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

Social Worker (Family Worker, Link Role) - Family Solutions

Essex County Council
£38487 - £51834 per annum
Interviews will be held in person at Greenstead Youth Centre, Colchester on Monday 8th June 2026.We have an exciting opportunity to join our high-per England, Essex, Colchester
Recuriter: Essex County Council

Adults Social Worker - Tendring Neighbourhood Team

Essex County Council
£38487 - £51834 per annum + Flexible Working, Hybrid Working
This advert is open to Experienced and Newly Qualified Social Worker's (NQSW). The starting salary for a NQSW is £36,124 per annum, rising to £38,487 England, Essex, Clacton-On-Sea
Recuriter: Essex County Council

Apprentice - Business & Administration

Essex County Council
Up to £15435.00 per annum
Apprentice - Business & AdministrationFixed Term, Full Time£15,435 Per AnnumLocation
Recuriter: Essex County Council

Street Lighting Project Engineer

North Yorkshire Council
£38,220 - £42,839 per annum
Office base is the Leeming Bar Street Lighting Depot. Leeming Bar, Northallerton
Recuriter: North Yorkshire Council

LGV Driver

North Yorkshire Council
£31,537-£34,434 per annum pro rata
Would you like a rewarding role that allows you to work outside in some of the most scenic places in the country? Harrogate, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner