Scottish Child Payment is reducing child poverty - but more investment is needed to help children thrive
Published: 18 June 2026
Research led by the Universities of Glasgow and Manchester has found that the Scottish Child Payment is significantly reducing child poverty and food insecurity, while demonstrating that further investment is needed if children are to move beyond surviving to thriving.
Research led by the Universities of Glasgow and Manchester has found that the Scottish Child Payment is significantly reducing child poverty and food insecurity, while demonstrating that further investment is needed if children are to move beyond surviving to thriving.
The findings come from the Family Finances project, the first independent comparative evaluation of the Scottish Child Payment, led by Professor Ruth Patrick at the University of Glasgow and Professor Emma Tominey at the University of Manchester in collaboration with researchers from the University of Glasgow, the University of York, the London School of Economics and Political Science, as well as policy partner the Child Poverty Action Group.
The Scottish Child Payment, introduced by the Scottish Government in 2021, provides financial support to low-income families with children. By comparing outcomes for families in Scotland with those in England, where equivalent support is not available, researchers have been able to provide the clearest evidence to date of the payment's impact.
Analysis of food insecurity and material deprivation indicators from the Family Resources Survey suggests that the Scottish Child Payment is improving children's lives. The research estimates that both material deprivation and food insecurity would have been between eight and nine percentage points higher in Scotland had the payment not been introduced.
The study also found that levels of food insecurity and material deprivation in Scotland fell relative to England following the introduction of the Scottish Child Payment.
Alongside the statistical analysis, researchers carried out in-depth interviews with families receiving Universal Credit in Scotland and England. Parents in Scotland consistently described the Scottish Child Payment as making a significant difference to household finances, often providing a vital lifeline that enabled them to buy food, clothing and other essentials for their children.
In contrast to the Scottish families, the vast majority of the families in England the researchers spoke to were barely getting by and were often only able to manage due to help from extended family members. Without the additional support for children that the SCP provides, the English participants struggled to meet basic household needs.
However, the research also found that, despite the SCP’s positive impact, the payment is not currently set at a level that allows many families to move beyond meeting basic needs. Ongoing cost-of-living pressures mean that many households continue to experience severe financial strain, limiting opportunities for children to fully thrive.
The study also addresses concerns that the Scottish Child Payment could discourage employment. Researchers found no evidence that the policy has created work disincentives, with analysis showing no impact on employment rates, hours worked or labour market participation among recipient families.
Professor Ruth Patrick, Co-Principal Investigator of the Family Finances project, said: “Our new evidence sets out a clear path of travel for the incoming Scottish Government, if they are to effectively deliver on John Swinney’s pledge to eradicate child poverty. The research makes clear that the flagship Scottish Child Payment has made a real and lasting difference to both levels and experiences of poverty for families in Scotland. By conducting statistical analysis and speaking directly to families in Scotland who receive this benefit, and those in England who do not, we now better understand the difference this support makes. Further investment in social security by raising the level of the Scottish Child Payment is the critical next step in further reducing child poverty and getting Scotland on track to meet the 2030 child poverty reduction targets.”
The findings provide compelling evidence that investment in social security for children is an effective way of reducing child poverty. The researchers argue that the UK Government should increase investment in children across the UK through Universal Credit and Child Benefit, while the Scottish Government should continue to build on the success of the Scottish Child Payment through above-inflation increases and further investment to help meet its child poverty targets.
John Dickie, Director of the Child Poverty Action Group Scotland, said: "These findings could not be timelier. The clock is ticking to meet Scotland's 2030 child poverty targets, and the UK government needs to build on the abolition of the two-child limit if it is to meet its child poverty ambitions. The evidence is crystal clear that investing in social security is extremely effective at reducing poverty and improving children's lives. The Scottish government must build on the investment it has made and increase Scottish child payment further as a matter of utmost urgency, and the UK government must act to make a similar investment in child benefit and universal credit. Social security is not the answer to everything, but on child poverty it goes a long way."
The Family Finances project investigates the impact of the Scottish Child Payment on financial and emotional wellbeing and employment using a comparative, mixed-methods approach. The project was funded by the Aberdeen Group Charitable Trust, under the Trust’s prior charitable name, abrdn Financial Fairness Trust.
First published: 18 June 2026