SlideShare a Scribd company logo
1 of 5
Smith Commission Analysis
To what extent did Cyrenians (& Service Users) benefit from recent Smith
Commission recommendations & UK Government Command paper?
David Fulton
2/3/2015
This paper briefly examines what powers were recommended be devolved under the Smith Commission and recent Command Paper by UK Government. It
analyses to what extent, if any, the Cyrenians have benefited from potential increase in powers as based upon their submission to the Smith Commission.
1
1. Overview
The Smith Commission was announced by David Cameron in the wake of Scotland’s decision to remain in the UK on 19 September 2014. Lord Smith
was provided with the task to "convene cross-party talks and facilitate an inclusive engagement process across Scotland to produce, by 30 November
2014, Heads of Agreement with recommendations for further devolution of powers to the Scottish Parliament".1
The commission invited submissions from individuals and organisations before a deadline of 31 October. 2Approximately 14,000 emails and letters
were received from the public, with a further 250 contributions from groups.3
On 22 January the UK Government delivered a Command Paper, containing 44 draft clauses many of which could take years to become statute law.4
This paper examines what, if anything was delivered by the Smith Commission and accompanying Command Paper by UK Government and whether
the Cyrenians have benefited from anything they recommended in their submission to the Smith Commission.
2. Submission by Cyrenians to Smith Commission5
The Cyrenians called for further subsidiarity of powers to smaller organisations in the following areas of policy:
Welfare Benefits (excluding pensions): an end to the “one size fits all” policy to a more localised, responsive-to-needs approach. This included an
ability to:
 Enable discretion on the funding ceiling for Discretionary Housing Payment (DHP) instead of required Westminster authorisation to raise the
ceiling
 Abolish so-called ‘bedroom tax’ by awarding DHP to all tenants affected by the bedroom tax to pay for the rent shortfall. Allow Scotland more
control over Housing Benefits
 Allow Scotland full/further control over the Scottish Welfare Fund
1 https://ww-w.smith-commission.scot/news/
2 http://www.bbc.co.uk/news/uk-scotland-scotland-politics-29857267
3 Ibid.,
4 http://www.scotsman.com/news/politics/top-stories/smith-commission-more-powers-vow-delivered-pm-1-3669009
5 https://www.smith-commission.scot/wp-content/uploads/2015/01/B00230.pdf
2
 Adjust Universal Credit (UC) so that vulnerable clients may opt-out of direct housing payments from the beginning, to avoid falling further into
rent arrears.
 More control over the rate of increase for benefits and decision over whether to remove the cap on welfare spending in any given year
Employability and job support: This includes an ability to:
 Increased powers in areas of employment and training to enable localised decisions to be made tailored to geographic and individual need.
 A more joined up approach and greater decision-making for Scottish Parliament over its education and skills remit and employment and job
training.
 Work Programme and Employability Fund – amend policies to eradicate ‘time based trigger decisions’ which have a negative impact upon
young people aged 16-24 years old following 6 months of unemployment on Job Seekers Allowance.
Consumer rights: Cyrenians believes that Scotland should be provided with devolution of consumer rights regulation to enable it to influence
changes at a local level.
Tax raising powers:
 Full tax raising powers to Scotland (including budgets and fiscal accountability)
Any other devolution of powers which allows for improvements on inequality and poverty within Scotland.
3
3. Smith Commission (and Command Paper of UK Government)
What has been included that provides for further powers relevant to Cyrenians?
1. Taxation
 The Scottish Government will receive all Income Tax paid by Scottish taxpayers on their non-savings and non-dividend income with a
corresponding adjustment in the block grant received from the UK Government. There will be no restrictions on the thresholds or rates the
Scottish Parliament can set.
 The receipts raised in Scotland by the first 10 percentage points of the standard rate of VAT will be assigned to the Scottish government's
budget.
2. Welfare benefits and employment
 Universal Credit (UC) will remain a reserved benefit administered and delivered by the Department for Work and Pensions (DWP).
However Scotland will have the power to wary frequency of payments, vary existing plans for single households and pay landlords direct
and variation in housing cost elements of the UC. But all other elements of UC and earning taper will remain reserved as will conditionality
and sanctions.
 The Scottish parliament to have control over a number of benefits including Disability Living Allowance, Personal Independence
Payment, winter fuel payments and the housing elements of Universal Credit, including the under-occupancy charge (popularly known as
the bedroom tax). Discretionary Housing Payments.
 The Scottish parliament to have new powers to make discretionary payments in any area of welfare without the need to obtain prior
permission from the Department for Work and Pensions.
4
 The Scottish parliament to have all powers of support for unemployed people through employment programmes, mainly delivered at
present through the Work Programme (until end of contract with suppliers of the programme).
3. Others
 Consumer advice and advocacy to be devolved with powers to help prevent proliferation of payday lenders.
4. Table showing areas of policy Cyrenians(and service users)benefited or otherwise
Core Policy
Area
Did Cyrenians benefit
from further powers
via SC?
[Yes/No/Somewhat]
Comments
Welfare
benefits
Somewhat Although Scotland will have powers to vary frequency of payments of benefits
such as UC & other benefits, the fundamentals of the UK welfare system
remain. i.e.) conditionality, sanctions etc…
Employability
& job support
Somewhat Although the Scottish Parliament will have be given powers to decide how it
operates core employment support services, this won’t happen until the
current contract for Work Programme expires. The Jobcentre Plus will remain
reserved & will mean no end to principal framework
Consumer
rights
Yes Consumer advice and advocacy will be devolved to Scottish Parliament with
powers to prevent proliferation of payday lenders.
Tax raising
powers
Somewhat The Scottish Parliament should be more accountable and responsible for
under plans to devolve income tax with ability to set rates and thresholds at
which these are paid. However much will remain reserved under the UK
Government and as income tax will remain a shared tax the budget will
continue to be remain reserved as will the rate of income tax. Thus income
tax powers will remain limited.
David Fulton 03/02/2015

