Ministear airson Siainte Poblach Minister for Public Health

Micheal Matheson SPA Michael Matheson MSP

FIT:0845 7741741
E: scottish.ministers@scotland.gsLgov.uk

The Scottish Government

Riaghaltas na h-Alba

Ms Kezia Dugdale MSP The Scottish Parliament EDINBURGH EH991SP

Ur faidhlelYour ref: 11061/ST Ar faidhle/Our ref: 2011/1009059 '~\ July 2011

<u___/ tL~r .
~u for your letter of 16 June 2011 to the Cabinet Secretary for Health, Wellbeing and Cities regarding Scottish Government action on child poverty. As tackling poverty falls in my remit I have been asked to reply. As you know the Scottish Government is taking forward a number of initiatives to tackle child poverty in Scotland. Details of our approach are contained in the Child Poverty Strategy for Scotland which we published in March of this year. In relation to your specific points, I can tell you that the Scottish Government is currently considering poverty proofing and has commissioned some research on this matter. Following consideration of this research the Scottish Government will consider taking forward appropriate measures for poverty proofing. A decision has not been taken regarding the introduction of a socio-economic duty in Scotland. We believe it would be premature to make a decision regarding this until the UK Government have made a final decision regarding the implementation of the socio-economic duty as specified in the Equality Act 2010. You may be aware that the UK Government wrote to the Minister for Housing and Communities on 16 November 2010 to say they were minded not to commence the socioeconomic duty. Mr Neil wrote to Theresa May, the UK Government Minister for Women and Equalities on 2 December 2010 to urge the UK Government to implement the duty across the UK. We have not had a response to this letter. Regarding work on quantification and reporting on persistent poverty, you may wish to note that the Poverty and income inequality in Scotland: 2009 - 2010 report contains statistical information on persistent poverty in Scotland. Figures are available for persistent poverty amongst children, working age adults and pensioners, and show falling levels across the period of time covered by the report.
Taigh Naomh Anndrais, Rathad Regent, Dun Eideann EH1 3DG St Andrew's House, Regent Road, Edinburgh EH1 3DG www.scotland.gov.uk

The Early Years Framework committed the Scottish Government to promoting childcare vouchers among employers in Scotland. As you know, from January-June 2009 the Scottish Government ran a project to promote greater use of childcare vouchers among Scottish employers in the public, private and voluntary sectors with the report made available to the public. This has successfully raised the profile of childcare vouchers through individual contacts and working with the Scottish Trade Union Congress (STUC). The report noted that we targeted the main employer organisations in Scotland and sought their agreement to publicising childcare vouchers through their membership newsletters/websites. This included CBI Scotland, the Federation of Small Businesses, the Institute of Directors, Scottish Chambers of Commerce, Scottish Financial Enterprise and the Scottish Council for Development and Industry. Since then, there has been ongoing information and promotion of the issue through HMRC fact sheets for employers, as well as information available for all employees through the Scottish Government website and national and local Childcare Information Services, as the 2009 report also indicated employer action was influenced by employee demand. One of key issues is the complexity of support for parents with childcare costs, including childcare vouchers and tax credits, which is a reserved matter for Westminster. We will continue to press for a progressive and more accessible means of supporting childcare costs. The Scottish Government's position is to support the simplification of the welfare system in principle, and to acknowledge the possibility that Universal Credit may be an effective means of achieving this. We will continue to work in partnership with COSLA and the Welfare Reform Scrutiny Group, to develop a better understanding of the impact of the UK Government's changes and to send clear messages on welfare reform. In the meantime, we will continue to seek opportunities to promote childcare vouchers to the private sector, including through a national summit with Scotland's business community which will explore new ways of incentivising and encouraging more flexible working, to make it easier for parents with young children. I hope this reply has been useful to you.

Michael Matheson

Taigh Naomh Anndrais, Rathad Regent, Dun Eideann EHl 3DG 5t Andrew's House, Regent Road, Edinburgh EH13DG www.scotland.gov.uk

IX\'E,."iTOR IN PEOPl8