Commons Sense

House of Commons · Ministers' Questions

Low-income Households: Cost of Living

Monday 6 June 2022 · 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

  • The Government announced 15 billion in additional cost of living support, bringing the total package to 37 billion for the year.
  • Households paying energy bills will receive a 400 cash grant, and households with a disabled person will receive further funding.
  • The Chancellor and the Secretary of State increased the household support fund by a further amount to address the cost of living crisis.

Topics (select to filter)

Questions & Answers

Q1 Richard Thomson
Benefits & Welfare
Context

The cost of living in the UK has risen sharply, prompting concerns about whether universal credit payments are adequate for recipients.

Question

What recent assessment have you made of the adequacy of universal credit payment levels given the rise in the cost of living?

Answer from David Rutley

We have announced £15 billion in further cost of living support, bringing our total package to £37 billion this year. Through the Government's recent interventions, we are targeting those most in need. Our package equates to at least £1,200 for almost 8 million of the most vulnerable households.

Partly answered

Not addressed: The adequacy assessment was not provided; only support amounts were mentioned.

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Q2 Liz Twist Lab Blaydon and Consett
Benefits & Welfare
Context

A report by Carers Trust Tyne and Wear highlighted that carers allowance is the lowest benefit of its kind, yet those who receive it will get no cost of living support.

Question

Does the Minister believe carers allowance is adequate in light of the current cost of living crisis? Will he take steps to address this issue?

Answer from David Rutley

I echo what my right hon. Friend the Secretary of State has already said. I also highlight the fact that households that pay energy bills will receive the £400 cash grant to support them, and that if somebody with a disability lives in a household, there will be further funding with the £150 disability cost of living payment.

Partly answered

Not addressed: Did not address the adequacy or need for improvements in carers allowance specifically.

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Q3 Catherine West Lab Hornsey and Friern Barnet
Economy Benefits & Welfare
Context

A constituent with severe sight impairment and learning difficulties lives with his mother, who supplements his living expenses from her own pensioner poverty pot. This situation highlights the issue of inflation increasing poverty levels.

Question

What urgent action will the Minister take to address this injustice for a severely disabled person and his impoverished mother during the cost of living crisis?

Answer from David Rutley

I do not know the exact details of that case, but there may be opportunities in that household to explore pension credits. Of course, the Chancellor, with support from my right hon. Friend the Secretary of State, recently announced that the household support fund has also been increased by a further £500 million, until April next year.

Partly answered

Not addressed: Did not specify actions to address the injustice for disabled individuals and their carers directly.

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Q4 Richard Thomson
Benefits & Welfare
Context

The Scottish Government have increased child payments, supporting more than 100,000 children. This has raised questions about the UK's response to similar issues.

Question

Why will the UK Government not commit to increasing universal credit by an equivalent amount over the same timescale and extend it to those on legacy benefits?

Answer from David Rutley

As we have highlighted, we have just set out a really significant increase in benefits payments as part of the package that is now worth £37 billion. As a result of the work we are doing not just to provide support but to enable people to get into work, there are now 200,000 fewer children in the UK who are in absolute poverty before housing costs.

Partly answered

Not addressed: Did not commit to an equivalent increase in universal credit or extension to legacy benefits.

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Q5 Karen Buck Lab
Benefits & Welfare
Context

42% of universal credit claimants face deductions averaging £61 a month, raising questions about the adequacy and predictability of their income.

Question

How is it acceptable that 42% of universal credit claimants face deductions of, on average, £61 a month? What action will be taken to address this?

Answer from David Rutley

We have already set out our cost of living payments, which will benefit 8 million households in the UK. They are significant and much needed as we face these current cost of living challenges. It is also important to highlight that, over the past couple of years, we have seen the maximum amount that can be taken in deductions from benefits fall from 40% to 30% and now down to 25%.

Partly answered

Not addressed: Did not directly address the acceptability or propose specific actions for these deductions.

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