Social Security assistance - effects of inflation: report 2021-2022

Foreword

This report lays out the impact of inflation on Scottish benefits we deliver and our policy position on uprating for the financial year 2022-23. It includes all forms of assistance that the Scottish Ministers have a responsibility to uprate in 2022-23 as well as what we intend to do for the types of assistance where there is no requirement to uprate.

I am proud that we have introduced 11 benefits, seven of which are completely new forms of financial support. In particular, payments of our game changing Scottish Child Payment were made for the first time in February 2021, and it is included in this report for the first time. We introduced this new benefit to tackle child poverty directly at £10 per week per child and the latest figures show that it is benefitting over 106,000 children. As part of our national mission to tackle child poverty this will be doubled to £20 in April.

I am pleased the pilot for Child Disability Payment opened for applications in July this year and following a successful pilot it is now open across the country. Next year will also be important for us as we introduce Adult Disability Payment and Low Income Heating Assistance. 

This report sets out the inflation adjusted figures for each form of assistance and the rates that will be paid in 2022-2023. There is a duty set out in the Social Security (Scotland) Act and our Social Security Charter to uprate by inflation carer’s, disability, employment-injury, funeral expense assistance and the Scottish Child Payment that are in effect and we will bring forward legislation in early 2022 to deliver that, with the notable exception of Scottish Child Payment which is being doubled to £20. We have also increased Child Winter Heating Assistance by more than inflation.

We are continuing to build a social security system which ensures that people are treated with dignity, fairness and respect.