24 September 2020
In response to the coronavirus outbreak, the government increased the standard Universal Credit and Working Tax Credit payment by £20 per week, as part of the economic stimulus package in April.
The uplift has been widely welcomed, as falling incomes throughout the crisis have put many households under financial pressure, but it is currently due to end in April 2021, so we are calling on the government to make the £20 uplift permanent.
Modelling by the Joseph Rowntree Foundation (JRF) indicates that if the payment increase ends in April, then around 16 million households will face an overnight income loss equivalent to £1,040 a year, with those on the lowest incomes and families with children being hardest hit. They also estimate that 700,000 more people will be pulled into poverty, including 300,000 children.
If your organisation would like to join the call to keep the £20 uplift, then please contact Katie Johns from the JRF.