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CREATING A FAIRER SCOTLAND FUNERAL PAYMENTS. Benefit expenditure in Scotland – 2013/14 These figures exclude nearly £400million of expenditure on the.

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Presentation on theme: "CREATING A FAIRER SCOTLAND FUNERAL PAYMENTS. Benefit expenditure in Scotland – 2013/14 These figures exclude nearly £400million of expenditure on the."— Presentation transcript:

1 CREATING A FAIRER SCOTLAND FUNERAL PAYMENTS

2 Benefit expenditure in Scotland – 2013/14 These figures exclude nearly £400million of expenditure on the Council Tax Reduction Scheme and Scottish Welfare Fund which are already devolved to the Scottish Parliament. If they are included, total benefit expenditure in Scotland in 2013/14 was around £17.9 billion.

3 Benefits for people out of workBenefits for elderly peopleBenefits for people who are ill or disabled Income SupportFinancial Assistance SchemeAttendance Allowance In Work Credit & Return to WorkPension CreditCarer’s Allowance CreditState PensionDisability Living Allowance Job GrantState Pension TransfersEmployment & Support Allowance Jobseeker’s AllowanceTV LicencesIncapacity Benefit Winter Fuel PaymentsIndustrial Injuries Personal Independence Payment Severe Disablement Allowance Specialised Vehicles fund Statutory Sick Pay Vaccine Damage Payments Benefits for families with childrenBenefits for people on low incomesOther Child BenefitCouncil Tax ReductionBereavement benefits Child Tax CreditDiscretionary Housing PaymentsChristmas bonus Guardians AllowanceScottish Welfare FundUniversal Credit Maternity AllowanceSocial Fund (regulated) Statutory Maternity PayWorking Tax Credit Housing Benefit Benefits to be Devolved

4 Scotland Bill UC Flexibilities agreed Scottish Government policy proposals 2015 New Scotland Act Work continues on transition Scottish Parliamentary legislation begins 2016 UC roll out concludes per UKG timetable Work continues on transition Scottish welfare system emerges 2017 onwards UK General Election Scottish Parliament Elections Scottish Local Government Elections Timetable

5 The Regulated Social Fund

6 Funeral Payment Applications, Payments and Spend for the UK All figures are taken from DWP Annual Reports on the Social Fund

7  In 2014/15 there were:  51,000 Applications  32,000 Grants given out UK wide totalling £44 million  Average award £1375  Spend in Scotland in 2013-14 was just below £6m  Recovery - £0.2m for the UK in 2014/15 Applications

8 What we know about Applicants 37.9% qualify by way of Pension Credit Qualifying Benefit Funeral Expenses Payment Awards (000) Percentage of total awards Income Support, Employment and Support Allowance (income- related), Jobseekers Allowance (income-based), Universal Credit and Pension Credit 24.877.3 Child Tax Credit (at a rate higher than the family element)/Working Tax Credit (which includes a disability or a severe disability element) 2.99.1 Housing Benefit & Council Tax Benefit 4.313.5 Total 32.1100.0 All figures are taken from DWP Annual Reports on the Social Fund

9 Trends in Scotland Rising Death Rate Rising Funeral Costs Downwards pressures/static incomes Current level of grant cf. costs Likely increasing need for funeral payment

10  Continue gathering evidence to inform policy – advice to Ministers - pre-christmas  Scoping out practicalities of delivery - mapping the existing DWP process and looking at data needs and sources  Liaising with projects in the Social Security Programme on RSF requirements e.g. assessment of options for delivery, the Scotland Bill and other legislation, financial negotiation with the UK Govt. What we are doing

11  Wide options appraisal under way  Range of needs for the benefits being devolved  Data sharing critical for all  Opportunity to learn from DWP  Commitment to respect and maintain the dignity of the applicant  Commitment to working with users on design and improvement e.g. user panels Delivery Arrangements

12  Burial and Cremations Bill  Increasing and widely variable funeral costs  Welfare Reform  Third and private sector responses  Developing Funeral Poverty debate  Early intervention and assets base Scottish Policy Context

13  The purpose of the Scottish payment is to allow bereaved families on low income to provide a respectful funeral, within a reasonable timeframe, and without taking on unsustainable debt.  The target group for the Scottish payment is people (families) on a low (benefit) income, who are responsible for the funeral of someone who has died without leaving sufficient funds to pay for their funeral.  The funding available for the grant will be the same as the spend in Scotland at the moment – around £6m a year. Working Assumptions

14 Stakeholder Views  Lack of awareness/understanding of funeral payments.  Payment does not meet the cost of a funeral, resulting in debt for families and bad debt for funeral directors  Complexity in how the payment is made up and difficulty in predicting what you might be awarded.  A perceived un-fairness in the rules for eligibility - relationships in modern families are more fluid.  Relatively low success rates (around 52% success rate) - wasted effort on the part of applicants and processing staff.  Delays in processing cause anxiety at a very difficult time.  Costs of burial or cremation vary significantly depending on which Local Authority you live in – a postcode lottery.

15 Emerging Logic Model

16  Raise awareness, systematic information through registrars, funeral directors, hospitals etc.  Use the grant to link users to other services e.g. credit unions, welfare rights  Reduce complexity e.g. a fixed grant for funeral director fees, simpler criteria around relationships, deductions etc.  Improve experience/speed e.g. agreement in principle or an eligibility check, progress tracking/better communication.  For consideration if extra money is available, increase the level of payment, extend eligibility criteria  Measures to tackle funeral poverty e.g. downwards pressure on costs, encouraging people to plan for their own funerals where possible. Ideas so far for the devolved grant

17  Little meaningful information in DWP data  Gender, pregnancy and maternity  Religion and belief  Race  Disability Equalities Dimensions

18  Help fill gaps in our thinking – other options we have not thought of, connections we can make  Help us assess the options we have already identified  Help us understand the possible equalities impacts What we need from you

19  Dorothy Ogle – dorothy.ogle@scot.govdorothy.ogle@scot.gov  Kirsteen Macleod – kirsteen.macleod@scot.govkirsteen.macleod@scot.gov For more information and sign up to receive our newsletter www.gov.scot/Topics/People/fairerscotland/future- powers Contacts


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