Families losing £200 a month due to Tories' Universal Credit policy
The Tory Minister, Ester McVey, has privately admitted that millions of families would lose up to £200 a month due to the government's welfare reforms.
In leaked comments to The Times, the work and pensions secretary said that half of lone parents and about two thirds of working-age couples with kids would lose out on up to £2,400 a year. Those in self-employment are also reported to be receiving up to £2,500 less than their peers on similar incomes.
John McDonnell MP, Labour’s Shadow Chancellor, said:“We have said time and time again that the rollout of Universal Credit should be halted to fix the many problems the Tories have created."
“Cuts to Universal Credit have already hit millions of people on low incomes hard, and the IFS has said that 75 per cent of social security cuts announced since 2015 are still to come. If the Prime Minister’s words about austerity being over are true, then the Chancellor must use the Budget later this month to reverse the cuts to some of the most vulnerable people in Britain."
Areas where Universal Credit has already been rolled out have seen referrals to food-banks drastically rise by 52 percent, according to The Trussell Trust, while current government plans would see the system rolled out to all claimants by the end of the year.
A spokesperson for the Department for Work and Pensions declined to comment on this story.