‘THINK ABOUT THE VULNERABLE’
Families will be faced with choice of putting heating on or feeding children, warn couple as people, politicians and food banks plead for Government U-turn over Universal Credit cut
“Families will be faced with the choice of putting their heating on or feeding their children” - the stark warning from one Washington family as the Government gets set to press ahead with cutting its £20 per week Universal Credit uplift payment.
The additional money was brought in to support out-of-work and low-income families with the increased financial burden of the Covid pandemic and a campaign has now been launched urging the government not to remove the uplift payment on the expiry date of October 6.
Tori Hetherington, 35, Lee Nicholson, 42, and their six children fell on challenging times after Lee lost his job as a bathroom fitter. Like many families across the region, they’re dependent on additional support provided by Universal Credit.
Tori said: “It was brilliant to get the additional £20 per week which for families on low incomes is a lot of money. For us it’s been massively beneficial.
“If this is taken away as we move into winter then a lot of families will have to choose between putting the heating on or having something to eat.
“This shouldn’t be a choice – these are basic needs. Before the additional £20, I know of some parents who went without food in order to feed their children – although fortunately, we’ve never been in that position.”
It’s a situation Lee feels has been exacerbated by the pandemic.
He added: “Any decrease in income is obviously a worry and with the rising costs of living and taxation you do wonder how some families will survive.
“Many people have lost their jobs during the pandemic and don’t want to be on Universal Credit – it’s not a choice for people.”
While Prime Minister Boris Johnson has preached the mantra of returning people to work rather than being dependent on benefits, almost 40% of people claiming Universal Credit are in low-income employment.
Lee said: “They’re going to take this money away but many people on Universal Credit are working people and are now going have to pay this additional National Insurance tax as well as the increased cost of living.
Tori added: “The basic cost of living has gone up. Gas and electricity bills have increased and if they take away this £20 it will be a big hit to people.”
After losing his job, Lee and Tori have recently started the Building Block Day Day Centre in Concord – a community hub and cafe providing support to local people.
Launched as a non-profit making enterprise, Tori is concerned the Universal Credit cut will also have an adverse effect on their fledgling business.
She said: “If this money is taken away then it won’t be getting spent in local businesses which could obviously affect our cafe.”
Lee added: “I would urge the Government to consider the effects taking away this payment will have on the most vulnerable people. I really think it will end up having bigger costs in other ways.”
The impact of the pandemic has already seen an increase in dependence on food banks from local families and a recent survey carried out by the Trussell Trust – the UK’s biggest food bank charity – showed one in four people in the region claiming Universal Credit said they are “very likely” to need to skip meals when the cut hits.
A third of people surveyed in the North East – representing 84,000 people – told researchers they would struggle to heat their homes this winter if their income is slashed in October.
Peter MacLellan, Chief Executive Officer of Durham Christian Partnership, said: “In Sunderland and County Durham our food banks are providing three days' food for about 1,600 people every month - including 600 children.
“Cutting some of the most vulnerable people’s income by a fifth is going to have a major impact at a time of rising prices for both food and energy.
“We stand ready to support those affected, and we anticipate a significant rise in food bank use if this cut goes ahead. However, it isn’t right that people should be forced to depend on charity for their most basic needs."
Figures provided from the Joseph Rowntree Foundation, an independent social change organisation to solve UK poverty, shows the cuts will have a disproportionately negative impact on families in Sunderland, South Tyneside and across the North East.
The region is already financially precariously positioned with 46% of the region’s households with children in receipt of Universal or Working Tax Credit – the highest in the country along with Yorkshire and Humber.
Figures for Sunderland Central, Washington & Sunderland West and Houghton & Sunderland South show Universal Credit and Working Tax Credit household claimants with children in the area, coming in at 47, 51 and 49% respectively.
For South Shields it is 49% while for Jarrow it is slightly lower at 43%.
In a letter to Chancellor Rishi Sunak, pleading with him not to go ahead with the cut, the North East Child Poverty Commission (NECPC) calculated the cuts would hit 34% of all working-age households across our region – two in five of which are families with children – which would “push many into poverty and cause severe hardship for those already struggling to stay afloat”.
The letter, which has also been signed by the region’s Citizens Advice Chief Executive Officers, stated: “It would also take almost £5million a week out of our regional economy, damaging jobs and businesses just as they begin to recover from the terrible impact of Covid-19.”