Explainers

Future social security

The devolution of the areas of social security set out in the Social Security (Scotland) Act 2018 is completed. However, several benefits continue to be administered by the Department for Work and Pensions (DWP) under Agency Agreements. While this continues, we produce forecasts of spending under UK Government policy, switching to forecast the new Scottish payments when sufficient policy details are available.

Pension Age Winter Heating Payment (PAWHP) replaced the UK Government’s Winter Fuel Payment (WFP) in Scotland in winter 2024-25. The payment was administered by DWP in winter 2024-25 and is administered by Social Security Scotland from 2025-26 onwards.

In our forecast, we assume that Employment Injuries Assistance (EIA) will replace the suite of industrial injuries benefits that are part of the Industrial Injuries Disablement Scheme (IIDS) in Scotland. The Scottish Government stated in the response to the public consultation in 2024 that it will not deliver EIA in Scotland in the current Parliament. Policy details for the replacement payment, timing of implementation, and case transfer approach are yet to be confirmed.