Local Housing Allowance has been frozen by the UK Government for a second year, while the cost of living has continued to rise.

In response, the Scottish Government has committed to invest up to £9 million in additional Discretionary Housing Payments to support families with children affected by the freeze as part of the Tackling Child Poverty Delivery Plan announced last week, bringing the total amount to be invested this coming year to £115 million.

This will help support up to an estimated 18,000 households with children to afford their rents and prevent homelessness.

Ms McAllan said: “The UK Government’s decision to freeze Local Housing Allowance for a second year is causing significant hardship in our country. It is forcing families into poverty and driving homelessness.

“The Resolution Foundation has been clear that the right approach to Local Housing Allowance could lift 75,000 children out of poverty in the UK. Unforgivably, the UK Government decided to freeze it for a second year while the cost of living has continued to spiral.

“Eradicating child poverty is this government’s top priority and we will not stand by while families are pushed further into destitution.

“That is why we have taken the decision to mitigate the freeze, as far as possible, for households with children in Scotland.

“Scottish Government investment already ensures no one in Scotland needs to pay the UK Government’s Bedroom Tax. Now, thanks to this investment, the punitive impact of the UK Government’s freeze will be abated for thousands of households with children.

“We believe everyone should have the opportunity of a safe, warm and affordable place to call home. This new investment, together with our other action to tackle the housing emergency, will help make this a reality.”

Chief executive of One Parent Families Scotland Satwat Rehman said: “As the sole carers and sole earners in their household, single parents have no second income to fall back on when costs increase. When housing support is frozen while rents keep rising, they are forced to make up the difference from money meant for their children’s essentials.

“We welcome the Scottish Government’s further investment in Discretionary Housing Payments, which will provide vital support for families struggling with rent. But discretionary payments can only go so far.

“In the long term, the UK Government must reverse the freeze and ensure Local Housing Allowance reflects the real cost of renting so families are not left relying on temporary support just to keep a roof over their heads.”