FM brands Spring Statement impact on benefits indefensible
Nicola Sturgeon has branded the impact of Rishi Sunak’s Spring Statement on those on the lowest incomes “disgusting and indefensible”.
The First Minister quoted analysis from social change charity Joseph Rountree Foundation (JRF), which estimated 600,000 people in the UK will be pulled into poverty as a result of the increase in National Insurance and the failure to increase benefits in line with inflation.
According to JRF, families in poverty will be £446 worse off in the next financial year compared to if benefits had been increased in line with current inflation levels.
The Resolution Foundation, a living standards think-tank, said the statement could leave 1.3 million people on the verge of “absolute poverty”.
Asked at First Minister’s Questions yesterday for her reaction to the statement, Ms Sturgeon recommended MSPS read the JRF analysis.
“The richest decile will see their incomes fall by less than 2 per cent, the poorest decile will see their incomes fall by almost 6 per cent,” she said.
“That is principally down to the failure to properly uprate benefits, and given that the Chancellor had access to more money, the decision not to do that is disgusting and completely indefensible.”
Scottish Labour leader Anas Sarwar urged Ms Sturgeon to do more to support Scots struggling with cost of living.
Mr Sarwar accused the First Minister of plans that are “simply not good enough”, adding Chancellor Rishi Sunak “must
have been taking lessons on missed opportunities from this First Minister and her Government’s budget”.
Mr Sarwar called for a freeze to water charges and a £100 rebate to all households from the “cash mountain of £428 million” held by state-owned Scottish Water.
He also demanded a windfall tax on oil and gas giants, £400 support payment to struggling families and freeze on rail fares.
Ms Sturgeon said the Scottish Government was doing all it could to support struggling families without independence.
“We have limited powers and we have limited resources, but duetoourwiderlong-standing policies, people here already pay less than average in council tax, less in water bills, less on rail fares,” she said.
“People in Scotland compared to south of the border pay nothing for prescriptions,
for eye tests, for university tuition … we have taken the decision to uprate devolved benefits by 6 per cent, and it's the failure south of the border to do that that's having the biggest impact on low-income families.
“We've introduced the Scottish child payment, we're investing in the Scottish welfare fund, we're increasing the fuel insecurity fund.”
She added: “Anybody who is about helping the lowestpaid would be arguing for and demanding powers and resources to be taken out of the hands of Rishi Sunak and his type and put into the hands of this Parliament.”
Mrsarwardismissedthefirst Minister’s response as “not good enough”. He said: “People are struggling right now and, as per usual, the First Minister wants to make this a constitutional debate.”