Coronavirus (COVID-19): guidance for local authorities on pandemic support payments

Guidance to help local authorities deliver Pandemic Support Payments.


Scottish Child Bridging Payments

Summary

1. Local authorities will issue payments totalling £520 in 2021 and £650 in 2022 for children and young people of school age [P1 – S6 education] in receipt of Free School Meals on the basis of low income eligibility criteria.

2. The total value of payments to be made in 2021 incorporates the £100 COVID Spring Hardship Payment, made at Easter 2021, and the £100 Family Pandemic Payment, made at summer 2021. The £100 Family Pandemic Payment to be made in winter 2021 is also incorporated in payments.  The total value of payments to be made in 2022 incorporates the doubling of the Winter 2022 payment to £260 for each eligible child.

3. Payments will be made quarterly for eligible children and young people in spring, summer, autumn and winter. The amounts for each payment are set out in this guidance.

4. Based on the number of COVID Winter Hardship Payments issued, which utilised the same eligibility criteria, it is estimated that around 145,000 children/young people will benefit from this measure.

Eligibility

5. Eligibility for Free School Meals has been identified as the means to identify those children/young people from low income households – only those of school age [P1 – S6 education] who receive Free School Meals on the basis of low income or on local authority discretion are eligible.

6. The relevant eligibility criteria for Free School Meals on the basis of low income in section 53 of the Education (Scotland) Act 1980 applies to:

  • pupils in attendance at public schools and other educational establishments under the management of an education authority, and
  • pupils for whom an education authority has made special arrangements under section 14 of the Education (Scotland) Act 1980 and, at the discretion of the education authority, are deemed to be in attendance at a public school.

7. To qualify for respective Bridging Payments children/young people need to have been registered for Free School Meals on the following dates in both 2021 and 2022:

a) Spring payment – on 2 February or subsequently register and are eligible for Free School Meals by the end of the School term prior to the Easter break.

b) Summer payment – on 30 May or subsequently register and are eligible for Free School Meals by the end of the School term prior to the summer break.

c) Autumn payment – on 23 September or subsequently register and are eligible for Free School Meals by the end of the School term prior to the October break.

d) Winter payment - on 30 November, or subsequently register and are eligible for Free School Meals by the end of the School term prior to the Winter break.

8. Children/young people receiving Free School Meals based on universal provision (P1 – P5) are not eligible. Children receiving free lunches in Early Learning and Childcare settings are not eligible.

9. If a child is receiving universal provision and their family meets the eligibility criteria detailed below then local authorities should encourage those families to apply for Free School Meals on the basis of low income, with details on how they meet the qualifying criteria.

10. The income thresholds for Free School Meals based on low income are as follows:

a) A child/young person is eligible to receive Free School Meals, where the household is in receipt of:

i) Universal Credit (where monthly earned income is not more than £660);

ii) Income Support;

iii) Job Seeker's Allowance (income based);

iv) Employment and Support Allowance (income related);

v) support under Part VI of the Immigration and Asylum Act 1999

b) A child/young person is also eligible to receive Free School Meals, where the household is in receipt of:

i) Child Tax Credit, but not Working Tax Credit, and where the household income is less than £17,005;

ii) both Child Tax Credit and Working Tax Credit and where the income is  £7,920 or less.

c) A child/young person may qualify for Free School meals at local authority discretion if their household experience financial hardship. This could be because:

i) their immigration status means they have no recourse to public funds.

ii) they're still waiting on their first Universal Credit award notice.

Delivery

11. Direct payment via BACS is encouraged with flexibility for alternate payment mechanisms to be used, such as PayPoint or equivalent.

12. Where a bank to bank payment is not possible and it is not possible to use an alternate payment method, a pre-payment card to the same value should be issued. However this should be by exception only. This pre-payment card should not be restricted to a particular retailer and should have the widest possible application – allowing households to use as they see fit.

13. The spring payment for qualifying children/young people should be made:

a) prior to the end of the school term prior to the Easter holidays if they were registered for Free School Meals on 2 February.

b) by the end of April if the request to register for Free School Meals was made after 2 February.

14. The summer payment for qualifying children/young people should be made:

a) prior to the end of the school term prior to the summer holidays if they were registered for Free School Meals on 30 May.

b) by the end of July if the request to register for Free School Meals was made after 30 May.

15. The autumn payment for qualifying children/young people should be made:

a) prior to the end of the school term prior to the October holidays if they were registered for Free School Meals on 23 September.

b) by the end of the second week of November if the request to register for Free School Meals was made after 23 September.

16. The winter payment for qualifying children/young people should be made:

a) prior to the start of the winter holidays if they were registered for Free School Meals on 30 November.

b) by the end of the second week in January if the request to register for Free School Meals was made after 30 November

17. As of August 2021, the Spring 2021 and Summer 2021 payments have already been delivered. The Winter 2021 payment is inclusive of the £100 Family Pandemic Payment, therefore eligible children/young people are to receive one payment at the increased value of £160.

18. In order to manage expectations of those eligible, local authorities should make information available publicly on the proposed delivery timetable for payments. The table below can therefore be adapted for this purpose:

Payment

Value

Period of eligibility

Date payment to be made

Spring 2021

(COVID Spring Hardship Payment)

£100

2 February to end of term prior to Easter break

Prior to the Easter holidays if registered for Free School Meals on 2 February. For registrations after this date payments will be made by end of April.

Summer 2021

(Family Pandemic Payment)

£100

30 May to end of term prior to summer break

Prior to the summer holidays if registered for Free School Meals on 30 May. For registrations after this date payments will be made by the end of July.

Autumn 2021

£160

23 September to end of term prior to October break

Prior to the October holidays if registered for Free School Meals on 23 September. For registrations after this date payments will be made by the second week of November.

