Source · Select Committees · Scottish Affairs Committee
Recommendation 102
102
We are also aware of other Parliamentary Committees and statutory bodies that have investigated the...
Recommendation
We are also aware of other Parliamentary Committees and statutory bodies that have investigated the issue of making the £20 uplift permanent and extending it to legacy benefit claimants. The Work and Pensions Select Committee recommended in their Report into DWP’s response to the coronavirus outbreak that the DWP should ‘increase the rates of relevant legacy benefits by the equivalent amount’255 as Universal Credit has been. This was preceded by a letter written in May 2020 to the Secretary of State for Work and Pensions by the Social Security Advisory Committee, an independent statutory body which advises the Secretary of State on social security and related matters. Their letter stated that it was ‘of the strong view that it is increasingly untenable for this group of claimants [legacy benefit recipients] to be excluded and to continue to have a lower level of income than those in receipt of Universal Credit and Working Tax Credit.’256 It went on to recommend that legacy benefits should be ‘brought up to the same level as those in receipt of Universal Credit as soon as it is possible to do so.’257 The House of Lords Economics Affairs Committee commented on the uplift recommending that ‘The Government should commit to making the increase in the standard allowance permanent’258 in their Report into the economics of Universal Credit.
Government Response
Not Addressed
HM Government
Not Addressed
Universal Credit has provided a vital safety net for six million people during the pandemic, and the UK Government announced the temporary uplift as part of a £400 billion package of measures put in place that will last well beyond the end of the roadmap. The UK Government focused support on Universal Credit and Working Tax Credit claimants because they were more likely to be affected by the sudden economic shock of Covid-19 than legacy benefit recipients. There was never any plan to extend the uplift to legacy benefits. As the economy recovers, the UK Government’s ambition is to help people move into and progress in work as quickly as possible based on clear evidence around the importance of employment, particularly where it is full-time, in substantially reducing the risks of poverty. The UK Government’s ambitious Plan for Jobs is already delivering for people of all ages right across Great Britain and includes new schemes such as the £2 billion Kickstart Scheme.