Social Security (Scotland) Act 2018 (Carer’s Assistance) (Consequential Modifications) Order 2026

Baroness Anderson of Stoke-on-Trent Excerpts

Wednesday 28th January 2026 Grand Committee

Moved by

[Baroness Anderson of Stoke-on-Trent]

That the Grand Committee do consider the Social Security (Scotland) Act 2018 (Carer’s Assistance) (Consequential Modifications) Order 2026.

[Baroness in Waiting/Government Whip (Baroness Anderson of Stoke-on-Trent) (Lab)]

My Lords, I am grateful for the opportunity to debate this order today. As with all of the Scotland Act orders that we have considered since the start of this Parliament, this is the result of collaborative working between the UK and Scottish Governments.

The order before us will be made under Section 104 of the Scotland Act, which, following an Act of the Scottish Parliament, provides the power for consequential provisions to be made in the law relating to reserved matters or the laws elsewhere in the UK. Scotland Act orders are a demonstration of devolution in action. I am pleased to say that the Scotland Office has taken through 12 such orders since this Government came to power in July 2024.

The Scotland Act 2016 devolved responsibility for certain social security benefits and employment support to the Scottish Parliament. This included the carer’s allowance, which the Scottish Government replaced with the carer support payment in 2023. This order is being brought forward to make provisions in consequence of further changes that the Scottish Government have made to their carer support payment. The Scottish Government requested this order, and the UK Government have worked collaboratively with them on this draft order, showcasing devolution in action.

The draft order under consideration today makes amendments to relevant UK and Northern Ireland legislation as a consequence of the Carer’s Assistance (Miscellaneous and Consequential Amendments, Revocation, Transitional and Saving Provisions) (Scotland) Regulations 2025, which were made on 6 November 2025 and come into force for the provisions that are relevant to this order on 15 March 2026. The Scottish Government’s regulations introduce additional support for those receiving the carer support payment and caring for more than one person, in the form of the carer additional person payment; extend support for carers from eight to 12 weeks after the death of the person they care for; and introduce a new Scottish carer supplement, which will, for most carers, replace the carer’s allowance supplement that is currently paid under Section 81 of the Social Security (Scotland) Act 2018. This order will ensure that the changes the Scottish Government are making to the carer support payment are reflected in reserved benefits.

In summary, this order makes consequential amendments to UK legislation to reflect the introduction of changes to the carer support payment in Scotland. As I said, it is an example of devolution in action. It is about the UK Government working with the Scottish Government to deliver for the people of Scotland, and it reflects the continued strong co-operation between the Scottish and UK Governments. I beg to move.

[Lord Bruce of Bennachie (LD)]

My Lords, I thank the Minister for her introduction. I have one or two questions about both the general process of transferring social security to Scotland and its implications, specific to this instrument.

As I understand it, at the moment, the carer’s allowance is £83.30 per week, and that is the same in England, Wales and Scotland. Can that be varied? I assume that it can be, under this devolved measure, but, as I understand it, that is not the intention. What is being implemented is a supplementary payment, every six months, of £293.50 to carers in Scotland. I assume that the £293.50 that we get in Scotland will not be paid to people in England, and that is the differential clarification for that. Can the Minister confirm this?

This is the third or fourth instrument the Committee has debated that relates to the transfer of social security from the DWP to the Scottish Parliament and Government. I have raised this issue before but, unfortunately, we do not have SNP Members in this House, which would be useful, as they could explain exactly what is behind this. However, I can legitimately ask a UK Minister a question about the way this is presented and whether she is satisfied that the UK Government’s role in Scotland is not being undermined by the way that this is being delivered, rather than by the fact of it being delivered.

In other words, I do not oppose the devolution of benefits. Members know that the leader of my party is very strong on improving support for carers, and we support that, but there is an important point here. What has happened with this and other benefits is that the UK Government have made an assessment of the cost of the claimants in Scotland and transferred that amount to the Scottish Government, who then pay it, through their own instruments, and, if they wish, add additional benefits. The problem is that the contribution of the UK Government is obscured, at least, even though it is substantially more than the top-up that the Scottish Government provides. There is nothing wrong with that in principle, but there is a lot wrong with the politics of the way it is presented.

