SOCIAL Justice Secretary Alex Neil MSP has described the looming £12 billion Conservative welfare cuts as a “poverty timebomb” and accused the UK Government of being “even more right-wing than Margaret Thatcher”.

Speaking out following the publication of the Welfare Reform Tracking Study, which showed that many people accessing benefits are living in constant fear of further cuts, Neil said he was worried Scotland’s most vulnerable people would be pushed further into poverty and desperation.

The study, which looks at on-going changes to working age benefits, revealed all respondents, including those in work, found themselves in very difficult financial situations and felt an underlying sense of “precariousness”.

Many were anxious that changes to their circumstances or entitlements would push them into crisis situations.

Neil said the Tories were trying to push through the Scotland Bill, which he insists “when it comes to welfare powers they are nowhere near what was promised in the Smith Commission”.

He added: “It is not acceptable and has got to be severely strengthened to come anywhere near being close to what Smith recommended.

“The fact there is to be a special Budget on July 8, in which there is likely to be another £12bn cuts in the welfare budget, means that it makes it even more important that the Scottish Government gets the powers we were promised.

“Another £12bn of welfare cuts is going to be a poverty timebomb in Scotland and in the rest of the UK. You just need to look at the recent reports showing there will be up to another 400,000 children across the UK into poverty as a result of all these cuts.

“Far from being One Nation Tories, this lot in power now, David Cameron & Co, are far more right wing than even Margaret Thatcher and they are impoverishing far more people than Thatcher ever did.

“It is extreme Thatcherism with a broad smile.”

Neil said there were a number of major issues which had to be tackled in the Scotland Bill before it goes any further.

He added: “The Tories have put a number of vetoes in so that before we do anything we’ve got to go back to the Tory Government for permission. That’s not devolution.

“And the powers over varying aspects of universal credit doesn’t come up to scratch with what was promised, and also some of the aspects of the disability living allowance or its replacement Personal Independence Payment doesn’t come up to what was promised either.

“So we want to see a substantial strengthening of the powers because, as it stands, it reneges on what was promised in the Smith report to a large extent on welfare powers.”

Neil insisted the Tories were trying to rush a “watered-down” Scotland Bill in a “deliberate ploy”.

He said: “The Tories are trying to rush this bill through for two reasons. Number one is they want it in law so they can go into the Scottish Parliament elections next year promising big tax cuts, which would mean even deeper cuts to public spending on essential services.

“Number two, there is a deliberate ploy by the UK Government to publish a watered-down Scotland Bill so that the debate is all about enhancing it to bring it up to Smith, instead of the additional powers above and beyond Smith that we want. That is the strategy they are following.”

The Welfare Reform Tracking Study also revealed that many participants said they received poor and sometimes conflicting communications from benefits agencies and there was a lack of clarity over information that was provided, bringing extra stress and uncertainty.

Disabled people also felt they had to present themselves in a negative light and focus on their limitations rather than their capabilities, while the challenges of work capability assessments and repeat assessments for people with permanent disabilities were also highlighted.

Neil said the findings of the study outlined exactly why the UK Government should urgently rethink their plans to further cut the welfare budget.

He said: “The UK Government’s austerity agenda and benefit cuts are having a very damaging effect on people in Scotland. Their approach is slashing the incomes of some of our poorest households and pushing 100,000 children into poverty.

“The Welfare Reform Tracking Study is further evidence that people are living in constant anxiety about changes to their entitlements and are already suffering from the effects of around £6bn of cuts taken from Scottish welfare expenditure over the last five years. The UK Government should be looking to lift people out of poverty, not push them further into it.

“We will do all we can to use our new powers to make our system fairer and simpler and work to improve the experience for people.

“We will work quickly to implement these changes and base our social security system on how best to support people and tackle inequalities and not on crude opportunities to save money.”