Scotland’s economy is missing out on up to £2.4 billion a year due to the UK and Scottish government’s failure to eradicate poverty – with billions more being spent tackling the consequences of poverty which could be better used to prevent it. But change is possible if politicians act now, according to experts at IPPR Scotland, Save the Children, and the Joseph Rowntree Foundation.
In a major report published today, the leading charities warn that the failure of successive governments to drive down poverty is causing significant harm to individuals, public services and the economy. The toll this takes on peoples’ financial security is severe, meaning that:
- Struggling households across Scotland collectively face a £2.7 billion gap between where they are and where they need to be to achieve a basic level of financial security. This is equivalent to 350,000 households being short-changed by £7,000 each year due to the inadequacy of UK and Scottish government action on social security, creating fair work and tackling inequality.
- The impacts of child poverty are far-reaching with children paying the price now and in the future. People over the age of 30 who experienced poverty during their childhood have around 25 per cent lower income, and eight times the unemployment rate, than those who didn’t.
