The Department for Work and Pensions (DWP)is dishing out a free £420 to Universal Credit claimants in a massive financial uplift. Those on Universal Credit, the top benefit from DWP, are set to receive a hefty cash injection.
Alison McGovern has spoken about the £420 boost that will help 1.2 million people, stating: “We also announced that we are introducing a Fair Repayment Rate for deductions made from a UC award, allowing customers to prioritise their most severe third-party debts and retain more of their benefit award to budget for essentials. Reducing the cap to 15% will benefit 1.2 million households by £420pa on average.”
In the Commons, Ms McGovern said: “Tackling poverty in all forms, from reducing mass dependence on emergency food parcels to ensuring people can afford essentials like hygiene products, is a priority for this government.
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“We know that good work can significantly reduce the chances of people falling into poverty, but too many people are being denied the security and dignity that comes with being in good work. The Get Britain Working White Paper, published on 26 November, sets out how we will reform employment support, backed by a £240 million investment to target, and tackle the root causes of unemployment and inactivity, and better join up health skills and employment support based on the needs of local communities.
(Image: John Stillwell/PA Wire)
“This vital work comes alongside the announcements made at the Autumn budget which delivers an increase to the National Living Wage of 6.7% to £12.21 for eligible workers aged 21 and over, and a rise in the 18-20 National Minimum Wage of 16.3% to £10.00 per hour. This is a record increase and is the first step in the government’s plan to create a single adult rate for eligible workers.
“These steps come alongside the £1 billion, including Barnett impact, that will be invested to extend the Household Support Fund (HSF) in England by a full year until 31 March 2026, and to maintain Discretionary Housing Payments in England and Wales. The Household Support Fund can be used, in England, to provide support with food, energy, water and wider essentials including hygiene products.”