More Related Content

What's hot (9)

Engaging with legislation Derby
Engaging with legislation DerbyEngaging with legislation Derby
Engaging with legislation Derby
 
COVID-19 health care, first responder equipment
COVID-19 health care, first responder equipmentCOVID-19 health care, first responder equipment
COVID-19 health care, first responder equipment
 
PPE, testing allocation
PPE, testing allocationPPE, testing allocation
PPE, testing allocation
 
Week 2: Devolution
Week 2: DevolutionWeek 2: Devolution
Week 2: Devolution
 
Everything you should know about the Health and Social Care Levy
Everything you should know about the Health and Social Care LevyEverything you should know about the Health and Social Care Levy
Everything you should know about the Health and Social Care Levy
 
Bbc television by connor
Bbc television by connorBbc television by connor
Bbc television by connor
 
Uk politics and government- devolution
Uk politics and government- devolution Uk politics and government- devolution
Uk politics and government- devolution
 
UK Adjudicators January 2019 newsletter
UK Adjudicators January 2019 newsletterUK Adjudicators January 2019 newsletter
UK Adjudicators January 2019 newsletter
 
Elmhurst TechNet Sevenoaks 280715
Elmhurst TechNet Sevenoaks 280715Elmhurst TechNet Sevenoaks 280715
Elmhurst TechNet Sevenoaks 280715
 

Viewers also liked

Viewers also liked (11)

Презентация семинар декабрь 2014год
Презентация семинар декабрь 2014годПрезентация семинар декабрь 2014год
Презентация семинар декабрь 2014год
 
Policy Briefing
Policy BriefingPolicy Briefing
Policy Briefing
 
Adf results 2014
Adf results 2014Adf results 2014
Adf results 2014
 
LCiL Web re-design
LCiL Web re-designLCiL Web re-design
LCiL Web re-design
 
Quaternary cycles
Quaternary cyclesQuaternary cycles
Quaternary cycles
 
WebsitereportV.2.docx (1)
WebsitereportV.2.docx (1)WebsitereportV.2.docx (1)
WebsitereportV.2.docx (1)
 
CHAITRA_VENKATESH-1[1] -1
CHAITRA_VENKATESH-1[1] -1CHAITRA_VENKATESH-1[1] -1
CHAITRA_VENKATESH-1[1] -1
 
Interpersonal2
Interpersonal2Interpersonal2
Interpersonal2
 
Odhora canvas rules & terms
Odhora canvas rules & termsOdhora canvas rules & terms
Odhora canvas rules & terms
 
