William Eichler 26 August 2021

Universal Credit cuts to force two million people into debt

Universal Credit cuts to force two million people into debt image

Government plans to cut Universal Credit this October could push 2.3 million people into the red, Citizens Advice warns.

The Department for Work and Pensions plans to cut Universal Credit by £20 a week starting in October.

However, a survey of over 2,000 people on Universal Credit shows more than a third (38%) would be in debt after paying just their essential bills if their benefits drop by £20 a week. This is equivalent to at least 2.3 million people.

The figure rises to nearly half (49%) people on Universal Credit in ‘Red Wall’ areas.

The average shortfall for people tipped into the red would be £51 a month, increasing to £55 a month in ‘Red Wall’ areas.

Dame Clare Moriarty, chief executive of Citizens Advice, commented: ‘A cut to Universal Credit this autumn will be a hammer blow to millions of people.

‘It undermines our chance of a more equal recovery by tipping families into the red and taking money from the communities most in need.

‘The Government must listen to the growing consensus that it should reverse course and keep this vital lifeline.’

SIGN UP
For your free daily news bulletin
Highways jobs

Part Time Deputyship Finance Assistant

Essex County Council
£25959.00 - £27613.00 per annum + Pro Rata
Part Time Deputyship Finance AssistantFixed Term, Part Time£25,959 to £27,613 Per Annum, Full Time EquivalentLocation
Recuriter: Essex County Council

Financial Assessment Officer

London Borough of Richmond upon Thames and London Borough of Wandsworth
£31,515 - £47,067
Financial Assessment Officer
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Family Help Lead

Gloucestershire County Council
£33,143 - £40,777 per annum
We have an exciting opportunity for you to join Gloucestershire Children's Services Gloucestershire
Recuriter: Gloucestershire County Council

Community Social Worker

Gloucestershire County Council
£40,444 - £48,738 per annum
We are currently recruiting for a Community Social Worker to join our team based in the Forest of Dean on a permanent basis. Gloucestershire
Recuriter: Gloucestershire County Council

Debt Recovery Officer

London Borough of Richmond upon Thames and London Borough of Wandsworth
£33,927- £47,067
Debt Recovery Officer<... Wandsworth, London
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth
Linkedin Banner