The Welfare Foods (Best Start Foods) (Scotland) Amendment Regulations 2023: business and regulatory impact assessment

Sectors and Groups Affected

Increasing eligibility and improving access to BSF will result in more low income families receiving support towards the cost of healthy food and milk. This may also mean that more money will be spent in local food retailers as demand for food and milk increases, supporting local economies. However, given the small scale of the increase in support (around 20,000 additional eligible clients across Scotland for the removal of the income threshold) in proportion to the size of the population and economy as a whole, any positive impacts on local retail businesses and supply chains are likely to be very small.

It may also contribute positively in reducing demand on health services delivered by the public sector as individuals have improved access to a healthy diet and therefore may be more likely to be of a healthy weight. However, it is likely much of any positive health impacts would be realised only in the long term rather than short term.

Increasing eligibility will have an impact on Social Security Scotland who will need to process more applications. This is likely to result in increased processing times for BSF, BSG and SCP in the six weeks following the introduction of the changes to BSF.

By further aligning eligibility and procedural rules for BSF with BSG and SCP, individuals will find it easier to understand what they are entitled to and will have less need to reapply for BSF. This could reduce the demand on advice services as individuals will be less likely to require support to apply for BSF. It could also reduce the demand on Social Security Scotland as in some instances they will be able to award BSF without the client having to reapply. For example, where an individual has been denied BSF due to not being in receipt of a qualifying benefit or child responsibility benefit and subsequently receives a backdated award of that benefit backdated to include the date of original application for BSF.

Removing the income thresholds also means that we will not need to uprate income thresholds annually to take account of increases to the National Living Wage. This will lessen the burden on Social Security Scotland as they will not require to annually update data sharing agreements with HM Revenue & Customs and the Department for Work and Pensions.