Poverty in Scotland isn’t just persistent - it’s growing. Despite the clear need for early intervention and financial education, funding cuts are making it harder to support those most at risk. In this thought-provoking article, CHAP Chair Ray Chaney explores the widening opportunity gap, the cost of inaction, and why we must rethink how we tackle financial insecurity. I’m old enough to remember the SMASH adverts of the 1970s, where barely-credible, tinny robots laughed uproariously at the thought of mashing potatoes (something, of course, we still do). But it’s hard not to imagine contemporary aliens also clutching their sides at the thought that the world’s most expensive handbag recently sold for two million dollars, while we simultaneously allow people to become homeless for lack of money for earlier intervention. In Scotland and across the UK, we have socialist-inclined governments, alongside poverty and inequality figures which continue to get worse, not better. The Joseph Rowntree Foundation’s report, ‘Poverty in Scotland 2024’ identifies that over one million people in Scotland continue to live in defined poverty, including a quarter of a million children. ‘Getting people back to work is the answer’, we are regularly told - and having an earned income generally helps an individual or family’s situation. But it’s very far from a single solution. According to the government’s own statistics*, wealth is far more unevenly distributed than income, with the wealthiest 2% of the population owning 18% of Scotland’s wealth. At the same time, around a third of Scottish adults do not have sufficient savings to last a month before falling into poverty. Even greater numbers of adults have zero pension savings. I work with people who are socially and economically excluded in one of the most deprived areas of Scotland. Through a charity focused on financial education, debt advice and homelessness prevention, we spend way too many of our resources helping people already teetering on the point of crisis. What we really want to do is to invest resources in crisis prevention and in achieving lasting social change but, in these times of austerity (by any other name), funding is being cut in ways which make me tear my hair out in frustration. Public sector funding for the provision of debt advice and support is being drastically cut, despite the fact this will demonstrably result in more Court and eviction costs; more health and stress issues being passed to the NHS; greater calls on emergency housing and on hard-pressed social services, as families are broken up. These are less cost-savings than costs being kicked down the road. Or, as the Rowntree Foundation report puts it, “A weak social safety net weakens our economy. Politicians often rightly talk of individuals locked out of the labour market by NHS waiting lists, yet ignore the impacts of the social security system on weakening people’s resilience when they need it the most. Good career advice rarely starts with recommending a period of deep financial insecurity and the anxiety that goes with it.” Our experience, over more than twenty years, is that people on low incomes tend to have poor financial knowledge, little financial interest, and hence highly restricted access to ways to live better on a budget. In families where living hand to mouth is the norm, paying higher prices for goods and services goes unquestioned. The thought of saving to avoid future crises seems laughable and the notion of having any real option a cruel fiction. We have gone into secondary schools in Ayrshire for twenty years, emphasising that money (whether a little or a lot) needs to be actively managed. We discuss in lively ways why debt should be avoided and suggest strategies how this may be achieved. Our efforts have been rewarded by becoming part of the curriculum in several schools, where we have also just been invited to devise pilot programmes for younger pupils. In addition, we offer free, financial education to adults within the community, where take-up has been greatly encouraging. The ongoing problem is that we, like many charities, are struggling to secure ongoing funding for our work. Local Authority budgets increasingly prioritise ‘necessities’ and maintaining the status quo, which means we see the chance of meaningful social change receding further. Early intervention and education to help young people understand the ways that money can be used and wasted, plus sharing understanding of how others thrive, can provide hope and opportunity. We actively challenge the belief that, just because something has always been this way, then this is the way it has to be. Through necessity, we are turning our attention to finding partners in the private sector who believe, as we do, that no society sustains itself by sucking funds from the many to give to the few; only chucking money at problems at the eleventh hour, with all the attendant human and societal misery that entails. That’s not my view of a healthy society, secure communities or potential for economic growth through meaningful change. Ray Chaney is the Chair of CHAP, a debt, welfare and housing advice charity based in Ardrossan in Ayrshire. Providing outreach into local communities, it delivers a range of advice, support and educational services. *The latest published government figures on wealth distribution in Scotland are from 2018-2020 (pre-pandemic) https://data.gov.scot/wealth/ For more articles like this, please connect with CHAP on LinkedIn .

