The £500 million fund announced by the UK Government for low-income families is a “disgrace and insult” in the wake of a £6 billion to Universal Credit, First Minister Nicola Sturgeon has said.
Around £41 million in Barnet consequentials is expected to be given to the Scottish Government from the announcement, which Ms Sturgeon promised would go to support low income families.
But she claimed the Scottish Government could not continue to mitigate the impacts of social security cuts from Westminster which were affecting the poorest, she said during First Minister’s Questions on Thursday.
Crisis
Labour leader Anas Sarwar raised concerns on the cost-of-living crisis he said would afflict the most vulnerable this winter, asking the SNP government to use the powers devolved to it to make sure those on low incomes are not left behind.
Mr Sarwar said the money from the Household Support Fund would allow for that extra money to be given to pensioners, as well as provide “targeted support” to other vulnerable households, such as families with a disabled child.
He raised the issue as the UK Government’s furlough scheme, which helped pay people’s wages during the Covid pandemic, was brought to an end, with fears this could spark a rise in unemployment.
The £20 uplift to Universal Credit is being ended, with energy bills also due to rise when the UK’s energy gap goes up from Friday.
Mr Sarwar said: “This is urgent, people are facing rising costs today. Energy bills will rise tomorrow. People need help now. We can’t dither and delay when families need that reassurance.
“The Scottish Government has the power to do something about it.
“We know the additional £41 million is on its way, and families need to know support is on its way too, because warm words will be cold comfort for people who risk suffering this winter.”
‘Disgrace and insult’
Ms Sturgeon responded: “First, the £41 million to which Anas Sarwar refers is, I assume, what will flow from this morning’s UK Government announcement of a UK-wide £500 million fund for low-income families.
“I am surprised to hear Anas Sarwar talk about that fund positively. It was announced by a Tory Government that is taking £6 billion out of the pockets of the lowest-income families through the universal credit cut and expecting praise—which it seems to have got from Anas Sarwar—for putting £500 million back. It is an absolute disgrace and an insult.
“I give the absolute commitment that every penny of consequentials that we get from that fund will go to support low-income families.
“That will be in addition to the support that I have already talked about—a £130 support payment by the end of October that will go to every household that receives council tax reduction, supporting more than 500,000 households across the country.”
Announcing the scheme earlier on Thursday, UK Chancellor of the Exchequer, Rishi Sunak, said: “Everyone should be able to afford the essentials, and we are committed to ensuring that is the case.
“Our new Household Support Fund will provide a lifeline for those at risk of struggling to keep up with their bills over the winter, adding to the support the government is already providing to help people with the cost of living.”
Nightclub case thrown out
Meanwhile, Scottish Conservative leader Douglas Ross criticised the roll-out of the vaccine passport scheme, which will come into effect on Friday.
Mr Ross claimed the programme was the most “anti-business” in Europe, as it relies solely on vaccination status and not other indicators, including proof of negative test.
It comes as an attempt to overturn the ruling was dismissed at the court of session, following a case raised by the Night Time Industries Association Scotland (NTIAS).
The Scottish Parliament’s Covid Recovery Committee has also written to the Scottish Government to provide a public information campaign as to the certificate’s use and further evidence of how necessary it is.
Mr Ross said: “It shows how badly the SNP Government has worked with businesses that they faced a legal challenge to this shambolic scheme just hours before it came into force.
“Everything about the SNP’s vaccine passport scheme has been left to the last minute. Guidance is still being published and the government’s flimsy evidence case for this policy only appeared before the Scottish Parliament a day before the scheme goes live.
“The app was supposed to be downloadable from Thursday but with hours to go until the scheme begins, there is no sign of it.
“At the football this weekend, thousands of people will need to go through vaccine passport checks in a very short space of time – without the SNP developing a public information campaign to inform them of the scheme.
“This anti-business SNP Government is the only one in Europe forcing these higher costs onto companies and forcing such restrictive rules onto the public.
“No other government in Europe is running a scheme that relies purely on vaccination status and bans people from venues unless they can produce official paperwork.
“Nicola Sturgeon wants independence in Europe and she’s got it with this botched policy. The First Minister is completely alone in pursuing this shambles of a scheme – and she doesn’t even know key regulations of it herself.
“Neither the First Minister or Deputy First Minister could say how or when this scheme could come to an end.
“This botched policy will damage businesses and affect people across Scotland – but the SNP seem to be making it up as they go along.
“When even Nicola Sturgeon is clueless about her own regulations, this looks like a complete farce to everyone in the real world.”
Following the ruling, a spokesperson for NTIA Scotland said: “The ruling is particularly disappointing given that senior counsel for the Scottish Government only produced evidence materials by email at the last minute, literally whilst Lord Keen was making submissions on our behalf, and before The Scottish Parliament had the opportunity to review the same papers.
“We will continue to challenge Scottish Government on this issue as we start to address the practical and physical challenges presented by the implementation of Covid Passports across Scotland. Our position as to the wider legitimacy of the scheme is preserved, and we continue to take legal advice on our options.
“It is essential that Scottish Government substantially increase efforts to communicate with the general public to increase awareness of the real impact this will have across the whole Nightlife environment in Scotland starting from Friday October 1.”