A record £99 million will be invested in Discretionary Housing
Payments (DHPs) this financial year to help thousands of
households struggling to afford housing costs in Scotland.
During Challenge Poverty Week, Housing Secretary Màiri McAllan
highlighted the payments as a ‘lifeline' for thousands of
families and individuals. Funded by the Scottish Government and
paid out by local authorities, the DHP scheme is designed to
provide financial support to low-income households, delivering
vital action to reduce poverty, safeguard tenancies and prevent
homelessness.
The Scottish Government has budgeted a record £99 million in
2025-26 to deliver the payments, which are primarily used to help
people affected by the UK Government's under-occupancy charge
(‘bedroom tax') and benefit cap. In last month's Housing
Emergency Action Plan, the Housing Secretary allocated a further
£2 million towards the budget for DHPs.
On a visit to Fife Gingerbread, a charity which supports lone
parents and families in times of need, Ms McAllan said:
“In a country as wealthy as Scotland, it is
unacceptable that anyone, and particularly any child, should
live with the strain and harm of poverty.
"While Scotland is now the only part of the UK where child
poverty levels are falling, there remain many complex drivers of
poverty - not least the high levels of inflation in the UK
driving increases in the costs of basic essentials such as food,
energy and housing.
“Last year 94,000 households were supported by the Discretionary
Housing Payment scheme in Scotland. These payments are a vital
lifeline for people in emergency situations and acute financial
distress, where they cannot afford the cost of putting a roof
over their head.
“The UK Government's punitive welfare policies are driving the
problems households face but the Scottish Government is doing
what it can to mitigate the impact on people, from the £99
million investment in Discretionary Housing Payments this year to
effectively scrapping the UK Government's two-child limit in
Scotland from March next year.
“The First Minister has made tackling child poverty among this
government's defining missions. However, we can only do that with
a social security system that provides the support that people
need in the hardest of times.
“The Scottish Government is committed to putting more money in
people's pockets and delivering real savings to support families.
The UK Government must make the same choices.”
Fife Gingerbread CEO Laura Millar said:
“During Challenge Poverty Week, we're proud to welcome the
Cabinet Secretary for Housing. Discretionary Housing Payments are
an important tool to help struggling families with their housing
costs, and we welcome the Scottish Government's commitment to
invest a further £2m to support households in temporary
accommodation to find settled homes as a good next step. Children
across Scotland deserve to grow up in safe, happy homes and we
will continue to amplify their voice to champion for change."
Background
Applying for a
Discretionary Housing Payment - mygov.scot