Finalcopy
FinalcopyFinalcopy
Finalcopy
 
Family living n drawing short list
Family living n drawing  short listFamily living n drawing  short list
Family living n drawing short list
 

Similar to SC brief

Presentation on-dev-finance-the-centre-cardiff-jan-11
Presentation on-dev-finance-the-centre-cardiff-jan-11Presentation on-dev-finance-the-centre-cardiff-jan-11
Presentation on-dev-finance-the-centre-cardiff-jan-11Syniadau
 
HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014
HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014
HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014Malcolm Mason
 
Scotland enduring the scotland bill
Scotland   enduring the scotland billScotland   enduring the scotland bill
Scotland enduring the scotland billDerek Louden
 
2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf
2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf
2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdfHenry Tapper
 
2010 - Review 2009/10
2010 - Review 2009/102010 - Review 2009/10
2010 - Review 2009/10trESS Network
 
Forging a New Path? Welfare Reform in Scotland
Forging a New Path? Welfare Reform in ScotlandForging a New Path? Welfare Reform in Scotland
Forging a New Path? Welfare Reform in ScotlandNICVA
 
Tax Autumn Conference (09.12.10)
Tax Autumn Conference (09.12.10)Tax Autumn Conference (09.12.10)
Tax Autumn Conference (09.12.10)Smartuktax
 
Item viiib-funding-devolved-government-in-the-uk-scotland-2020
Item viiib-funding-devolved-government-in-the-uk-scotland-2020Item viiib-funding-devolved-government-in-the-uk-scotland-2020
Item viiib-funding-devolved-government-in-the-uk-scotland-2020OECDtax
 
How to overcome the regulatory challenges due to brexit
How to overcome the regulatory challenges due to brexit How to overcome the regulatory challenges due to brexit
How to overcome the regulatory challenges due to brexit Voisin Consulting Life Sciences
 
How to overcome the regulatory challenges due to brexit.pptx
How to overcome the regulatory challenges due to brexit.pptx  How to overcome the regulatory challenges due to brexit.pptx
How to overcome the regulatory challenges due to brexit.pptx Voisin Consulting Life Sciences
 
201504 BN74 PPI 2015 Election Briefing - Pensions
201504 BN74 PPI 2015 Election Briefing - Pensions201504 BN74 PPI 2015 Election Briefing - Pensions
201504 BN74 PPI 2015 Election Briefing - PensionsSarah Luheshi
 
HR Think Tank Series - DLA Piper Presentation - The People Issues of Brexit
HR Think Tank Series - DLA Piper Presentation - The People Issues of BrexitHR Think Tank Series - DLA Piper Presentation - The People Issues of Brexit
HR Think Tank Series - DLA Piper Presentation - The People Issues of Brexit Katie Barr
 
2015 march prem_sikka_morning_star_conferece_presentation
2015 march prem_sikka_morning_star_conferece_presentation2015 march prem_sikka_morning_star_conferece_presentation
2015 march prem_sikka_morning_star_conferece_presentationCailean MacAulay
 
Government intervention in Markets
Government intervention in MarketsGovernment intervention in Markets
Government intervention in Marketstutor2u
 

Similar to SC brief (20)

Presentation on-dev-finance-the-centre-cardiff-jan-11
Presentation on-dev-finance-the-centre-cardiff-jan-11Presentation on-dev-finance-the-centre-cardiff-jan-11
Presentation on-dev-finance-the-centre-cardiff-jan-11
 
HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014
HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014
HOLIDAY PAY TO INCLUDE COMMISSION AND OVERTIME 18 XI 2014
 
Scotland enduring the scotland bill
Scotland   enduring the scotland billScotland   enduring the scotland bill
Scotland enduring the scotland bill
 
2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf
2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf
2023.09-UK-capital-markets-a-new-sense-of-urgency-New-Financial.pdf
 
2010 - Review 2009/10
2010 - Review 2009/102010 - Review 2009/10
2010 - Review 2009/10
 
United Kingdom
United KingdomUnited Kingdom
United Kingdom
 
Vat Cost Sharing Exemption
Vat Cost Sharing ExemptionVat Cost Sharing Exemption
Vat Cost Sharing Exemption
 