Winter 2021

(Family Pandemic Payment + uplift)

£160

30 November to end of term prior to winter break

Prior to the start of the winter holidays if registered for Free School Meals on 30 November. For registrations after this date payments will be made by the end of the second week of January.

Spring 2022

£130

2 Feb to end of term prior to Easter break

Prior to the Easter holidays if registered for Free School Meals on 2 February. For registrations after this date payments will be made by end of April.

Summer 2022

£130

30 May to end of term prior to summer break

Prior to the summer holidays if registered for Free School Meals on 30 May. For registrations after this date payments will be made by the end of July.

Autumn 2022

£130

23 September to end of term prior to October break

Prior to the October holidays if registered for Free School Meals on 23 September. For registrations after this date payments will be made by the second week of November.

Winter 2022

£130

30 November to end of term prior to winter break

Prior to the start of the winter holidays if registered for Free School Meals on 30 November. For registrations after this date payments will be made by the end of the second week of January.

Reporting

19. Local authorities are required to report the final number of payments made under this measure, and the total value of payments issued, to the Scottish Government Tackling Child Poverty Unit via email to tcpu@gov.scot. This should be reported, using the template provided, no later than:

a. 13 May for the spring payment

b. 31 August for the summer payment

c. 30 November for the autumn payment

d. 31 January for the winter payment

20. Returns will enable funding to be provided to local councils through redetermination of the General Revenue Grant and Parliamentary scrutiny of this measure.

Treatment for tax and benefit purposes

21. DWP have considered the purpose of the payment against the definition of ‘local welfare provision’ in relevant legislation.[2] On that basis, DWP have indicated that payments would be disregarded for the purpose of those benefit entitlements for which the legislation specifies that capital to be disregarded includes ‘any local welfare provision.’[3] DWP have also indicated that the payments would have no impact on particular contribution-based benefits.[4]

22. DWP have indicated that payments will be treated as capital for the purpose of Universal Credit and may impact upon entitlement where the total capital held exceeds £6,000, either prior to or as a result of this payment. Further information on the treatment of capital for the purpose of Universal Credit can be found on the understanding Universal Credit website.

23. HMRC have indicated that payments would be disregarded as income for tax and benefit purposes.

24. Within the Council Tax Reduction system a crisis payment made by a local authority for the purpose of meeting a short term need is disregarded as income and capital of a person, where the payment is made using the local authority’s power to advance well-being[5] and is using funding provided by the Scottish Ministers[6].  While it is for local authorities, as administering bodies, to reach their own view on this point, the Scottish Government is funding the payments as a response to the crisis that the global pandemic is causing. Payments to promote the welfare of children in need[7] are also disregarded as income and capital of a person.

Communications and key messaging

25. To support local communications the following key messages are suggested:

  • Scottish Child Payment Bridging Payments will be made for each school aged child who receives Free School Meals on the basis of low income in 2021 and 2022. These payments are funded by the Scottish Government.
  • Payments will be made quarterly around the start of the Easter, Summer, October and Winter holidays, with £520 paid in 2021 and £650 in 2022.
  • No application for this payment is required and payments will be made automatically to households where a child/young person is in receipt of Free School Meals on the basis of low income.
  • The payment can be used by families for any purpose as they see fit. There is no expectation that these payments are to be used for any specific purpose.
  • This is in addition to support delivered through the continuation of Free School Meals over the school holidays and the £130 Low Income Pandemic Payment.
  • Pre-school aged children are not eligible for this additional payment. The Scottish Child Payment is available for children under the age of 6 – to find out more about this and to apply please visit Scottish Child Payment - mygov.scot.
  • Children receiving universal Free School Meal provision in primary school settings are not eligible.
  • If you have not registered for Free School Meals and believe you would be eligible you can find out more and apply at: School meals - mygov.scot
  • Children/young people who receive Free School Meals as a result of local authority discretion, including those with no recourse to public funds, are eligible.
  • If you receive Universal Credit, then this payment will be counted as capital. This will not normally affect the amount you receive unless you have savings or other capital totalling over £6,000. If you are concerned that this payment could impact your Universal Credit award, you should report the payment in your journal by signing in to your Universal Credit account or by calling the Universal Credit helpline on 0800 328 5644.
  • This payment will be disregarded in full for other benefits and for income tax purposes.

26.  Recipients of the Bridging Payments should be directed to claim the Scottish Child Payment once it opens to applications, in respect of children aged 6-15, on 14 November 2022.

27. Individuals can be directed to the public information available at Scottish Child Payment Bridging Payments

[2] Regulation 2(1) of the Income Support (General) Regulations 1987, regulation 1(3) of the Jobseeker’s Allowance Regulations 1996, regulation 2(1) of the Employment and Support Regulations 2008, regulation 2(1) of the Housing Benefit Regulations 2006 and regulation 1(2) of the State Pension Credit Regulations 2002.

[3] Income-related Employment and Support Allowance, Housing Benefit, Income Support, Income-based Jobseekers’ Allowance, and State Pension Credit.

[4] New Style Jobseeker’s Allowance and New Style Employment and Support Allowance.

[5] The power under section 20 of the Local Government in Scotland Act 2003.

[6] Schedule 4 paragraph 37 and schedule 5 paragraph 25 of the Council Tax Reduction (Scotland) Regulations 2012 and regulation 27(1)(j)(xi) of the Council Tax Reduction (State Pension Credit) (Scotland) Regulations 2012; these provisions were amended by the Council Tax Reduction (Scotland) Amendment (No. 4) Regulations 2020.

[7] The power under section 22 of the Children (Scotland) Act 1995.

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