17 - The Conservative governments, devolution and social policy

Summary

Introduction

Review of social policies in the devolved countries of the UK during the Conservative– Liberal Democratic Coalition government at Westminster (2010– 15) indicates a clear shift towards a social democratic approach in Scotland and Wales, with growing divergence from key UK government social policies (for example, Birrell and Gray, 2016). In Northern Ireland (NI), the mandatory power-sharing arrangements made it more difficult to discern a distinct political approach.

In the period since 2015, politics and social policy in the UK have been dominated by two major influences, Brexit and the COVID-19 pandemic, as well as the most serious cost of living crisis for several decades. These have brought into sharp focus the increasing tensions between the UK government and each of the devolved parliaments.

Changes to constitutional and financial powers

Both the Scottish Parliament and the National Assembly for Wales (now called Senedd Cymru/Welsh Parliament) gained significantly expanded powers in the period since 2014. In the wake of the 2014 Scottish independence referendum, the Smith Commission was established to take forward the commitments made by the pro-Union parties regarding further devolution of powers to the Scottish Parliament. Pillar 2 of the ‘Smith Commission Agreement’ is ‘delivering prosperity, a healthy economy, jobs, and social justice’ (Smith Commission, 2014, p 12). The commission recommended devolution of significant areas of social security responsibility so that, for example, while the State Pension and the National Minimum Wage would remain reserved to Westminster, a wide range of benefits for carers, disabled people and those who are ill, plus benefits which comprised the Regulated Social Fund (including the Cold Weather Payment, Sure Start Maternity Grants, Winter Fuel Payment and Discretionary Housing Payments) should be devolved. Universal Credit was to remain a reserved benefit administered and delivered by the Department for Work and Pensions, but the Scottish Government would have the power to change the frequency of Universal Credit payments, vary the existing plans for single-household payments and the housing costs element of Universal Credit, and pay landlords direct for housing costs in Scotland.