Forging a New Path? Welfare Reform in Scotland
Forging a New Path? Welfare Reform in ScotlandForging a New Path? Welfare Reform in Scotland
Forging a New Path? Welfare Reform in Scotland
 
Tax Autumn Conference (09.12.10)
Tax Autumn Conference (09.12.10)Tax Autumn Conference (09.12.10)
Tax Autumn Conference (09.12.10)
 
Item viiib-funding-devolved-government-in-the-uk-scotland-2020
Item viiib-funding-devolved-government-in-the-uk-scotland-2020Item viiib-funding-devolved-government-in-the-uk-scotland-2020
Item viiib-funding-devolved-government-in-the-uk-scotland-2020
 
Matthews agricultural policy post‐brexit
Matthews agricultural policy post‐brexitMatthews agricultural policy post‐brexit
Matthews agricultural policy post‐brexit
 
How to overcome the regulatory challenges due to brexit
How to overcome the regulatory challenges due to brexit How to overcome the regulatory challenges due to brexit
How to overcome the regulatory challenges due to brexit
 
How to overcome the regulatory challenges due to brexit.pptx
How to overcome the regulatory challenges due to brexit.pptx  How to overcome the regulatory challenges due to brexit.pptx
How to overcome the regulatory challenges due to brexit.pptx
 
NCVO Brexit briefing - update Oct 2016
NCVO Brexit briefing - update Oct 2016NCVO Brexit briefing - update Oct 2016
NCVO Brexit briefing - update Oct 2016
 
201504 BN74 PPI 2015 Election Briefing - Pensions
201504 BN74 PPI 2015 Election Briefing - Pensions201504 BN74 PPI 2015 Election Briefing - Pensions
201504 BN74 PPI 2015 Election Briefing - Pensions
 
Benefit Bulletin February 2014
Benefit Bulletin February 2014Benefit Bulletin February 2014
Benefit Bulletin February 2014
 
HR Think Tank Series - DLA Piper Presentation - The People Issues of Brexit
HR Think Tank Series - DLA Piper Presentation - The People Issues of BrexitHR Think Tank Series - DLA Piper Presentation - The People Issues of Brexit
HR Think Tank Series - DLA Piper Presentation - The People Issues of Brexit
 
2015 march prem_sikka_morning_star_conferece_presentation
2015 march prem_sikka_morning_star_conferece_presentation2015 march prem_sikka_morning_star_conferece_presentation
2015 march prem_sikka_morning_star_conferece_presentation
 
ITU 05/2018
ITU 05/2018ITU 05/2018
ITU 05/2018
 
Government intervention in Markets
Government intervention in MarketsGovernment intervention in Markets
Government intervention in Markets
 

