LABOUR have claimed the Scottish Government has not “set aside” money to fund scrapping the two-child benefit cap.
Chancellor of the Duchy of Lancaster Pat McFadden said the SNP would need to “identify the money” for scrapping the controversial policy north of the Border, adding: “That’s not happened yet.”
McFadden (below) on Friday attended the British Irish Council, which brough together Keir Starmer, John Swinney, the Irish government and the leaders of the other devolved administrations and the crown dependencies.
Speaking at a press conference afterwards, Swinney said that Starmer had “indicated to me that he would work constructively with us” to help the SNP abolish the two-child cap in Scotland.
The policy limits the amount of benefits parents can claim if they have more than two children and has been blamed for the rise in child poverty.
Experts say scrapping it is one of the quickest ways of alleviating child poverty, however Labour have kept the policy in place since coming to power and McFadden has previously faced criticism for claiming the harm caused by the policy is "open to debate".
The First Minister told reporters that the Scottish Government needed data from the Department for Work and Pensions (DWP) to help it get rid of the policy.
SNP Finance Secretary Shona Robison (below) announced during her Budget speech earlier this week the SNP intended to scrap the policy.
She said the cap would be lifted on the estimated 15,000 affected children in Scotland in April 2026.
Asked about the SNP decision, McFadden said: “We all have a desire to reduce child poverty, I understand that desire absolutely, I also understand the money for this commitment has not been set aside but there has been a request for data from the DWP and like the Prime Minister, I would ensure that the UK Government gives the Scottish Government any data it needs for this.”
He added: “The First Minister’s government, like any government, will have to identify the money for that. That’s not happened yet. We believe this is about more than benefits.”
Swinney (above) said that the money to “do the work that is necessary” to abolish the cap had been “factored in” to the recent Budget and added that the money to scrap the policy would be found for the next Budget.
He added: “The Prime Minister indicated to me that he would work constructively with us on taking forward that commitment, which is welcome because I need the cooperation of the UK Government to enable us to achieve our objectives of lifting the two-child limit and enabling us to make further progress in our work to eliminate child poverty.”
