Welsh Government calls on DWP to keep £20 Universal Credit uplift

The Welsh Government has called for the £20 Universal Credit uplift to be maintained.

In response to the coronavirus pandemic, the UK Government increased Universal Credit payments by £20 a week – but this was only a temporary measure and is set to come to an end this September.

But the Welsh Government’s Minister for Social Justice, Jane Hutt, has, alongside Scottish minister Shona Robson and Northern Irish minister Deidre Hargey, written to the UK Government calling for the uplift to remain in place.

The letter was addressed to the UK Government’s Secretary of State for Work and Pensions, Thérèse Coffey.

In the letter, the ministers say they have “grave concerns” over the end of the £20 uplift.

The letter reads: “This planned reduction means the biggest overnight reduction to a basic rate of social security since the modern welfare state began, more than 70 years ago.

“Failing to maintain the recent uplift to Universal Credit will increase hardship and poverty for people who are already struggling.”

It continues: “To support the social and economic recovery, particularly as we ease out of the public health emergency, we urge you to reverse this decision and to strengthen the support offered by Universal Credit, instead of weakening it.”

Concerns are also raised over the potential impact on poverty levels, child poverty and people’s “financial health and wellbeing”.

The letter also hits out at the Department for Work and Pensions over its claims the £20 reduction would encourage people into work.

Of the six million people across the UK on Universal Credit, 2.2m are in work, while 1.6m are not in work due to health and caring responsibilities.

Earlier this month, Merthyr Tydfil and Rhymney’s Labour MP Gerald Jones wrote to Prime Minister Boris Johnson calling for the £20 uplift to stay, saying his constituents would “suffer” if the cuts went ahead.

Mr Jones’ letter was also signed by Steve Evans-Jones, manager of Rhymney Valley Foodbank, as well as Caerphilly County Borough Council leader Philippa Marsden.

It was also signed by the managers of Merthyr Cynon Foodbank and Taff Bargoed Foodbank respectively, as well as representatives from Merthyr Valleys Homes, Merthyr Tydfil Citizens Advice and Merthyr Tydfil Housing Association.

Earlier this month, a UK Government spokesperson told Caerphilly Observer: “Universal Credit has provided a vital safety net for six million people during the pandemic. The temporary uplift is part of a £400 billion support package which continues beyond the ending of restrictions.

“Our focus now is on our multi-billion pound Plan for Jobs, which will support people in the long-term by helping them learn new skills and increase their hours or find new work.”