Aberlour's response to the UK Budget

Today’s [Wednesday 30th October 2024] UK Budget includes a number of measures that will provide some relief to struggling families in Scotland. But so much more is needed.

We applaud the Chancellor’s action to tackle the debt crisis faced by low-income families by reducing the maximum amount that can be taken through Universal Credit deductions, from 25% to 15%.

This will in effect keep more money in families’ pockets for essentials and the things their children need. A good start, but we need much wider reform of public sector debt recovery to prevent families from being pushed, often deeper, into poverty as a result of public debt.

Increased funding available to the Scottish Government, along with the continuation of the Household Support Fund, will mean more money to help and support low-income families in Scotland and must accelerate efforts to tackle child poverty.

However, we know the single biggest action to reduce child poverty right now is to end the heinous two child limit. Today the Chancellor failed to make that commitment to immediately lift 300,000 children out of poverty, despite a clear and collective call from anti-poverty organisations, children’s charities and campaigners, as well as children and young people themselves, to do so.

We continue to call on the Prime Minister and Chancellor to take urgent action to end child poverty. That must mean reform of Universal Credit by ending the two child limit and the five week wait and making sure that benefit entitlements provide an adequate income that lifts families out of poverty.

SallyAnn Kelly OBE

Aberlour Chief Executive