UK Budget (Impact on Social Justice)

Portfolio Question Time – in the Scottish Parliament at 12:53 pm on 7 November 2024.

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Photo of Kevin Stewart Kevin Stewart Scottish National Party 12:53, 7 November 2024

To ask the Scottish Government what impact it anticipates that the recent United Kingdom Government budget will have on its aim to deliver social justice. (S6O-03893)

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

The Chancellor of the Exchequer’s budget was a missed opportunity to shift the dial on tackling poverty. Decisions to freeze local housing allowance rates and proceed with cuts to the winter fuel payment will increase financial insecurity among thousands of households.

Meanwhile, retaining the two-child limit and the rape clause, the benefit cap and the bedroom tax will leave hundreds of thousands of children across the United Kingdom facing poverty and hardship. It is also concerning that the UK Government will continue the previous Government’s welfare reforms targeting disabled people.

As the Joseph Rowntree Foundation said, ultimately, it will take investment in our social security system to seriously bring down hardship.

Photo of Kevin Stewart Kevin Stewart Scottish National Party

The UK budget has failed to scrap Tory austerity measures that we know are drivers of poverty—policies such as the benefit cap, the bedroom tax, the two-child limit and the freeze on local housing allowance rates. Will the cabinet secretary call on UK Government counterparts to reverse those punitive policies? Will she continue to use the limited powers of devolution to mitigate, where possible, the worst effects of Westminster austerity?

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

Kevin Stewart is quite right to point out the disappointing nature of the budget. The Government will continue to push the UK Labour Government to deliver a social security system that is fit for purpose and to deliver progress towards an essentials guarantee. Until then, now that the budget has passed, the two-child cap is now the Labour two-child cap and the benefit cap is now the Labour benefit cap.

It is also disappointing to see the freeze on the local housing allowance, given that the freeze is one of the main drivers of homelessness. We need to prevent homelessness as much as we can.

As Kevin Stewart said, the Government does a lot to try to mitigate the worst excesses of UK Governments, both Tory and Labour. We have spent about £1.2 billion mitigating the impacts over 14 years, including £134 million this year alone on discretionary housing payments and the Scottish welfare fund, as well as nearly £500 million on the Scottish child payment. We will continue to protect people who are on low incomes.