Commons Sense

House of Commons · Ministers' Questions

Universal Credit: People in Employment 2026-06-29

Monday 29 June 2026 · 3 questions

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

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 1 Not answered 0

Key points

  • Ministerial data shows 3.1 million people in employment were claiming universal credit in January 2026, representing 37.8% of all claimants.
  • The Minister acknowledged the issue of companies with over 250 employees not providing sufficient wages, leading to reliance on universal credit and foodbanks.
  • The Minister agreed to meet Tim Farron and farmers' representatives to discuss support for farmers in poverty.

Topics (select to filter)

Questions & Answers

Q1 Ian Byrne Lab Liverpool West Derby
Employment Benefits & Welfare
Context

The MP noted an assessment by his Department showing trends in the level of people in employment claiming Universal Credit.

Question

What assessment has been made of trends in the level of people in employment claiming universal credit? In January 2026, 3.1 million people were on universal credit in employment, representing 37.8% of all claimants.

Answer from Diana R. Johnson

The Department publishes data on universal credit and keeps labour market trends under review. Universal credit is designed to support people into and in work, allowing individuals to move into employment while continuing to receive support as their earnings increase.

Partly answered

Not addressed: Specific assessment of the trend was not provided; response generalises about universal credit's design

How: Keeping Labour Market Trends Under Review

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Q2 Ian Byrne Lab Liverpool West Derby
Employment Benefits & Welfare
Context

The MP highlighted testimony from workers in large, profitable companies who earn such low wages that they rely on Universal Credit to meet basic needs. He noted that 1.2 million people on universal credit are working at their capacity and receiving state support due to low wages.

Question

Does the Minister agree that the taxpayer should not be left to subsidise poverty pay paid by companies employing more than 250 people? Will the Government require those companies to report how many workers rely on universal credit because of low wages?

Answer from Diana R. Johnson

I acknowledge what my hon. Friend says and I commend him for his work on the Right to Food UK Commission. Many people in retail and care sectors earn insufficiently at the end of the week, relying on foodbanks. I invite my hon. Friend to come and talk to me about this issue.

Not addressed: Specific commitment or action regarding taxpayer subsidising poverty pay was not addressed

How: Inviting Conversation

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Q3 Tim Farron Lib Dem Westmorland and Lonsdale
Benefits & Welfare Agriculture & Rural Affairs
Context

The University of Cumbria has shown that average hill farm incomes are below the national minimum wage, yet farmers often cannot claim universal credit due to monthly income assessment criteria when they have fluctuating annual incomes.

Question

Will the Minister meet me and farmers' representatives to ensure that farmers in poverty get the support they deserve?

Answer from Diana R. Johnson

Yes, I am very happy to meet the hon. Gentleman.

Answered
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