Government recognises financial challenge in mitigating two-child cap
Social Justice Secretary Shirley-Anne Somerville said applications will open for mitigation of the welfare policy on March 2, with payments being made 'as soon as possible' afterwards – meaning it will likely take place just ahead of the Scottish Parliament election.
She said the move will lift 20,000 children out of relative poverty, according to Scottish Government estimates.
However the minister also told MSPs she is 'deeply disappointed' that Scotland's interim child poverty targets have not been met, saying there is no single reason for them being missed.
Plans to mitigate the two-child cap were first announced last year but First Minister John Swinney said his Government needed time to set up the system.
Introduced under the Conservatives, the two-child cap limits benefits in most cases to the first two children born after April 2017.
Labour has cited fiscal constraints for keeping the cap, but in May the Prime Minister said he will be 'looking at all options' to tackle child poverty.
Ms Somerville said Scotland cannot wait for a decision at Westminster and implementing it in March – 15 months after the initial announcement – will be the fastest a new social security has even been introduced in Scotland.
Following an announcement on Tuesday morning, Ms Somerville addressed MSPs on the Government's 'tackling child poverty delivery plan'.
She said it is 'deeply disappointing' that interim child poverty targets have not been met, but rates are nevertheless coming down, and she pledged to 'build on that progress' ahead of 2030 targets.
Conservative MSP Liz Smith pressed the minister on how the mitigation policy will be funded, saying the Scottish Fiscal Commission (SFC) has noted a 'widening gap' between the Scottish Government's welfare spending and its funding.
She said: 'Can I ask where the other cuts will be made to pay for that mitigation?'
Ms Somerville said her Government is 'resolute' in tackling economic inactivity, saying people should not be punished for having children.
Decisions from the UK Government have pushed more people into poverty, she claimed.
Liz Smith asked how the policy would be paid for (Andrew Milligan/PA)
Discussing the SFC's forecasts, she said: 'Those are choices that we have taken – to ensure that we are protecting disabled people and children.
'Because we need to protect them from the effects of poverty.
'Those are decisions which will obviously be set out in the work that is being taken forward by the Cabinet Secretary for Finance as we look to the sustainability of our finances.
'We recognise that challenge.'
She said the 'easiest way to deal with that challenge' would be for the UK Government to scrap the two-child cap and proposals to cut disabled benefits.
Scottish Labour's Paul O'Kane said: 'For all the rhetoric we've had from the First Minister and the Cabinet Secretary after 18 years in office, relative child poverty after housing costs has only fallen by 1%.
'When the Cabinet Secretary says rates are broadly stable, what she means is that the dial hasn't shifted.'
The Scottish Fiscal Commission said the mitigation will cost around £150 million next year, before rising to nearly £200 million by the end of the decade.
Ms Somerville said around 43,000 children would benefit initially, rising to 50,000 by the end of the decade.
In March, the Institute for Fiscal Studies warned the policy could harm incentives to work because some of the lowest-paid workers could earn more on welfare than in employment.
The move has been welcomed by anti-poverty charities, who have urged the UK Government to scrap the cap, with the Child Poverty Action Group saying the move would lift 350,000 children across the UK out of poverty.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Rhyl Journal
25 minutes ago
- Rhyl Journal
Middle East situation ‘perilous', says Lammy amid calls for more talks
David Lammy flew from Washington to Geneva on Friday to meet Iranian foreign minister Abbas Araghchi alongside his French and German counterparts as the UK continued to press for a diplomatic solution to the Middle East crisis. The talks followed US President Donald Trump's announcement that he would delay a decision on joining Israeli strikes against Iran for up to two weeks. Speaking after the meeting, Mr Lammy told reporters: 'It is still clear to me, as President Trump indicated yesterday, that there is a window of within two weeks where we can see a diplomatic solution.' Urging Iran to 'take that off ramp' and talk to the Americans, he said: 'We have a window of time. This is perilous and deadly serious.' He added that the US and Europe were pushing for Iran to agree to zero enrichment of uranium as a 'starting point' for negotiations. But Mr Araghchi said Iran would not negotiate with the US as long as Israel continued to carry out airstrikes against the country, and insisted his country's nuclear programme was entirely peaceful. Both sides continued to exchange fire on Friday, with Iranian missiles targeting the city of Haifa while Israeli Prime Minister Benjamin Netanyahu said Tel Aviv's military operation would continue 'for as long as it takes'. Meanwhile, the UK Government has announced it will use charter flights to evacuate Britons stranded in Israel once the country's airspace reopens. Mr Lammy said work is under way to provide the flights 'based on levels of demand' from UK citizens who want to leave the region. The move follows criticism of the Foreign Office's initial response, which saw family members of embassy staff evacuated while UK citizens were not advised to leave and told to follow local guidance. The Government said the move to withdraw temporarily family members had been a 'precautionary measure'. On Friday, the Foreign Office announced that UK staff had also been evacuated from Iran, with the embassy continuing to operate remotely. But the Government continues to advise British nationals in the region to follow local advice, rather than urging them to leave.
