Meeting of the Parliament 18 June 2026 [Draft]
The Scottish Government will spend £159 million to mitigate UK Government policies this year through discretionary housing payments and the Scottish welfare fund. The benefit cap, for example, which the UK Government chose to keep in place, impacts on 9,000 children, and many more families are expected to be hit by it following the scrapping of the two-child limit. Much was made of that by the UK Labour Government, but it hit those families with the benefit cap instead. We will mitigate that and assist those 9,000 children.
More than 19,000 children are impacted by the bedroom tax, while the freeze to local housing allowance rates will impact on an estimated 26,000 children this year. The Scottish Government will continue to step in and support those children and families, but the best way that the issue can be tackled is at source and for the UK Government to change its position on the benefit cap and stop the freeze on the local housing allowance.