Universal Credit cuts continue

Owen Thompson MP for Midlothian explains that 44% of Midlothian households on Universal Credit (UC) had their benefits deducted.

This means that 2,800 households had money deducted from UC claims in May at the height of the pandemic. DWP figures show 44% of 6,300 UC claims had an average of £60 deducted, at a time when food bank need soared. Figures were revealed in response to a parliamentary question from SNP MP Chris Stephens, a Trustee of charity Feeding Britain which identified deductions as one of the causes of food bank demand.

Other deductions to repay historic debt and overpayments paused in May.

But, now they have resumed, Thompson says that more than £1 billion in total will be deducted from UC claims. He signed an

Early Day Motion calling for the DWP to ease cuts. He said: "It's hard to believe that in the heat of the crisis, almost half the households in Midlothian who rely on Universal Credit had money deducted from their benefits. This surely would drive the soaring demand for foodbanks that we witnessed.

"The UC system is not fit for purpose, it has disadvantages built into its design. The 5-week delay in receiving the benefit immediately puts people on the financial backfoot instead of helping them get back on their feet. Thousands of people in Midlothian with little or no money are left to rely on

DWP loans, then deductions kick in before people have a chance to stop chasing their tail financially, creating a spiral of debt.

"It's almost as if they don't want to provide people with support but to punish them for being poor.

"The UK Government should immediately ease the rate at which it deducts money from Universal Credit - or better still look at non-repayable grants instead of loans to tide people over and help them get out of financial difficulties."