A NEW Scottish Social Security system will be set up after MSPs at Holyrood gave approval.

The Scottish Government has said the system will based on “dignity and respect” and respond to the needs of those who qualify for benefits.

The new system sees 11 benefits transferred to the control of the Scottish Parliament under the transfer of greater powers in the Scotland Act after the independence referendum.

The Bill to set up the system was passed with support of all parties in the Scottish Parliament.

Campaigners have welcomed the change and call for the opportunity of the creation of the Scottish system to be seized to reduce the impact of poverty in Scotland.

The Poverty Alliance said one of the principles of the new system is to reduce poverty.

Peter Kelly director of Poverty Alliance said: “With almost daily reports of the impact of the cuts to social security at the UK level, such as the freeze on levels of many UK benefits or the roll out of Universal Credit, it is time to show that a different approach is possible. Our hope is that we are able to look back on this day as an important one in the journey towards solving poverty in Scotland.”

He said it allows the Scottish Government to take decisions to improve the lives of people who receive benefits instead of a punitive system.

He added: “This means ensuring adequate benefit levels so that people are not forced into making choices between heating their homes or paying their rent. It means exploring options like topping up child benefit by £5 per week in order to lift 30,000 children out of poverty.

“It means better supporting people to navigate the system, so that they can access their entitlements and not be forced into the hands of exploitative pay day lenders.”

The new system is expected to be up and running fully by 2021 and the first devolved benefits administered by next summer.

Jeane Freeman, Social Security Minister said: “People need to trust that we will be competent and deliver on these services but also that we will do it in the way that we committed to doing it, with dignity, respect and fairness at the heart of everything we do.

We are setting up a new public service for Scotland. I’m determined we mill meet our commitments on our promises.”