Social Security Scotland (Cost)

– in the Scottish Parliament at on 3 March 2021.

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Photo of Finlay Carson Finlay Carson Conservative

3. To ask the Scottish Government what the most recent estimate is of the cost of establishing Social Security Scotland. (S5O-05075)

Photo of Shirley-Anne Somerville Shirley-Anne Somerville Scottish National Party

The programme business case, which was published in February 2020, describes implementation costs of £651 million to 2025-26. The impact of the Covid-19 pandemic has meant that we have had to replan our delivery schedule and, although we anticipate the phasing of the costs to change between years, we anticipate remaining within that overall figure.

We still expect Social Security Scotland’s administration costs to align with the programme business case once the agency is in a steady state. The business case stated the cost of administration at around 5 per cent of the value of benefits paid, which is broadly comparable to the Department for Work and Pensions.

Photo of Finlay Carson Finlay Carson Conservative

The benefits take-up report that the Scottish Government published this week outlines a range of reasons why people are unaware of their benefit entitlement. What specific work is the Social Security Scotland local delivery team in Dumfries and Galloway doing to ensure that my constituents understand and can apply for all the relevant benefits for which they might be eligible?

Photo of Shirley-Anne Somerville Shirley-Anne Somerville Scottish National Party

I point out to Finlay Carson that the Scottish Government has a benefit take-up strategy, unlike the United Kingdom Government. I hope that the UK Government will set up a take-up strategy because we are not responsible for all benefits up here. I would like all Governments to work together on that, and I recently wrote to the UK Government about it, along with my Welsh and Northern Irish colleagues.

Local delivery will play a valuable part in our agency’s work with stakeholders to make them are aware of what is being done in the local area, and in its work to support individuals to provide information for an application form and to ensure that they feel supported during the process. Again, that is very different from the experience that people have of the DWP.

We are absolutely committed to having a benefit take-up strategy that works well, not just because it is our statutory duty to do so, but because it is the right thing to do for people. Of course, there is much more that could be done outwith local delivery work. Aileen Campbell’s portfolio supports teams in Citizens Advice Scotland and other agencies to work on income maximisation, so that people across the country know what benefits they are entitled to. I would hope that all Governments across the UK could support that work.

Photo of Rona Mackay Rona Mackay Scottish National Party

How many people throughout Scotland have received payments through the new social security system? What is next year’s budget for payments?

Photo of Shirley-Anne Somerville Shirley-Anne Somerville Scottish National Party

The Scottish Government provided more than £540 million in payments between the introduction of Social Security Scotland in September 2018 and 31 March 2020, through the delivery of eight benefits. By the end of the current financial year, the payments administered by the agency are forecast to support more than 113,000 people. As set out in the 2021-22 budget, and in line with the Scottish Fiscal Commission forecast, we are committing £3.5 billion in forecast social security payments, to reach more than 800,000 people. That money will go directly to the people of Scotland who need it most, including, of course, £68 million for the first full year of the Scottish child payment.

The Presiding Officer:

Question 4 has not been lodged.