“We participated in good faith…” was a phrase used by most of the politicians who took part in the Smith Commission process.
Many in the third sector waited in good faith for the outcome. And it’s fair to say that many of us were disappointed - especially
as it appears further devolution of welfare may have been on the cards.
It also appears that the Commission may have misjudged – or worked around – the mood of the nation and civic society.
Consider the
recent poll showing public support for full welfare and tax devolution and the high number of submissions to Smith seeking further control over benefits. I don’t think that Smith will be the end of the devolution journey in relation to social security.
But we are where we are and as a pragmatic optimist, what we do with the new powers is the issue at hand as we prepare for whatever comes after May 2015. With that in mind, I pose some questions and challenges which politicians and policy makers might consider.
As a member of the Expert Group on Welfare, the possibilities of rethinking - strategically and operationally - the services and benefits that disabled people and their carers depend on were attractive. Benefits and tax credits/allowances are not the only levers we have in tackling poverty, but for many, they are vital in maintaining a decent standard of living. This is an issue which must help shape devolution of the benefits outlined within Smith. We must also consider how these benefits “fit” with devolved services. What can we do within a bigger “envelope” which includes social care provision, Attendance Allowance, Disability Living Allowance (DLA)/Personal Independence Payment (PIP)? Do we have an opportunity to rethink social care when more and more people are paying for it through their DLA?
Secondly, there is a risk that we end up with a far more confusing system. Take Carers’ Allowance which is tied to many other benefits – not just those which form the Smith “package”.
Carers Allowance – potentially coming to Scotland – can currently be paid on top of benefits which will remain reserved. For those receiving Attendance Allowance,
this can introduce eligibility for Pension Credit. The latter remains with Westminster. In some families, some individuals could be reliant on Westminster controlled benefits and tax credits for their income, whilst others look to Holyrood for theirs.
Finally, the level of budget to be transferred to Scotland for these benefits must already be causing the new Scottish Cabinet some concern. As people lose PIP in the transfer from DLA, carers will lose Carer’s Allowance. There are still plans to shave 20% off the DLA/disability benefits budget. What scope does the Scottish Government have to plug any gap?
Crucially, the good faith of those who are hungry and struggling to make ends meet has been stretched to breaking point – clearly illustrated by the recent
All Party Group report on hunger. Let’s help people restore their faith in government and wider society by finding a better way. A strong social security safety net is the first step in doing that, and whatever powers come to the Scottish Parliament, that must be our collective goal.
Last modified on 23 January 2020