First, we have an election coming up in three months, and we are going to get SNP candidates saying that, thanks to the SNP, people will get wonderful additional benefits across the piece in Scotland. Most of those benefits are paid for by Scotland, but they have just added something. That does mean that people in Scotland are getting more—it is not as if they are not making a legitimate claim—but they are not really acknowledging where the bulk of the money is coming from. Secondly, we are heading for a financial crunch in Scotland, because a lot of these additional benefits are not being properly costed and funded. The projection I got from the Library is that the deficit on social security could be £1.8 billion in three years, and there is no real indication the Scottish Government have any way of funding that, and so a crisis might loom, or they might have to take money from somewhere else.

I will make a brief, slightly out of order reference to the situation with student grants and student loans. The previous coalition Government in Scotland effectively abolished tuition fees, although the final role was delivered by the SNP Government. They will boast, quite rightly, that those who go to university in Scotland do not pay fees. However, there are two problems from that: first, Scottish universities are going bankrupt from underfunding; and, secondly, to cap the budget, the number of places offered to qualifying students in Scotland has been pushed down. An awful lot of students in Scotland are going to universities in England because they cannot get a place in Scotland, so they are actually paying fees. This is presentational stuff that the UK Government should get a grip of.

I strongly believe in devolution and supported the creation of the Scottish Parliament, but I also strongly believe in the partnership between the two Governments. It is important that the people of Scotland know exactly what contribution the UK Government are making and the separate contribution that is being made by the Scottish Government. That is my point.

My final point has been slightly triggered by events in the last week. The leader of Reform in Scotland— I think he is still a Member of this House, for a few more minutes—said that the party would cut taxes in Scotland at a cost of £4 billion. He has not really explained it, but clearly the implication, which the party has acknowledged, is that it would be funded by massive spending cuts across a range of things. What if, if such a Government came into being—I hope that does not happen—they then turn around and say that they are going to abolish these security benefits? Could we see a situation in which people in Scotland get no benefits, or far reduced benefits compared with people in England, as opposed to now when they get a bit more but most of their benefits are still being funded by the UK?

My plea to the Minister is to take this away and have a real think about how the UK Government present the way that Scotland is being funded—what party it is does not matter, but taxpayers do. As somebody who lives in Scotland, I know that people are easily taken in by the idea that all these wonders are paid for exclusively by the magnificent stewardship of the Scottish finances by the Scottish Government, whereas anybody who knows anything about what is going on says that their stewardship has been a lot less than magnificent. We are heading for a major deficit while they are offering these kinds of sweeties to the electorate without explaining where the money comes from or how they can be funded in the long term. While in no way wishing to oppose what is being proposed, I urge the Government to have a proper look at the way in which this is presented in future and—to be frank— not allow politicians north of the border to get away with it.

[Lord Cameron of Lochiel (Con)]

My Lords, as the Minister has set out, this statutory instrument is technical in nature and its purpose is clear. It makes the necessary consequential amendments to ensure that the Scottish Government’s changes to carer support interact properly with a reserved benefit system. For that reason, we on these Benches will not stand in its way. It is right that new or additional devolved benefits do not lead to unintended knock-on effects elsewhere in the UK system, and this instrument sensibly preserves the agreed approach between the UK and Scottish Governments.

However, although we will not oppose this order, I wish to place on record our ongoing frustration with the Scottish Government’s approach to carer support. The creation of a parallel system, duplicating work already carried out more efficiently and at lower cost by the DWP, adds unnecessary layers of bureaucracy. This continual duplication adds complexity to what should be a simple and accessible system for carers, while also increasing administrative costs and wasting public money. This reflects a broader tendency towards unnecessary bureaucracy, with the bill ultimately falling on Scottish taxpayers.

