Child poverty in Scotland shows little change

About 240,000 children are living in relative poverty in Scotland

The number of children in Scotland living in poverty has shown little change in the past 12 months, according to new figures.

A Scottish government report said the numbers were "broadly stable" on all four measures of child poverty.

It is estimated that, on average, about 240,000 children (24%) were living in relative poverty after housing costs, over the period from 2020 to 2023.

This means they are in a household which has an income less than 60% of the median average for families of the same size across the UK.

Figures released for the UK as a whole show 30% - 4.3 million children - are living in low income households.

The Scottish poverty report uses a three-year average, estimating the rate of child poverty to be 24% but single-year statistics showed an increase.

Additional tables in the report put the figure for the last year at 26% of children living in relative poverty in Scotland, up approximately 30,000 from the previous year.

The latest Scottish poverty stats also show:

• An estimated 21% of Scotland’s population (1,110,000 people each year) were living in relative poverty after housing costs.

• This is similar to last year but slightly higher than levels in the last decade.

• 15% of pensioners were living in relative poverty after housing costs.

• Pensioner poverty has been stable in recent years.

The Scottish government has set a target of reducing the child poverty figure to 10% by 2030.

There is an interim target of 18% when this year's figures come out in 12 months' time.

Campaigners said there was a grave danger of missing both targets.

Philip Whyte, director of IPPR Scotland, said the figures must be a wake-up call.

He said: "Meeting the government's legally-binding interim child poverty target will require 80,000 children being lifted out of poverty this year.

"We can't give up hope for those children that the target can be met - but the evidence shows that we're going in the wrong direction and significant action is needed, now."

The Scottish Child Payment, the Scottish government's flagship policy in this area, currently pays £25 a week for every child in households which claim certain benefits or tax credits, with more than 400,000 families eligible.

Working households

The Child Poverty Action Group (CPAG) said rising child poverty across the rest of UK suggested Scottish policies were helping families but they said the new figures were a “stark reminder” that more action was needed.

CPAG's John Dickie said the payment needed to be increased to £30 a week and he urged the government to rethink cuts to affordable housing and to ensure childcare and employment support were adequately funded.

Ruth Boyle, from The Poverty Alliance, called for the Scottish Child Payment to increase to £40 a week, saying it had been a lifeline for families in poverty.

She also called on the UK government to increase Universal Credit.

"The number of people of working age in poverty has actually gone up, and more than two-thirds of children living in poverty are now in working households," she said.

Claire Telfer, from Save the Children, said she was disappointed that progress had stalled.

"Families are walking a financial tightrope every day - food is too expensive, bills remain high, and it can be hard to provide even the basics for their children," she said.

"There are 240,000 children locked in poverty across Scotland and that shames us all."

She said the Scottish Child Payment was making a difference but it had not yet "shifted the dial downwards on the numbers of children living in poverty".

Limited budget

Social Justice Secretary Shirley-Anne Somerville said the Scottish government was doing "everything in our power and limited budget" to tackle poverty, adding that the latest statistics "reinforce the urgency of that mission".

She added: "Modelling published last month estimates that Scottish government policies will keep 100,000 children out of relative poverty in 2024-25."

The minister said the Scottish Child Payment would increase to £26.70 a week from 1 April - making the value almost £1,400 per eligible child per year.

"An estimated 40,000 children could be lifted out of poverty in Scotland immediately if the UK government made key changes to Universal Credit," she said.

"That includes abolishing the two-child limit and introducing an 'essentials guarantee' to ensure payments cover the cost of food, household bills and transport."