William Eichler 07 February 2022

Workers on universal credit face ‘perfect storm’, TUC warns

Workers on universal credit face ‘perfect storm’, TUC warns image
Image: Benedek Alpar/Shutterstock.com.

Millions of low-income workers face a ‘perfect storm’ this April with universal credit (UC) falling behind the cost of living as energy bills and taxes rise, the TUC say.

A new analysis by the Trades Union Congress has revealed that the number of workers on UC has increased by 1.3 million since the eve of the COVID-19 pandemic.

The analysis of official statistics shows that over 2.3 million workers were in receipt of UC at the end of 2021, compared to just over one million on the eve of the pandemic in February 2020.

This represents an increase of 130% over the last two years and means one in 14 (7.2%) working adults now claim UC.

TUC estimates show that the value of UC has fallen by £12 a month in real terms when measured against CPI inflation and £21 a month when measured against RPI inflation compared to just before the pandemic.

The TUC says this trend will only get worse in the months ahead with inflation forecast to rise further.

‘Millions of low-paid workers face a perfect storm this April. At the same time as energy prices and national insurance contributions shoot up, universal credit is falling in value,’ said TUC general secretary Frances O’Grady.

‘The Government must do far more to help struggling families get through the tough times ahead. The support package announced by the Chancellor last week is woefully inadequate.

‘Universal credit urgently needs boosting and we need further action to reduce fuel costs for those battling to make ends meet.’

SIGN UP
For your free daily news bulletin
Highways jobs

Principal Accountant

Durham County Council
£47,181 to £51,356 p.a. (Grade 13)
Durham County Council is the largest council in the North East, we have a budget of around £1.3 billion which helps us provide services to more than 5 Durham
Recuriter: Durham County Council

Mechanical Foreman

Durham County Council
£35,412 to £39,152 p.a. (Grade 9)
A vacancy has arisen within Building and Facilities Management for a Mechanical Foreman working full time 37 hours.   WHAT IS INVOLVED?    Within a co Durham
Recuriter: Durham County Council

Occupational Health Physiotherapist

Durham County Council
£40,777 to £45,091 p.a. (Grade 11)
An exciting opportunity has arisen with Durham County Council to join our well established ‘in house’ Occupational Health Service in making a positiv Durham
Recuriter: Durham County Council

Apprentice - Housing Management

Durham County Council
£14,566 per annum / £7.55 per hour (NMW in Second Year)
Earn. Learn. Qualify. Do you want to earn while you learn, with the chance of progression once you qualify? Do you want the opportunity to grow, devel Seaham
Recuriter: Durham County Council

School Crossing Patrol

Durham County Council
Grade 1 £3,383 (approx.) £12.85 per hour
Join our School Crossing Patrol Service! Are you punctual and reliable? Do you have good communication skills and a strong sense of community spirit? Durham
Recuriter: Durham County Council
Linkedin Banner