We have always stood firmly behind carers and recognise the vital role that they plainly play. Our concern is not with supporting carers but with a system that prioritises administrative expansion over efficiency and value for money. For these reasons, although we will of course allow this technical instrument to pass, we remain critical of the wider approach that has made such extensive consequential legislation necessary in the first place.

[Baroness Anderson of Stoke-on-Trent (Lab)]

My Lords, I thank both noble Lords for their contributions to the debate this afternoon; some very important points were made, even if our time was short. I reiterate the point made by the noble Lord, Lord Cameron, about the vital role that carers play. Although this makes technical amendments, and the approach of the Scottish Government is a decision for them, we should all put on record our genuine thanks for the work that carers do every day to look after some of the most vulnerable in our society.

I turn to the specific points raised by the noble Lord, Lord Bruce. Regarding a clarification on finances, I will write to him so that he has it in writing. My understanding is that he is absolutely right—the core remains the core; it is the additional element—but I will write to him.

He raised a very important point about the strength of the union while we have devolved Administrations. As Noble Lords will be aware—many of us will be on the doorsteps in the coming months—a very important election is coming in Scotland. The noble Lord is absolutely right that the contribution of the British Government can be obscured on such points, when political parties tend to be interesting with their definition of events to make sure that they do well. There is a responsibility on the political parties represented here today to make an argument both for the union and for truth in how the British Government interact with the Scottish Government in the forthcoming elections. We have a proud argument to make. This Government strongly believe in devolution, but we also believe in the strength of the union, as we made clear during the referendum.

I clarify for the noble Lord, Lord Bruce, that the UK Government consider all changes to be in line with the fiscal framework that we have outlined. We may need to review that position if there is deemed to be a significant divergence in the future, such as in the costings associated with this policy.

Both noble Lords made points related to the increasing differences between the carer’s allowance and carer support payments, as well as how those now look across the country. The Scottish Government have designed their own carer benefit to be broadly similar to the carer’s allowance at the outset, with minor differences in the past presence test, enabling some carers to access the carer support payment while studying full-time. The UK Government consider all changes that the Scottish Government make to their social security benefits in line with the fiscal framework.

In this instance, the changes are not considered significant. This Scotland Act order ensures that the carer additional person payment, the Scottish carer supplement, the replacement for the carer’s allowance supplement and the extension to the carer’s support bereavement run-on, which come into force on 15 March 2026, are treated appropriately by reserved and Northern Ireland social security.

The noble Lord, Lord Bruce, also asked an important question about Reform, including any changes that a Reform Administration in Scotland may make and their impact. Obviously, as noble Lords will appreciate, many of us will be campaigning to make sure that that does not happen; I look forward to seeing Anas Sarwar as First Minister. However, devolution means that the Scottish Government are able to design their own benefits. We have to win the elections and convince the electorate to make sure that our view of the world wins in the forthcoming elections, so that we do not necessarily have to worry about some of the things that the noble Lord, who is about to depart, may or may not be saying.

[Lord Bruce of Bennachie (LD)]

May I seek some clarification? It occurs to me that this benefit is in two parts: the transfer of the benefit, which is the same across the UK; and the additional bit, which is funded by the Scottish Government. I appreciate that that part is entirely a matter for the Scottish Government but, if a Government in Scotland decided to reduce the basic allowance below the UK level, would there not be a reduction in the transfer of the cash? After all, the funding has been transferred on the basis of the assumption that the Scottish Government will continue to match the benefit. If the Minister cannot answer that now, she may write to me.

I seek clarification on this because, in effect, they do not have that money to fund tax cuts in Scotland if, in reality, the money will be withdrawn by the UK Government because it is no longer being put towards the purpose for which it was devolved. That seems perfectly legitimate to me, but clarification would be useful.

[Baroness Anderson of Stoke-on-Trent (Lab)]

That is a very interesting point. I will write to the noble Lord so that he has answer in writing; that will come soon.

In closing, this instrument demonstrates the continued commitment of the UK Government to work with the Scottish Government to deliver for Scotland.

Motion agreed.