Ahead of a vote in the House of Commons today (Wednesday 18
October), Labour’s Shadow Work and Pensions Secretary has called
on Conservative MPs to support a motion to pause the roll out of
the embattled Universal Credit programme.
Labour’s call to support today’s motion follows reports that up
to 25 Conservative MPs may be willing to rebel against the
Government over their flagship social security programme, as
evidence continues to mount that it is pushing people further
into debt, rent arrears and even evictions. This will be a major
test of a key Government reform.
The Department for Work and Pensions’ own data shows that one in
four claimants are having to wait over six weeks to receive any
funds, with half of those in rent arrears reporting that they
went into debt after claiming Universal Credit.
MP, Labour’s Shadow Work
and Pensions Secretary, calling on Conservative MPs
to support the motion, said:
“The Government has so far not listened to MPs’ concerns about
the mounting issues with their flagship social security
programme. We must stand together to make our voices heard.
“I urge Conservative MPs to vote with their conscience and
support our motion to pause the roll out of Universal Credit.
“The social security system is meant to protect people from debt
and arrears, not exacerbate their situation.
“We must pause and fix Universal Credit now, before millions are
made worse off.”
Ends
Notes to Editors
- The opposition day debate is due to take place on Wednesday
18th October
- Labour’s motion, tabled on Tuesday, states;
That this House calls on the Government to pause the roll out
of Universal Credit Full Service.
The Tories are failing working people
- Real wages are lower now than they were a decade ago and
in-work poverty is at a record high.
“On these projections real wages will, remarkably, still be below
their 2008 levels in 2021.”
IFS, Autumn Statement analysis, 24 November 2016
https://www.ifs.org.uk/uploads/budgets/as2016/as2016_pj.pdf
“One in every eight workers in the UK - 3.8 million people - is
now living in poverty. A total of 7.4 million people, including
2.6 million children, are in poverty despite being in a working
family. This means that a record high of 55 per cent of people in
poverty are in working households.”
Joseph Rowntree Foundation, ‘In work poverty hits record high
as the housing crisis fuels insecurity’, 07 December
2016
https://www.jrf.org.uk/press/work-poverty-hits-record-high-housing-crisis-fuels-insecurity
Universal Credit is making matters even worse
- Universal Credit is creating poverty and debt for families
across the country. According to Citizens Advice:
“79 per cent have priority debts such a rent or council tax, 2 in
5 (41 per cent) have no money available to pay creditors as their
monthly spend on essential living costs is more than their
income. Typically people on Universal Credit only
have around £3 a month left to pay creditors.”
Citizens Advice, ‘Universal Credit expansion is 'a disaster
waiting to happen' says Citizens Advice’, 11 September 2017
https://www.citizensadvice.org.uk/about-us/how-citizens-advice-works/media/press-releases/universal-credit-expansion-is-a-disaster-waiting-to-happen-says-citizens-advice/
- The Government’s own data shows that one in four new claims
is not being paid in full in six weeks and half of Universal
Credit recipients need a loan to cover the first six weeks.
DWP, ‘Universal Credit Statistical Ad Hoc: Payment
Timeliness’, September 2017
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/645065/universal-credit-payment-timeliness-statistical-ad-hoc.pdf
- Half of families in arrears under Universal Credit have said
that their rent arrears started after they made their claim.
DWP, ‘Research into families claiming Universal Credit’,
September 2017
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/643978/research-into-families-claiming-universal-credit.pdf
Chancellor Phillip Hammond and 25 Tory MPs have expressed
their concerns with Universal Credit
- Twenty five Conservative MPs are ‘prepared to rebel’ over
Government refusal to pause the roll-out of Universal Credit.
“More than 25 Tory MPs are now prepared to rebel over the
Government's flagship welfare reforms amid mounting calls for
a "pause" in the roll-out
of Universal Credit.”
The
Daily Telegraph, 8 October 2017 http://www.telegraph.co.uk/news/2017/10/08/25-tory-mps-prepared-rebel-universal-credit-roll-out/
- Phillip Hammond has conceded there is are “challenges” with
Universal Credit.
“We recognise that there is a challenge around the waiting time
and the cash flow management that people have during that waiting
time.”
BBC Breakfast, 2 October 2017