18 Dec 2000
Scottish Affairs Select Committee Report on Poverty in Scotland
The Government is determined to tackle the problems of poverty and build on the initiatives that they have already put in place to help the most vulnerable in society, Scottish Secretary John Reid said today.
Speaking following the publication of the Government's response to the Scottish Affairs Select Committee Report on Poverty in Scotland, Mr Reid said:
"The Government welcomed the Report by the Select Committee on Poverty and I gave evidence to the Committee on 29 March this year. When I gave evidence I said then that poverty is the biggest scar of a civilised society. To deal with the problem, you need to analyse it and then take firm action to deal with it. The whole Government is committed to tackling poverty and we are proud of our record.
"In the Pre-Budget Report, we announced further measures to help pensioners. From April next year, the Minimum Income Guarantee, which directly helps poorer pensioners, will increase to £92.15 for a single person and £140.55 for a couple. This helps over 160,000 pensioners in Scotland. The Government also increased the Winter Fuel Payment for this winter to £200 for households that qualify - double the amount paid last winter - helping around 1 million Scots pay their fuel bills. As well as direct action now, we are also thinking ahead and planning for the future. The Government has published its proposals for a new Pension Credit, from 2003. This will directly reward pensioners with low or modest savings.
"Another point I made when I gave evidence was that unemployment was one of the central, causal elements behind poverty. The Scottish employment figures continue to be excellent. The claimant count unemployment rate in Scotland is 4.6 per cent, its lowest level since January 1976 and employment in Scotland is at its highest level since 1960. We run an efficient economy which is one of the best ways of tackling poverty. Youth unemployment has been slashed by over 70 per cent since 1997 and over 29,000 young people have found jobs through the New Deal.
"We are determined to make work pay and help families which is why we introduced the National Minimum Wage, which benefits over 100,000 people in Scotland, and the Working Families Tax Credit which benefits over 100,000 families. Those families on the Working Families Tax Credit are, on average, around £30 per week better off when compared with the old Family Credit, which it replaced. Personal tax and benefit measures introduced in this Parliament will lift more than 1 million children out of poverty; 100,000 in Scotland.
"When fighting against poverty, we work in partnership with the Scottish Government. Both through the Joint Ministerial Committee on poverty, which brings together Ministers from across the United Kingdom, and through other more informal links. We will continue to work together so that the scar of poverty disappears from our nation."
NOTE TO NEWS EDITORS
The response by the Government to the Report may be purchased from the Parliamentary bookshop, Stationery Office outlets or The Stationery Office Publications Centre. Mail, fax and telephone orders: PO Box 276, LONDON SW8 5DT. Inquiries: 020 7873 0011. Orders: 0845 7023474. Fax: 020 7873 8200.