Rhyl Journal
26 minutes ago
- Rhyl Journal
Lammy urges Iran and US to keep talking as Middle East conflict continues
The Foreign Secretary met his Iranian counterpart Abbas Araghchi in Geneva on Friday alongside foreign ministers from France and Germany and the EU's foreign policy chief. Following the meeting, Mr Lammy said the Europeans were 'keen to continue ongoing discussions and negotiations with Iran, and we urge Iran to continue their talks with the United States'. He added: 'We were clear: Iran cannot have a nuclear weapon.' Friday's meeting followed Donald Trump's statement that he would delay a decision on whether the US would join Israeli strikes against Iran for two weeks, raising the prospect of a negotiated solution to the crisis. German foreign minister Johann Wadephul said the group had left the room 'with the impression that the Iranian side is fundamentally ready to continue talking about all important issues'. Speaking to broadcasters after the meeting, Mr Lammy described the situation as 'perilous' and urged Iran to 'take that off ramp' and 'be serious about the diplomacy that is required at this moment'. He added that the US and Europe were pushing for Iran to agree to zero enrichment of uranium as a 'starting point' for negotiations. But Mr Araghchi said Iran would not negotiate with the US as long as Israel continued to carry out airstrikes against the country. Tel Aviv's campaign continued on Friday, with Israel saying its aircraft had hit military targets including missile-manufacturing facilities as it continues to attack locations connected with Iran's nuclear programme. Iran insists its nuclear programme is entirely peaceful. Meanwhile, the UK Government has announced it will use charter flights to evacuate Britons stranded in Israel once the country's airspace reopens. Number 10 said on Friday morning the situation remains 'fast-moving' and it will continue to be monitored closely. A spokesman added: 'We are advising British nationals to continue to register their presence in Israel and the Occupied Palestinian Territories, to be contactable with further guidance on these flights.' Mr Lammy said work is under way to provide the flights 'based on levels of demand' from UK citizens who want to leave the region. 'The UK will provide charter flights for British nationals from Tel Aviv when airspace reopens,' he said. 'The safety of British nationals remains our top priority.' According to the Israeli government, some 22,000 tourists are seeking to board evacuation flights. It is unclear how many of these may be UK citizens. Government advice for British nationals in the country remains to follow local guidance, as well as to let officials know about their presence within Israel or the Occupied Palestinian Territories. Land routes out of Israel remain open and British staff are on hand to support UK nationals who have crossed the border, he added. The move follows criticism of the Foreign Office's initial response, which saw family members of embassy staff evacuated while UK citizens were not advised to leave and told to follow local guidance. The Government said the move to temporarily withdraw family members had been a 'precautionary measure'. On Friday, the Foreign Office announced that UK staff had also been evacuated from Iran, with the embassy continuing to operate remotely.
South Wales Guardian
28 minutes ago
- South Wales Guardian
Middle East situation ‘perilous', says Lammy amid calls for more talks
David Lammy flew from Washington to Geneva on Friday to meet Iranian foreign minister Abbas Araghchi alongside his French and German counterparts as the UK continued to press for a diplomatic solution to the Middle East crisis. The talks followed US President Donald Trump's announcement that he would delay a decision on joining Israeli strikes against Iran for up to two weeks. Speaking after the meeting, Mr Lammy told reporters: 'It is still clear to me, as President Trump indicated yesterday, that there is a window of within two weeks where we can see a diplomatic solution.' Urging Iran to 'take that off ramp' and talk to the Americans, he said: 'We have a window of time. This is perilous and deadly serious.' He added that the US and Europe were pushing for Iran to agree to zero enrichment of uranium as a 'starting point' for negotiations. But Mr Araghchi said Iran would not negotiate with the US as long as Israel continued to carry out airstrikes against the country, and insisted his country's nuclear programme was entirely peaceful. Both sides continued to exchange fire on Friday, with Iranian missiles targeting the city of Haifa while Israeli Prime Minister Benjamin Netanyahu said Tel Aviv's military operation would continue 'for as long as it takes'. Meanwhile, the UK Government has announced it will use charter flights to evacuate Britons stranded in Israel once the country's airspace reopens. Mr Lammy said work is under way to provide the flights 'based on levels of demand' from UK citizens who want to leave the region. The move follows criticism of the Foreign Office's initial response, which saw family members of embassy staff evacuated while UK citizens were not advised to leave and told to follow local guidance. The Government said the move to withdraw temporarily family members had been a 'precautionary measure'. On Friday, the Foreign Office announced that UK staff had also been evacuated from Iran, with the embassy continuing to operate remotely. But the Government continues to advise British nationals in the region to follow local advice, rather than urging them to leave.
