scotland.

“We recognise there is still a problem which is why we are taking action and setting aside £104 million in next year’s budget to tackle poverty and inequalities and to help those affected by welfare changes.

“By allocating £38 million to the Scottish Welfare Fund and its delivery, we are making sure that we continue to reach out to those in the most deprived areas of Scotland. This Fund will help families access support and help to buy everyday items that many of us take for granted.

“We are still paying a heavy price for Westminster’s welfare reforms, this investment will help to mitigate the effects of these cuts on some of our most vulnerable households.

“As we have already set out in our submission to the Smith Commission, full responsibility over welfare and social policy is the only way for us to tackle poverty and to create a more prosperous and fairer society.”

New projects to help families tackle money worries

£2.4 million funding to help families deal with debt

Debt-WorriesCommunity projects which will help vulnerable families deal with debt and welfare problems are to benefit from a £2.4 million funding boost. The money will see 16 projects receive significant funding through the Scottish Legal Aid Board’s ‘Tackling Money Worries’ programme.

Local independent advice agency Granton Information Centre is a partner in two Edinburgh initiatives –  with Stepping Stones and Changeworks in Canny Families, which provides help to young families and expectant mothers in North Edinburgh, and the Family Friendly Money Advice project in Leith, a collaboration with NHS Lothian, Citadel Youth Centre, Dr Bell’s Family Centre, the City of Edinburgh Council and Edinburgh Community Food.

See below for the full Tackling Money Worries project list

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‘Tackling Money Worries’ support will be focused on low-income families facing a change in their circumstances, as this places them at higher risk of debt and money problems. Among the projects are:

• Eight projects focusing on the birth of a child and early years;

• Two projects focusing on changes to family structure; for example, when a relationship breakdown occurs;

• Six projects focusing on the impact of going through the criminal justice system, including families where someone is in prison or about to leave prison.

There will be direct advice and help for families to deal with crisis debt issues, as well as help with building on their money-management skills to support family life throughout their early years and childhood.

The TMW programme will bring together quality debt advice providers and agencies that are already trusted by families in their community. It will also build lasting and effective connections that will benefit families in the longer-term.

The funding of these projects has been made possible by Scottish Government approval for SLAB to spend up to £2.4m between October 2014 and the end of September 2016 on initiatives related to the Child Poverty Strategy.

This is on top of Scottish Government funds which, in combination with funding from the Money Advice Service, are already supporting 92 grant funded projects.

These programmes were due to end in March 2015, but both funders now intend continuing this funding partnership beyond that date. This would enable extension of help for people on low income in Scotland across a longer period.

Deputy First Minister Nicola Sturgeon said: “In the past week we have seen the publication of a report that laid bare the extent of child poverty in Scotland. This is a totally unacceptable situation in a country as wealthy as ours.

“It is vital that the most vulnerable members of our society are provided with the help and support that they need, at the times in their life when they need it most. The Tackling Money Worries programme will help 16 projects across Scotland deliver this support through a £2.4 million investment.

“We know that the UK Government’s benefit reforms are driving people into poverty and that is why we are investing £81 million in the next financial year to help mitigate the effects of these changes.

“This help is vital but I am clear that we must also work to address the underlying issues of poverty in our society. That is why we have set out the need for Scotland to have full responsibility over welfare and employment powers to the Smith Commission.”

Dr Lindsay Montgomery, Chief Executive of the Scottish Legal Aid Board said: “We are delighted to announce the launch of this new programme of projects. The projects will play an important role in helping find long-term solutions for low-income families struggling with financial difficulties by dealing with their underlying debts.

“They will provide support to some of the hardest to reach families in Scotland who are most at risk of facing complex financial problems. We appreciate the financial support from the Scottish Government for this programme of grants.”

 

 

A visit to Granton could improve your health – and maybe your wealth!

gic1A visit to Granton Information Centre could improve your health – and may also improve your wealth! The local advice centre received top marks from clients in a satisfaction survey conducted over the summer.

Highlights of the survey include:

• Around 71% of GIC clients have a medical condition – but almost half of them feel GIC has helped to bring about an improvement in their health

• 48% of clients received additional income following GIC’s intervention – and with another 22% awaiting decisions it’s very likely that this figure will rise to over half.  Additional income includes both one-off payments and ongoing benefits entitlements – ranging from a few pounds to five-figure sums.

• 97% of clients would recommend GIC’s services to others

• 96% found GIC assistance ‘very helpful’, 98% found staff ‘very approachable’ and 74% found the help and support they had received ‘more than expected’.

Two hundred clients were chosen at random from GIC’s live cases database and invited to participate in the Satisfaction Survey, which was carried out over the summer. The results are based on the final total of 108 respondees.

GIC manager Caroline Pickering said: “There has been an increased demand on GIC’s service over the past few years and our management committee thought this would be an ideal time to review the services we provide – to look at what we are doing, what works well and what can be improved.

“The best people to guide us in this are the people who use those services, so we are very pleased with the positive results of the survey. It’s great for staff to be recognised for the hard work they do. Some of the comments we received from grateful clients were really touching.”

GIC chairperson John Mulvey said: “We know the staff are working exceptionally hard in difficult circumstances so we’re delighted to see how much service users and the wider community appreciate their efforts. The organisation has been working in North Edinburgh for thirty years now but it’s clear that GIC’s services are needed as much today as they ever were.”

