Commons Sense

House of Commons · Ministers' Questions

End of Universal Credit Uplift

Tuesday 7 September 2021 · 5 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 5 Not answered 0

Key points

  • Government considers the 20 increase to universal credit a temporary measure
  • Statistics show 200,000 fewer people in absolute poverty since the Government's term began
  • Government supports job creation and provides initiatives like traineeships and apprenticeships

Topics (select to filter)

Questions & Answers

Q1 Alex Davies-Jones Lab Pontypridd
Benefits & Welfare
Context

The MP raised concerns about the end of the £20 increase to universal credit, a temporary measure during crisis. She questioned its impact on the Exchequer.

Question

What recent discussions has the Secretary of State had with the Work and Pensions Minister regarding the financial consequences of ending the £20 uplift to universal credit?

Answer from Rishi Sunak

The Government considers the £20 increase to universal credit a temporary measure, and we are not done supporting those in need. We have created a plan for jobs focusing on giving people skills and opportunities for high-quality work.

Partly answered

Not addressed: Financial impact assessment

How: We Know The Best Way To Help Is Through Job Creation

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Q2 Ben Lake PC Ceredigion Preseli
Economy Wales Benefits & Welfare
Context

The MP highlighted that the end of the £20 weekly increase will cost families in Wales £286 million, with 275,000 at risk of poverty. He cited figures from Bevan Foundation suggesting a loss of £5.7 million for Ceredigion.

Question

What economic impact assessment has the Chancellor made regarding ending the £20 uplift to universal credit in communities across Wales?

Answer from Rishi Sunak

Statistics show 200,000 fewer people in absolute poverty since this Government's term began. We see a strong labour market with businesses needing to find workers; we provide skills and opportunities for jobs through our plan for jobs.

Partly answered

Not addressed: Specific impact assessment

How: Strength In The Uk Labour Market

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Q3 Ian Byrne Lab Liverpool West Derby
Economy Employment Benefits & Welfare
Context

The MP criticised the Chancellor's focus on his personal amenities over assessing the impact of cutting £20 from universal credit, affecting 12,530 people in Liverpool West Derby.

Question

What assessment has the Government made about how many of the 12,530 people in Liverpool West Derby will be pushed into poverty due to the cut to universal credit?

Answer from Rishi Sunak

People are not forced into poverty as we know the best way is through employment. We support job creation and provide initiatives like traineeships, sector-based work academies, apprenticeships, kickstart programmes.

Partly answered

Not addressed: Specific number of people pushed to poverty

How: Best Strategy To Help People Is Employment

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Q4 Stephen Timms Lab East Ham
Employment Benefits & Welfare
Context

The MP pointed out that 40% of those receiving universal credit are employed and will be severely affected by the proposed reduction in benefits.

Question

Does the Chancellor comprehend the severe impact this benefit cut will have on working families already relying on universal credit?

Answer from Rishi Sunak

Our plan for jobs supports those in work by increasing the national living wage and providing apprenticeships, skills boot camps, and sector-based work academies to enhance their employment prospects.

Partly answered

Not addressed: Severity of impact on working families

How: Right Strategy Is Job Creation

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Q5 Alex Davies-Jones Lab Pontypridd
Benefits & Welfare Children & Families
Context

The MP referenced Action for Children's report, stating that a street cleaner with two children will lose £729 annually as a result of Conservative cuts since 2010 and an additional £1,700 from the planned benefit reduction.

Question

How are families expected to manage financially given the reported impacts of the upcoming cut in universal credit?

Answer from Rishi Sunak

Children from workless households are five times more likely to be in poverty. We support parents into employment with childcare subsidies, and 85% of universal credit recipients have their childcare costs covered.

Partly answered

Not addressed: How families manage financially

How: Support For Workless Households, Childcare Cost Coverage

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