Therese Coffey, a DWP minister, “totally misunderstood the Universal Credit claim.”
THERESE COFFEY claims that by working an extra two hours each week, Universal Credit claimants can recoup the money they will lose due to the boost cut. However, charities have cautioned that to make up the shortfall, applicants would have to work up to nine extra hours every week.
She claimed the government would strive to help individuals “secure those extra hours” this morning on BBC Breakfast. However, Shadow Work and Pensions Secretary Jonathan Reynolds questioned Ms Coffey’s allegations in the Commons this afternoon.
“I’m sure the Secretary of State is well aware by now that she got that utterly wrong,” he remarked.
“Of course, the taper rate would deduct a portion of this and additional profits, resulting in net earnings of significantly less than £20 for those extra two hours.
“Can I ask her if she now knows how many extra hours a single parent working full-time would have to work to make up for the money the government is cutting?”
“UC payments vary on the individual, so I’m not going to be able to articulate to there,” Ms Coffey added, citing the fact that each Universal Credit (UC) payment credit is different.
“However, there are a variety of ways that people can earn more and keep more of their money when they work more hours” and receive benefits.
Mr Reynolds clarified that this statistic referred to “10 hours per week.”
“That cut would force a person to work 50 hours a week in total to receive what they’re getting now,” he continued.
The increase in Universal Credit, as stated by the Chancellor in the Budget, was always intended to be temporary.
It was created to assist claimants through the most difficult periods of the pandemic’s economic shock and financial dislocation.
“Many claimants are eligible for an in-work allowance, which means the taper rate does not apply, and people keep more of what they earn,” a Government spokeswoman stated in response to Ms Coffey’s explanation in today’s interview.
“Working two hours more per week at the National Living Wage can add up to about £20 for the lowest earnings.
“Universal Credit will continue to give critical assistance to persons who are employed and unemployed.
“It is appropriate for the government to concentrate on our Jobs Plan, which aims to re-employ individuals and assist those who are already employed.”Brinkwire Summary News”.