BUST-UP OVER £251M I.T BILL
Scottish and UK governments at odds in row about benefit system costs
A DAMAGING row has broken out between the UK and Scottish governments over soaring IT costs for a new benefits system.
Nicola Sturgeon’s administration is in dispute with Whitehall over the bill for the digital delivery of lifeline payments. Scottish Labour MSP Pam Duncan-Glancy said: “The Tories and the SNP keep passing the buck and escalating conflict instead of working together and it is holding our social security system back. Both governments need to stop playing the blame game and focus on cooperating to deliver a system that works for the people of Scotland.”
Holyrood was given partial control of social security after the 2014 referendum, including payments for disabled people and the elderly.
The complex project involves the transfer of data from the UK Government’s Department for Work and Pensions (DWP) and setting up IT. As revealed by the Record, IT costs for the new benefits system have climbed from £212million to £251million, with the end date “to be confirmed”.
The DWP’s latest annual report revealed a disagreement over which government should foot the bill.
Buried on page 313, it says: “The Scottish Government have raised a dispute over their liability to fund certain digital investment activity that the DWP believes is essential to deliver devolution. The digital investment activity spans a number of years with detailed requirements and costs for future years yet to be defined, therefore a reliable estimate of the contingent liability is not available.”
It added that resolution of the dispute will be through an agreed process.
The Scottish Government said: “We are working closely with the DWP to resolve this issue under the provisions of the fiscal framework and will not provide commentary while discussions are ongoing.”