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Parliamentary debates and questions

S5W-14366: Kezia Dugdale (Lothian)

Scottish Labour

Date lodged: 5 February 2018

To ask the Scottish Government what its response is to IPPR Scotland's reported suggestion that those set to benefit from a tax cut in the 2018-19 Budget proposals will only see 63p in every £1 because of the tax system's relationship with universal credit.

Answered by: Derek Mackay 20 February 2018

Income tax policy is not set in isolation. We are aware of the complex interaction between Scottish income tax policy and entitlement to Universal Credit, which is reserved. This is due to the way that Universal Credit is calculated. Scottish Government officials are working with UK Government officials to consider what can be done to address this situation.