SC brief

  • 1. Smith Commission Analysis To what extent did Cyrenians (& Service Users) benefit from recent Smith Commission recommendations & UK Government Command paper? David Fulton 2/3/2015 This paper briefly examines what powers were recommended be devolved under the Smith Commission and recent Command Paper by UK Government. It analyses to what extent, if any, the Cyrenians have benefited from potential increase in powers as based upon their submission to the Smith Commission.
  • 2. 1 1. Overview The Smith Commission was announced by David Cameron in the wake of Scotland’s decision to remain in the UK on 19 September 2014. Lord Smith was provided with the task to "convene cross-party talks and facilitate an inclusive engagement process across Scotland to produce, by 30 November 2014, Heads of Agreement with recommendations for further devolution of powers to the Scottish Parliament".1 The commission invited submissions from individuals and organisations before a deadline of 31 October. 2Approximately 14,000 emails and letters were received from the public, with a further 250 contributions from groups.3 On 22 January the UK Government delivered a Command Paper, containing 44 draft clauses many of which could take years to become statute law.4 This paper examines what, if anything was delivered by the Smith Commission and accompanying Command Paper by UK Government and whether the Cyrenians have benefited from anything they recommended in their submission to the Smith Commission. 2. Submission by Cyrenians to Smith Commission5 The Cyrenians called for further subsidiarity of powers to smaller organisations in the following areas of policy: Welfare Benefits (excluding pensions): an end to the “one size fits all” policy to a more localised, responsive-to-needs approach. This included an ability to:  Enable discretion on the funding ceiling for Discretionary Housing Payment (DHP) instead of required Westminster authorisation to raise the ceiling  Abolish so-called ‘bedroom tax’ by awarding DHP to all tenants affected by the bedroom tax to pay for the rent shortfall. Allow Scotland more control over Housing Benefits  Allow Scotland full/further control over the Scottish Welfare Fund 1 https://ww-w.smith-commission.scot/news/ 2 http://www.bbc.co.uk/news/uk-scotland-scotland-politics-29857267 3 Ibid., 4 http://www.scotsman.com/news/politics/top-stories/smith-commission-more-powers-vow-delivered-pm-1-3669009 5 https://www.smith-commission.scot/wp-content/uploads/2015/01/B00230.pdf
  • 3. 2  Adjust Universal Credit (UC) so that vulnerable clients may opt-out of direct housing payments from the beginning, to avoid falling further into rent arrears.  More control over the rate of increase for benefits and decision over whether to remove the cap on welfare spending in any given year Employability and job support: This includes an ability to:  Increased powers in areas of employment and training to enable localised decisions to be made tailored to geographic and individual need.  A more joined up approach and greater decision-making for Scottish Parliament over its education and skills remit and employment and job training.  Work Programme and Employability Fund – amend policies to eradicate ‘time based trigger decisions’ which have a negative impact upon young people aged 16-24 years old following 6 months of unemployment on Job Seekers Allowance. Consumer rights: Cyrenians believes that Scotland should be provided with devolution of consumer rights regulation to enable it to influence changes at a local level. Tax raising powers:  Full tax raising powers to Scotland (including budgets and fiscal accountability) Any other devolution of powers which allows for improvements on inequality and poverty within Scotland.
  • 4. 3 3. Smith Commission (and Command Paper of UK Government) What has been included that provides for further powers relevant to Cyrenians? 1. Taxation  The Scottish Government will receive all Income Tax paid by Scottish taxpayers on their non-savings and non-dividend income with a corresponding adjustment in the block grant received from the UK Government. There will be no restrictions on the thresholds or rates the Scottish Parliament can set.  The receipts raised in Scotland by the first 10 percentage points of the standard rate of VAT will be assigned to the Scottish government's budget. 2. Welfare benefits and employment  Universal Credit (UC) will remain a reserved benefit administered and delivered by the Department for Work and Pensions (DWP). However Scotland will have the power to wary frequency of payments, vary existing plans for single households and pay landlords direct and variation in housing cost elements of the UC. But all other elements of UC and earning taper will remain reserved as will conditionality and sanctions.  The Scottish parliament to have control over a number of benefits including Disability Living Allowance, Personal Independence Payment, winter fuel payments and the housing elements of Universal Credit, including the under-occupancy charge (popularly known as the bedroom tax). Discretionary Housing Payments.  The Scottish parliament to have new powers to make discretionary payments in any area of welfare without the need to obtain prior permission from the Department for Work and Pensions.
  • 5. 4  The Scottish parliament to have all powers of support for unemployed people through employment programmes, mainly delivered at present through the Work Programme (until end of contract with suppliers of the programme). 3. Others  Consumer advice and advocacy to be devolved with powers to help prevent proliferation of payday lenders. 4. Table showing areas of policy Cyrenians(and service users)benefited or otherwise Core Policy Area Did Cyrenians benefit from further powers via SC? [Yes/No/Somewhat] Comments Welfare benefits Somewhat Although Scotland will have powers to vary frequency of payments of benefits such as UC & other benefits, the fundamentals of the UK welfare system remain. i.e.) conditionality, sanctions etc… Employability & job support Somewhat Although the Scottish Parliament will have be given powers to decide how it operates core employment support services, this won’t happen until the current contract for Work Programme expires. The Jobcentre Plus will remain reserved & will mean no end to principal framework Consumer rights Yes Consumer advice and advocacy will be devolved to Scottish Parliament with powers to prevent proliferation of payday lenders. Tax raising powers Somewhat The Scottish Parliament should be more accountable and responsible for under plans to devolve income tax with ability to set rates and thresholds at which these are paid. However much will remain reserved under the UK Government and as income tax will remain a shared tax the budget will continue to be remain reserved as will the rate of income tax. Thus income tax powers will remain limited. David Fulton 03/02/2015