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JRF Poverty in Scotland Report: Renewed pressure to replace broken council tax

Council Tax ‘is a regressive tax that takes up a much larger proportion of low-income households’ budgets than better-off households.’

The Scottish Government must replace the broken council tax with a fairer system, following Joseph Rowntree Foundation’s Poverty in Scotland 2026 reporting that Scotland is off course to meet its child poverty targets.

The report warns that ministers’ current plans will miss the 2030/31 relative child poverty target by a wide margin, and highlights that Council Tax ‘is a regressive tax that takes up a much larger proportion of low-income households’ budgets than better-off households.’

Scottish Greens social justice spokesperson Holly Bruce MSP said: 

“Behind these missed targets are children growing up without the essentials they need, and parents going without to make sure their families can get by. That is the harsh reality that we need to face.

“Our council tax system is broken. Why should poorer households’ incomes be hit the hardest, while the local services they rely on are stretched thin?  Why should families pay the price for a system that ministers have failed on?

“The Scottish Greens would replace the broken Council Tax with a fairer Residential Property Tax, based on what homes are actually worth, with protections specifically for people on low incomes. 

“I am proud of the work the Greens have already achieved to tackle poverty, doubling the Scottish Child Payment in government and securing the expansion of free school meals through budget negotiations, but we need to go further. 

“Raising the Scottish Child Payment to £40 a week for every eligible child, rising to at least £55 by 2030, with extra support for the poorest families, means more money for warm clothes, healthy meals and the everyday essentials every child deserves. 

“Putting money directly in the pockets of the families who need it most is a tried and tested measure. The Scottish Government has the power to raise the Scottish Child Payment now to directly lift children out of poverty.”

Holly added: 

“Westminster is imposing an unfair benefits system on Scotland, that gives young parents less support simply because they are under 25. It is a disgrace: children do not need less food or fewer warm clothes because of their parents’ age.

“But Westminster’s failures on social security cannot be an excuse for the Scottish Government to fall short here at home. There are steps that Scotland can take now to make taxation fairer, fund local services and put more money into the pockets of families who need it most. 

“Poverty is shaped by political choices, and the Scottish Government must make better ones, acting much faster, and going much further.

“If the First Minister is serious about ending child poverty, he should work with the Scottish Greens to deliver those changes.”