Universal Credit - many working families will be worse off

Now we know why George Osborne backed down so readily on Working tax credits.

He knew that as Universal credits take off, many working people are going to be substantially worse off anyway. New figures have just been published that show the majority will lose up to £2,000 a year.

This is according to today's ITV lunchtime news (3.2.16) No doubt it will be repeated in later broadcasts.

What are working tax credits?

Now we know why George Osborne backed down so readily on Working tax credits.

 

He knew that as Universal credits take off, many working people are going to be substantially worse off anyway. New figures have just been published that show the majority will lose up to £2,000 a year.

 

This is according to today's ITV lunchtime news (3.2.16) No doubt it will be repeated in later broadcasts.

How much better off are these families though with the hikes in the personal allowance?

It was said by Iain Duncan Smith at the time that most would be better off under the Universal Credit system. Perhaps that's another lie he hopes the electorate will forget?

Now we know why George Osborne backed down so readily on Working tax credits.

 

He knew that as Universal credits take off, many working people are going to be substantially worse off anyway. New figures have just been published that show the majority will lose up to £2,000 a year.

 

This is according to today's ITV lunchtime news (3.2.16) No doubt it will be repeated in later broadcasts.

All im reading is

"....a study suggests..."

"IFS believes in the long term...."

"....a think tank has stated...."

Yawn. I will take an interest when there are some published facts.

Yes some benefits have been cut. Yes they are clearly pushing people towards work rather than dole. Yes im sure SOME people will have been hit.

On the other hand, Tax free allowance has increased, minimum wage is due to increase further and there are plans for childcare increases too. Win some lose some.

I have no doubt that UC monthly payments are a shock to the system for someone who has been spoon fed dribbles of money each week from various sources but it just means they are going to have to wake up and learn how to manage their money over a month, you know, just like the rest of the working population manages to do.

....Before anyone jumps down my throat about those who cant manage their financial affairs - well there is plenty of sources of help and assistance also funded by tax monies to sort out those problems.

All im reading is

"....a study suggests..."

"IFS believes in the long term...."

"....a think tank has stated...."

 

Yawn. I will take an interest when there are some published facts.

 

Yes some benefits have been cut. Yes they are clearly pushing people towards work rather than dole. Yes im sure SOME people will have been hit.

 

On the other hand, Tax free allowance has increased, minimum wage is due to increase further and there are plans for childcare increases too. Win some lose some.

 

I have no doubt that UC monthly payments are a shock to the system for someone who has been spoon fed dribbles of money each week from various sources but it just means they are going to have to wake up and learn how to manage their money over a month, you know, just like the rest of the working population manages to do.

 

....Before anyone jumps down my throat about those who cant manage their financial affairs - well there is plenty of sources of help and assistance also funded by tax monies to sort out those problems.

There can be no facts until Universal Credit has been implemented, and then it will be too late.

As with working Tax credits, which were fully costed including personal tax allowances, people were up in arms, of course Cameron / Osborne have seen to it that the roll out of chages affect people over 5 years, so they'll probably be out of office when the fat hits the fan.

Tax allowances are going up. Minimum wage is going up. As I understand it this will more than offset cuts in benefits, and we shouldn't have people working full time needing benefits.

Tax allowances are going up. Minimum wage is going up. As I understand it this will more than offset cuts in benefits, and we shouldn't have people working full time needing benefits.

I agree. But minimum wage isn't going to be enough.

It was said by Iain Duncan Smith at the time that most would be better off under the Universal Credit system. Perhaps that's another lie he hopes the electorate will forget?

I just had a play around with this ( https://universal-benefit-calculator.co.uk/universalcredit ) and it does show that people in work will be better off.

The problem I can see with it is that it doesn't take off in work expenses like travelling too and from work, so when the calculator shows someone will be £10, £20 a week better off in work, the reality is that after travel costs some will very likely be worse off in work. Not an very good incentive to work.