THE Scottish Government has spent more than £600 million mitigating the bedroom tax.
Also called the spare room subsidy, the policy was brought in by the Tory government in 2013 and means those who have one spare bedroom in their home have a 14 per cent reduction in their benefits, while those who have two get 25 per cent less.
Now, a Freedom of Information request has revealed that a total of more than £618m has been spent by the Scottish Government on discretionary housing payments since 2013 – a payment from Scottish councils to help Scots with renting and housing costs – and a further £12m to help local authorities with administration costs.
The yearly cost to mitigate the policy has consistently increased since 2017, when Holyrood was granted further powers to mitigate its effects. Ministers feared at the time that not doing so would lead to widespread evictions and a surge in homelessness.
In 2024/2025, the amount hit a record high with a yearly spend of £76m.
The SNP have consistently called for the policy to be scrapped, alongside the two-child benefit cap.
Scottish Housing Minister Paul McLennan told the Sunday Mail last month that the policy should be scrapped by Keir Starmer, whose Labour Government has so far refused to do so.
“We want to work with the UK Government to drive forward the action needed to end child poverty once and for all. However decades of Tory austerity and welfare cuts mean that the Scottish Government has been working with one hand tied behind our back,” he said.
“Over the past two years alone, the Scottish Government has committed almost £14m to mitigating the benefit cap as fully as we can within our powers, helping to support around 2300 families.
“And this year more than £70m will be spent mitigating the bedroom tax, helping over 92,000 households in Scotland sustain their tenancies. We also continue to protect investment in the Scottish Welfare Fund at £41m to support those most in need.
“That is money which could have been spent on services like health, education, transport, or on further ambitious anti-poverty measures.
“We continue to call on the UK Government to lift the benefit cap and bedroom tax, to benefit those on low-incomes in Scotland.”
