The Chancellor of the Exchequer did listen to the arguments that were made, and I absolutely welcome the fact that he came back and said, “What we did before was not enough.” I do not know if he actually said that, but he said that he was going to do more and bring forward more. I am pleased that we are discussing this today, and I am pleased that these increases are happening, but I am making the case that the additional payments that are being made do not cover the cost of living increases. I do not think they are sufficient. and I do not think they will assist our constituents who are already struggling. The right hon. Member asked where the money would come from. We have always said that the windfall tax should be applied more broadly than just to oil and gas companies. We have always said that it should be for all those who made excessive profits during covid. Why should the Amazons and the Sercos of this world get away with making so much money during the pandemic and not have the Government look at that?
The reality is that the UK Government do not have to run a balanced budget. That is how the UK Government budget works. The Scottish Government have to run a balanced budget by law; the UK Government do not. There is far more flexibility in the budget than the Chancellor explains. When he stood up on 27 May, he was already looking at an additional £30 billion of fiscal headroom in the next few years, compared with his earlier projections and targets—compared with what he had hoped to get. There was already extra space, before he made the decision to introduce the supplementary tax on oil and gas companies. There is money there to do the additional payments and the additional requests that we are asking for today.
The UK Government have failed in a number of places. For example, they have failed to keep the triple lock for pensioners. They failed to keep the universal credit lifeline. They failed to implement a pension credit take-up strategy. They failed to come forward with cost of living measures as early as they should have during the course of the Budget. They have failed to scrap the evil sanctions regime. They have failed to produce a strategy to tackle child property. They have failed to bring in a minimum child maintenance payment. They have failed to uprate benefits by anywhere close to inflation this year. They have failed to scrap the rape clause. They have failed to bring in a real living wage that people can actually live on. They have failed to bring forward the long-promised employment Bill. They have failed to end the Department for Work and Pensions vicious loans clawback.
In contrast, the SNP Scottish Government running that balanced budget is delivering for people in Scotland. In Scotland, we are mitigating the bedroom tax. We are doubling our game-changing Scottish child payment. We are uprating benefits by double the level that the UK Government are. We are paying carer’s allowance supplement to people who are carers. We are paying £200 child winter heating assistance to families with severely disabled children and young people. We are increasing our school clothing grant, which is not available across the board in England and is at the discretion of local authorities here. We are offering 1,140 hours of childcare to all eligible children, no matter their parents’ working status. We are providing five new benefits worth up to a maximum of more than £10,000 by the time a first child turns six. That is £8,200 more than that provided in England and Wales. We are also providing additional money for subsequent children that is significantly in excess of the amount being provided here.
I therefore have some calls for the UK Government. I would like the UK Government to now uprate all social security benefits by 10% and backdate that to April 2020. The Chancellor stood there and said that uprating benefits would be less than the additional payment he is making—I want him to do both. This is a sticking plaster. Giving this additional one-off payment does not solve things for next year. It does not undo the fact that this year’s increase was woefully insufficient.
I would like the UK Government to make an additional £25 a week uplift to universal credit and to extend that to all legacy benefits to undo the harm done by cancelling the £20 a week increase last year. I would like them to cancel the rape clause, the two-child limit and the bedroom tax. There is only so much mitigation that the Scottish Government can do within our balanced budget.
I would like the UK Government to produce a child poverty strategy and to make tackling child poverty a national mission, as it is in Scotland. I would like the UK Government to bring in the long-promised employment Bill. They promised 28 times that they would bring in an employment Bill in the Queen’s Speech, and no employment Bill appeared in the Queen’s Speech. I would like them to match Scotland’s commitment to dignity and respect for those claiming disability benefits. I would like them to bring in a real living wage and to scrap the ageism in the pretendy living wage.
From day one of the Chancellor’s energy loan, which he announced earlier this year, we called for it to be a grant, rather than a loan. In May, the Chancellor U-turned. He changed it from a loan to a grant and he increased it, like we had asked. Now, we must see a U-turn on the five-week wait for universal credit. We must see that payment become a grant for those who get universal credit. We must not see those payments being clawed back.
The UK Government have 85% of the powers on social security. They have all the powers that relate to energy, all the powers that relate to the minimum wage and all the powers that relate to national insurance. We are being failed time and time again by the UK Government. We have asked for these measures to be devolved. We have amended things for these measures to be devolved. We have voted for these measures to be devolved. We have called, at every opportunity, for devolution of employment law, for devolution of energy,
for devolution over the minimum wage, and for devolution over national insurance. The UK Government refuse. The UK Government are continually refusing and clawing back powers from the Scottish Parliament—in their United Kingdom Internal Market Act 2020, for example. The Brexit Freedoms Bill is set to remove powers from this Parliament and centre it even more in the Executive than it already is. This is not the way to run a democracy.
People are struggling. Even with these payments on the horizon, people still struggle to see how they will get through the year. The only choice is for Scotland to become an independent country. Only by having the full powers of independence will we be able to protect people and help them through the cost of living crisis, in contrast to the UK Government who refuse to do so.
3.25 pm