Meeting of the Parliament (Hybrid) 17 November 2020
In April, I informed the Parliament about the areas of the social security programme that had had to be put on hold because of Covid-19, and said that I would update the chamber again when we had assessed the impact of the pandemic further.
Clearly, that impact is significant and continuing in all areas of life. Social security is no different. Therefore, I will set out my expectations for when we will be able to deliver the first of our Scottish disability assistance benefits.
First, I will provide some context for the considerable impact of the pandemic on the delivery of social security. Face-to-face user research and testing had to be paused, around 60 social security staff were redeployed to support the Covid response elsewhere in Government and, of course, all staff had to work from home. That impacted on front-line staff at Social Security Scotland in particular, but also programme staff, who had to try to replicate the face-to-face agile methodologies to build our future benefits systems while working remotely.
However, the impact on our delivery partners was, and still is, even more marked. Health and social care professionals, whose expertise we need to deliver disability and carer benefits, have been rightly redeployed to the front line. Local authorities are focused on supporting people during this incredibly difficult time, from keeping schools open to providing our new self-isolation support grant, and the Department for Work and Pensions, whose partnership is imperative to our work, has understandably had to divert resources to respond to unprecedented demand for universal credit as the economic impact of the pandemic hit. I do not want to dwell on that, because Covid-19 affects us all and, across society, the way we live, work and socialise has utterly changed, but the context is important.
Despite the impact of Covid on future social security benefits, I am very proud of what the Government and social security have achieved this year. We have continued to deliver and pay our benefits to people. Social Security Scotland is forecast to spend £111 million this financial year to support 262,000 people. We have introduced three new benefits. We have also provided a raft of increased support to people to mitigate the pressures that the pandemic has caused.
We have supported people by significantly increasing the Scottish welfare fund and discretionary housing payments, as well as other housing support. We paid an additional coronavirus carers allowance supplement in June, which provided carers in Scotland with up to £690 more this year than those elsewhere in the United Kingdom. We have also introduced a brand new form of support to respond to the pandemic, through our £500 self-isolation support grant for low-income workers.
Over the past four months, we have also introduced three brand new benefits to support the people of Scotland. Our job start payment helps young people who are returning to the workplace, and from next week, our child winter heating assistance will help heat the homes of severely disabled children. By prioritising the game-changing Scottish child payment, we were able to open it to applications for children under 6 last week. That payment has never been more needed, and we have delivered it at a speed, unprecedented in the UK, of under 18 months from announcement to delivery.
That is what we have achieved, and now I want to give the Parliament clarity on when, in my judgment, we will be able to deliver some of the benefits whose introduction the pandemic has delayed. I am mindful of the continued uncertainty brought about by Covid-19. Although our resources have now returned to near pre-pandemic levels, the same is not true for our delivery partners, who are still heavily impacted in key areas. Accordingly, work to replan our timetable is continuing, but I am able to tell the Parliament about the decisions that have been made so far.
It remains my ambition to roll out the Scottish child payment to under-16s by the end of 2022, as we recognise the profound, positive impact that it will have on tackling child poverty. It could support up to half a million children, with an annual investment of £184 million. However, as I have consistently made clear, to deliver the payment on time we are absolutely dependent on the DWP giving us the data that we need on 6 to 16-year-old children. We cannot proceed without it, and currently we do not have clarity on that point. Conversations continue. Just last week, I spoke to the UK Government’s Minister of State for Disabled People, Work and Health, and emphasised once again the crucial importance of the DWP’s support in delivering that payment. I will continue to make that case.
I turn to disability benefits. I believe that, had it not been for the pandemic, we would by now have been delivering the child disability payment and the adult disability payment would be on course to launch early next year, in line with our previous plans. It was hugely disappointing for me personally when, in April, I announced that Covid-19 would delay those new benefits. I know that that disappointment was as nothing when compared with that felt by disabled people, who are rightly looking forward to a better service based on dignity, fairness and respect. We have therefore worked hard over the summer, in partnership with the DWP and, importantly, the health and social care professionals we will need, to determine when it might be possible to introduce those two benefits.
My decision, which the DWP has agreed to support, is that we will introduce the child disability payment from summer next year. An initial pilot to test our systems and processes will be followed by a full national roll-out in the autumn. The following year, the adult disability payment will replace the DWP’s personal independence payment. That will begin with a pilot in spring 2022, and will be fully rolled out by that summer. The first Scottish clients, who currently receive child disability living allowance and PIP, will begin to transfer across to Social Security Scotland as soon as the new benefits are rolled out nationally.
Although it remains a disappointment to me that the pandemic has led to that inevitable change in our programme, it has not stopped and will not stop the work that we are doing. Members will have seen the set of policy papers that we published recently on disability benefits that shows how the new service will look, from when people apply, through to how decisions are taken and what support can be provided. Our work has continued to ensure that respect, dignity and fairness are built into how our disability benefits will look, feel and support people. I am grateful to our stakeholders and to experience panel members for helping us make those values a reality.
The work on the necessary legislation is also well under way. The Scottish Commission on Social Security is currently scrutinising our child disability payment regulations, and we will consult shortly on the regulations for the adult disability payment.
I turn to the remaining devolved benefits, which I discussed last week with the UK Minister of State for Disabled People, Work and Health. Now that our respective officials have the capacity to do so, we reaffirmed our commitment to taking forward the necessary detailed planning work on the benefits, having prioritised reaching an agreement on child and adult disability payments over the past few months. I thank the DWP for its continued support in that work of replanning.
That includes carers assistance, the other disability benefits and our winter benefits. People will continue to get their payments under agency agreements with the DWP in the meantime. I will of course keep the Parliament updated.
As with disability benefits, we will also progress the important policy work necessary. We will consult early next year on the strategic direction for carers assistance in Scotland, to ensure that both carers allowance and the new carers additional child payment will meet the needs of Scottish carers.
It remains my ambition to launch all our benefits and complete the work of case transfer by 2025, in line with the timetable I announced last year, although, as I have always said, we will not do so if that would put people’s payments at risk. I have listened to recent advice from the disability and carer benefits expert advisory group that our wish to transfer people’s cases as soon as possible
“must not ... jeopardise the safe and secure transfer process”.
I will always prioritise making sure that people get the payments they are entitled to, in these troubled times above all.
I know that the changes to our timetable and the continuing uncertainty will be disappointing to many people. Social security is just one of many areas of our lives that the all-pervasive impact of the pandemic has thrown off-course. Yet, as we remain focused on delivering a system that looks and feels substantially different, one that is founded on dignity, fairness and respect, I feel full of hope about what we can—what we will—achieve, despite the difficulties caused by Covid-19.
This time next week, families of severely disabled children will begin receiving an additional £200 towards their heating costs. In three months’ time, the Scottish child payment will start to be paid to families of children under 6. This time next year, disabled children across Scotland will be getting support from our new child disability payment and we will have begun the work of transferring existing Scottish clients safely and securely from the DWP to Social Security Scotland. The following year we will replace PIP and, with UK Government co-operation, roll out the Scottish child payment to under 16s and help lift 30,000 children out of poverty.
There is no denying that we are living through unprecedented and difficult times, but despite the adversity, and in partnership with the people of Scotland, we are continuing to change lives for the better through our new social security system.