When most people think of homelessness, they picture someone sleeping rough on the streets. While rough sleeping is the most visible form of homelessness, it is a fairly small percentage that only represents the tip of the iceberg. Homelessness takes many forms, and the reality is far more complex than the common stereotype suggests. Many people experiencing homelessness are hidden from view. They may be sofa-surfing with friends or family, living in temporary accommodation such as hostels or B&Bs, or staying in overcrowded, unsuitable housing. Others are at constant risk of homelessness due to financial difficulties, relationship breakdowns, or insecure tenancies. One of the biggest misconceptions is that homelessness is a result of chaotic lifestyle choices or substance misuse. In reality, it is often caused by factors beyond an individual’s control, such as job loss, rising living costs, domestic abuse, or changes in welfare support. Anyone can find themselves homeless, and many people in this situation are working families, young people leaving care, or older individuals struggling with rent and council tax increases. The stigma surrounding homelessness can often prevent people from seeking help. Fear of judgment or being labelled as ‘homeless’ can make it harder for individuals to access support services that could help them secure stable housing. At CHAP, we believe that homelessness is not just about a lack of a roof - it’s about the lack of security, stability, and support. By challenging the stereotypes and understanding the true scope of homelessness and the factors involved, we can work towards solutions that offer real, long-term change. If you, or someone you know, is struggling with housing issues, CHAP is here to help. Our free, independent advice services can provide support with tenancy matters, financial difficulties, and homelessness prevention. Let’s change the conversation and ensure that everyone has the opportunity to access safe and secure housing. Call Freephone 030 0002 0002 or visit www.chap.org.uk

Since its introduction in 2021, the Scottish Child Payment has made a significant difference to families across Scotland by helping cover the costs of raising children. Over 325,000 children and young people, aged 0 to 15, have been in receipt of the payment as of September 2024. However, it’s estimated that many more families who would qualify for the support are not currently claiming it. Scottish Child Payment is a weekly payment of £26.70 paid every 4 weeks to eligible people and helps towards the costs of supporting children up to the age of 16. You can apply for the payment if you: Claim Universal Credit or other qualifying benefits Have a child or children aged up to 16yrs Social Security Scotland is determined to ensure all eligible families access this vital benefit and are particularly keen to raise awareness among families with older children, those living in rural areas, and parents from ethnic minority backgrounds. How to Apply To check eligibility and submit an application, visit www.mygov.scot/scottishchildpayment . You can also call Social Security Scotland free of charge on 0800 182 2222 for further information. If you're unsure of eligibility or need some assistance with the application, CHAP advisers are able to help. Call our office on Freephone 030 0002 0002 or use the live chat feature on our website to arrange an appointment in North or East Ayrshire. If you think your family might qualify, please don’t wait - take action today and make sure you're receiving the financial support you're entitled to. 

Now that credit card bills and loan repayment invoices are arriving after the festive season, millions of people are bracing for the financial realities of Christmas spending. Recent research from lender Creditspring reveals a worrying trend - with over 9 million individuals entering 2025 with significant debt due to the rising costs of the festivities. Young People Hit Hardest The research highlights that young people, particularly those aged 18-34, are the most affected: 25% of young adults had reported that their Christmas spending would push them into debt - significantly higher than the UK average of 17%. 39% of 18-34 year olds said they had relied on their savings to cover festive expenses, compared to the UK average of 32%. 29% said they needed to borrow money from friends or family - more than double the national average of 14%. The study also found that 27% of young people couldn’t afford to buy presents at Christmas, over twice the UK average of 13%, while 21% of all UK adults were worried they wouldn’t be able to afford festive gifts or activities. The harsh reality is that many are now left grappling with the burden of credit card and loan repayments - a situation that we often see reflected in the numbers of people engaging with CHAP services at this time of year. You’re Not Alone: CHAP Can Help For those facing financial challenges, it’s important to remember there’s support available. High levels of debt, if left unmanaged, can quickly spiral out of control, but help is just a phone call away. At CHAP, our dedicated Money Advice Team can assist you with managing debt and regaining control of your finances. Our services are free, independent, and confidential, ensuring that you get the support you need to plan for a more financially stable year ahead. If you live in North or East Ayrshire, please don’t struggle alone - get in touch today: Call us on Freephone 030 0002 0002 or use the live chat feature on our website . Together, we can help you take the first step towards a brighter financial future. Source: Financial News