Magazine article Public Finance

Scotland Counts the £1.75Bn Cost of Its Poor Children

Magazine article Public Finance

Scotland Counts the £1.75Bn Cost of Its Poor Children

Article excerpt

Child poverty in Scotland is costing up to £1.75bn a year, according to research carried out for the Scottish government.

A report, Estimating the cost of child poverty - approaches and evidence, considers the cost to the public purse of having one in five of Scotland's 1 million children living in poverty.

It looks at how much is being spent on supporting poor children, how much more it would cost to lift them out of poverty through the benefits and tax credits system and what alternative means might be available to prevent poverty.

The report estimates that the direct cost of child poverty due to extra spending on services amounts to between £500m and £750m a year.

But it also reckons that the annual knock-on cost to the public purse of young people not in employment, education or training could be as high as another £1bn - equivalent to about £4,000 to £5,000 per child. …

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