MORE than 20,000 children in Scotland would suffer if housing benefit for under-25s was removed, the Scottish Government has said.

Chancellor George Osborne suggested that savings could be made by stopping the benefit in a speech last week setting out plans to cut a further £25 billion from public spending after the 2015 election, including £12bn from welfare.

But the proposal was described as "seriously misguided" by Deputy First Minister Nicola Sturgeon in a letter to Work and Pensions Secretary Iain Duncan Smith. Ms Sturgeon said: "Our analysis shows that if housing benefit were to be removed for all under-25s, over 20,000 children in Scotland would suffer as a result.

"My main concern is the risk that this cut would pose to the 20,000 children who would need to be rehoused and would face the prospect of being made homeless.

"As well as the impact on the children and families affected, the social and economic cost would far outweigh any savings that may be achieved."