Meeting of the Parliament 20 February 2024
I struggled to hear Mr Balfour because of the chuntering from Stephen Kerr behind him, but I am happy to go with what I think I heard.
The challenge around the programme for devolution of benefits, which we are undertaking with the Department for Work and Pensions—it is a joint programme, and I make no criticism of the DWP in what I am about to say, because it is just a statement of fact—is that we sometimes need to work with the DWP, which can be difficult because its systems require updating and we need to work to build our systems. Under independence, we would, of course, work with the DWP on the transfer in order to ensure that we would look after the safe and secure transition of people in Scotland, just as we have done under devolution.
The early changes that we have talked about in the paper would prioritise, among other things, direct improvement of the lives of people who are in receipt of benefits. It is very important that that is done, because those people are not receiving the right support and security at this time. Our proposed reforms to universal credit would total around £250 million in 2023-24, which equates to just over 1 per cent of total benefits expenditure.
In the longer term, the paper sets out how independence could offer the opportunity to use innovative approaches to delivering a universal guarantee of financial security through a minimum income guarantee, thereby giving people the right to a decent income that would be set at a level that would ensure that everyone could have a dignified quality of life.
A minimum income guarantee is an ambition that would enable all households to live with financial security. It would sit at the heart of a strong wellbeing economy. The aim is that it would be simple and accessible. It also has the potential to bring all current Scottish income replacement benefits into a single integrated system. The paper also refers to a universal basic income as a potential longer-term model of social security.
The first Government of an independent Scotland would have an opportunity to deliver better outcomes for everyone, including families and households on low incomes, unpaid carers and disabled people. With independence, Scotland would have the choice to explore new, better and more forward-looking approaches to social security, without the limits that are placed on us by our being part of the UK’s outdated system.
We cannot guarantee social justice unless we control delivery. With independence, therefore, we have the potential to deliver transformational change by building on our successes to date, and to build a fairer and more equal society, in which everyone has enough money to live a decent, dignified and healthy life. With independence, Scotland would deliver a social security system that would be a vast improvement on what we have already been offered, and which would move far beyond the inadequacies of the current approach.
Earlier this month, the Scottish Labour leader told the New Statesman that this Parliament is too focused on social policy and not focused enough, in his opinion, on the economy. That failure to recognise how critical the common weal is—the combining of a wellbeing economy with a social security net that would be there for all of us in our time of need—is a failure to recognise the kind of society that we can be. A fairer future for all will not be built on a binary choice between a strong economy and a social security system. It is disappointing to see the lack of ambition on that from the Westminster parties.
I have highlighted the fact that that we, in the Scottish Government, believe that social security is a human right. It is an investment in our people and our society that delivers better outcomes and supports a stronger and more prosperous economy. If members agree with that, they should also agree that benefits should be set at a level at which people can afford the essentials. That is why this Government has called on the UK Government—which the other Westminster parties have yet to do—to introduce to the current system an essentials guarantee. How can those parties genuinely claim to have that as the basis of their social security policies when they will not even call for those changes now?
I have no doubt that, over time, Scotland can match the performance of other independent European countries that have low levels of poverty and inequality and high levels of economic success. Our paper details how that success could be achieved. The first steps towards that would be independence and a step away from UK Governments—of whatever colour—that seem to be determined to make it harder for people to get the support that they need. It is time that Scotland had the opportunity to make a real change in people’s lives: the Government’s paper outlines exactly how it can do that.
I move,
That the Parliament welcomes the Scottish Government’s paper, Building a New Scotland: Social security in an independent Scotland; agrees that the people of Scotland would be best served by a social security system that embeds dignity, fairness and respect and provides a safety net for all as part of a strong wellbeing economy; notes progress made with Scotland’s unique social security benefits, including five family payments, with modelling estimating that 90,000 fewer children will live in relative and absolute poverty in 2023-24 as a result of Scottish Government policies, with poverty levels 9 per cent lower than they would have otherwise been, but recognises that only independence provides the full range of powers that would enable Scotland to provide the social security that the people of Scotland deserve.