Chamber and committees

The Scottish Government welcomes today’s publication of the Independent Review (the “Review”) of the Scottish Welfare Fund (the “SWF”) . The Review highlights the importance of the SWF as a national safety net. It provides an essential source of crisis support and helps with independent living. The Review confirms that local delivery remains the right approach for getting financial assistance to people in need.

The SWF is a lifeline for many people and the Review recognises the positive impact it has on recipients. We acknowledge the SWF is a vital service and note its importance at a time of crisis. We therefore want to ensure it is a programme that continues to deliver for people in the best way possible. After a decade in place, it is time to make improvements to ensure the SWF remains a robust and reliable service. That is why we commissioned Ipsos Scotland to undertake this comprehensive Review. We thank all those who have been involved in the Review and for the suggestions for improvement.

Since the SWF began in 2013, in excess of £360 million has been paid to more than 490,000 households. The current financial pressures facing many households and the hardship that brings has shone a spotlight on the need for such emergency funds, and we can be proud we have a national service like the SWF in place to provide support for people in need. There is no doubt that the current cost of living crisis and the inadequacy of UK Government welfare for everyday living has contributed to increased demand for the SWF.

We note there is no desire for a centralised SWF system, but it is clear we must increase parity and consistency of application and decision making across the country, as well as improving the promotion of the SWF. These will be central to our improvement actions.

We will now act on the findings of the Review and assess future sustainability of the SWF. We will establish a Policy Advisory Group to inform an action plan to make the improvements the SWF needs to ensure it continues to deliver for those in need. We will also continue to work closely with Councils and stakeholders in this work and plan to publish the action plan by the end of Spring 2023.

We will address directly the suggestions for improvement in the Review and take action to ensure grants are delivered consistently, effectively and efficiently by:

• Improving clarity and consistency of communication and promotion of the SWF to the public so no matter where people live, they know what they are eligible for, to maximise knowledge about the SWF from before and through the application process;
• Increasing and strengthening consistency of decision making to address the disparity between council areas;
• Increasing awareness and improving accessibility to the SWF;
• Simplifying and streamlining the application process including the form content;
• Reducing processing timescales and assessment prioritisation;
• Updating statutory guidance; and,
• Creating a new data, monitoring and audit approach.

Our approach to the action plan will be guided by four key objectives, which are to:

1. Assess the evidence base from the Review and develop policy improvements in collaboration with stakeholders including through a Policy Advisory Group;

2. Strengthen the relationship with delivery partners in Local Authorities, the Scottish Public Services Ombudsman and the Scottish Prison Service, ensuring that policy improvements are implemented well;

3. Implement policy improvements in a sustainable way and establish an outcome auditing process to measure ongoing effectiveness; and,

4. Support the sharing of best practice and communicate positive outcomes driven by the SWF in the longer-term.