Child poverty campaigners respond to new IFS living standards report

"Scottish tax and benefit policies working to reduce child poverty.....but progress falls far short of 2030 targets"

Responding to today's (2 April 2026) IFS Labour market, living standards and poverty trends in Scotland report the Director of Child Poverty Action Group (CPAG) in Scotland, John Dickie said:

"As this IFS briefing makes clear child poverty is lower in Scotland than the UK as a whole as a result of very welcome devolved tax and benefit policies, not least the introduction of the Scottish child payment, as well as lower housing costs.

 

But the bottom line is one in five of our children still live in poverty, far short of the 2030 target of fewer than one in ten agreed by all the Holyrood parties. As the IFS state clearly the most direct way for the next Scottish government to further reduce child poverty is to increase devolved benefits. That's why we are calling on all the Holyrood parties to commit to immediately increase the Scottish child payment to £40 a week as the first step toward doubling it by the end of the Parliament."

Mr Dickie continued:

"The IFS analysis echoes what parents tell us - that a mix of improvements to benefits, labour market opportunities and public services are all needed to protect them and their children from poverty. The next Scottish government will need to go further on all three if it is serious about ending the scandal of child poverty in a rich country."

Responding to concerns that increasing Scottish child payment might weaken incentives to work the campaigners point to recent evidence published by the London School of Economics that concluded there is no evidence that the Scottish child payment (SCP) has reduced labour supply and that “concerns that the SCP creates work disincentives are overplayed". Previous  analysis by the Scottish government also found the Scottish child payment was "not negatively affecting labour market outcomes at scale in the economy".

Ends

For further background and comment contact John Dickie, Director of Child Poverty Action Group (CPAG) in Scotland on 07795 340618