Greens: Citizen’s Income would reduce inequality

Green Yes, the Scottish Green Party’s campaign for a Yes vote in the independence referendum, has published a paper showing how a Scottish Parliament with responsibility for welfare could implement a Citizen’s Income to reduce inequality.

The Greens have worked with Dr David Comerford, research fellow in economics at the University of Stirling, as well the Citizen’s Income Trust, to model the impact of the policy on household incomes.

One of the aims of the policy is to reduce the incredible complexity of the tax and benefits system, which penalises those with unreliable work or insecure housing. A longstanding Scottish Green policy, the Citizen’s Income would sweep away almost all benefits and the state pension and replace them with simple, regular payment to every child, adult and pensioner.

The paper is the latest in a series produced by the Green Yes campaign showing how independence opens up possibilities for progressive change in Scotland. Other papers have covered jobs, wages and the economy, local democracy, banking reform and digital rights.

CITIZEN’S INCOME – 70% CENT OF HOUSEHOLDS BETTER OFF

Under the model detailed in the paper:

– Weekly payments are proposed of £50 to children, £100 to adults and £150 to pensioners.
– 70 per cent of households would be better off than presently.
– Those in the lowest income bracket would benefit the most.
– Measures of inequality would be brought in line with some of the most equal countries in the world.
– Income earned in addition to the citizen’s income would continue to be taxed progressively.

Patrick Harvie MSP, Co-convener of the Scottish Greens, said: “This is a policy to recapture and renew the idea of a welfare state that looks after everyone. Scotland is a wealthy country, and we should be able to choose a different approach to austerity and the harmful attitude which pits people on poverty pay against those on benefits.

“A Citizen’s Income would ensure everyone’s basic needs are met. It’s a simple idea that could transform this country by reducing inequality and allowing each of us to make our own decisions about working, caring, learning and creating, without ending up on the breadline.”

Alison Johnstone, Green MSP for Lothian and member of Holyrood’s Economy Committee, said: “The referendum debate allows us to imagine what sort of Scottish welfare system we could design after a Yes vote, and this is the Greens’ vision for a simpler and fairer approach. A Citizen’s Income would be an especially positive policy for women as it would make it easier to combine working and caring roles.”

Housing payment cap powers to be transferred

More help for 72,000 Scottish households 

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Thousands of Scots families can be given more ‘Bedroom Tax’ assistance following discussions between the Westminster and Scottish governments. The UK government has offered to transfer power over the housing payment cap to Holyrood, it was announced yesterday.

Housing help for people on benefits – known as Discretionary Housing Payments (DHPs) – is currently reserved to Westminster and administered by local authorities in Scotland. This power will now transfer to Scotland, however, and the Scottish Government is now urging Westminster to transfer these powers as soon as possible.

The Scottish Government has already spent up to the previous legal limit in order to mitigate the effects of the ‘Bedroom Tax’. Once the powers are transferred, a total of £50 million can be invested to help the 72,000 households in Scotland who are suffering from the effects.

Welcoming the news, Deputy First Minister Nicola Sturgeon said:

“We had already set aside the money to be able to help every household in Scotland affected by the ‘Bedroom Tax’ – once we have the powers, we will be able to use it and provide vital assistance to thousands of hard-pressed Scots.

“I am delighted that in future anyone who has been affected by this unfair policy will receive the help they need and would encourage them to contact their Local Authority to apply for assistance through the DHP scheme.

“We will never turn our back on people in need, and I am pleased to finally be able to get on and help people. But the fact is that this decision has taken far too long. We have been pressing since January for Iain Duncan Smith to remove this cap – and at last Westminster has seen sense and have given us what we requested. We will now work to ensure the law is changed as quickly as possible.

“The DHP scheme is the only legal way – under the powers that Scotland currently has – to provide regular financial payments to people on housing benefit. But the only way to get rid of the ‘Bedroom Tax’ for good is through the powers of an independent Scottish Parliament.

“We know that Scots want welfare decisions to be made and taken by the Scottish Parliament. The ‘Bedroom Tax’ has been rejected by people right across Scotland, yet is still being imposed on us by the UK Government.

“With independence we will have the opportunity to create a welfare system that really works for us.”

However the UK Government says that their willingness to transfer the power to set the cap on Discretionary Housing Payments (DHP) in Scotland demonstrates a ‘commitment to taking a pragmatic approach to devolution and to engaging intensely with local authorities in Scotland.’

In a letter to Nicola Sturgeon, Scotland Office Minister David Mundell has offered to transfer the power to the Scottish Government through a Section 63 Order which will require the agreement of the UK and Scottish Governments before being approved by both the UK and Scottish Parliaments.

If the Scottish Government chooses to accept this offer, it will have the flexibility to pass on more funding from its existing block grant to local authorities – it will be up to to the Scottish Government and local authorities how they choose to allocate their money.

As things currently stand, DHPs can be used by local authorities across Great Britain to provide additional funding for people in receipt of housing benefit who need extra support. At present each local authority must operate within a formula-based spending cap set by the Department for Work and Pensions. The proposal from the UK Government would mean that the Scottish Government would have the power to set the DHP cap for Scottish local authorities in future.

Mr Mundell said: “I have completed a programme of visits to all Scottish local authorities and believe that transferring this power to the Scottish Government is the correct thing to do.

“The UK Government believes in taking a pragmatic approach to devolution and we believe in a United Kingdom that gives Scotland the best of both worlds. I hope that officials from both governments will now be able to take this forward.”

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