Many thanks to those who have contacted me about Universal Credit (UC).
I have received a high volume of correspondence on this issue and appreciate there is a wide range of views.
A decade ago, the welfare bill cost each household around £8,500. This was an increase of nearly £3,000 per household since 1997. The system was failing to reward work and trapping people on welfare.
UC protects vulnerable claimants and ensures that work always pays. As UC entitlement is based on up-to-date information about a claimant’s circumstances, it more accurately reflects their financial needs.
Although the temporary £20 UC uplift is coming to an end, I hope that the Chancellor takes the opportunity in the October Spending Review to announce new measures that include increased support for families in need and the most vulnerable.
I know my colleagues in the Department for Work and Pensions remain focused on supporting people by helping them get back into work through the Government’s £30 billion Plan for Jobs, including schemes such as Kickstart.
This is on top of a previous £1 billion package of changes, providing two additional weeks of DWP legacy benefits for those moving onto UC, a 12-month grace period before the Minimum Income Floor is applied, and extending the payback period for Universal Credit advances from 12 months to 24, meaning in effect someone can receive 25 payments over 24 months.
I will continue to monitor the situation. Thank you again for taking the time to contact me.