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Striking differences in benefit entitlements across UK countries, study finds

Striking differences in benefit entitlements across UK countries, study finds

Summary

A new study found that welfare benefits for low-income families vary a lot across the UK’s four countries due to different local policies. For example, a low-income family in Scotland can receive up to £15,000 more a year in state support than a similar family in England, because Scotland offers more generous child payments and protections against benefit limits.

Key Facts

  • A typical out-of-work couple with four children gets about £22,000 a year in benefits in York (England), £32,000 in Belfast (Northern Ireland), and £37,000 in Glasgow (Scotland).
  • Scottish families receive £1,800 extra in the first year of a child's life compared to families in England or Wales.
  • Scotland and Northern Ireland have opted out of the UK’s benefit cap, allowing families to receive higher total benefits.
  • Social housing tenants in Scotland and Northern Ireland are protected from the “bedroom tax,” saving them around £600 a year; England and Wales offer help only sometimes.
  • Differences in council tax support mean some families in England pay more council tax than those in Scotland or Wales.
  • Devolved benefits cost about £1 billion extra a year across the UK, mostly in Scotland.
  • Scotland’s government, led by the Scottish National Party, introduced weekly child payments for low-income families on Universal Credit.
  • These variations aim to reduce child poverty and improve living standards in each country.
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