Caerphilly’s Member of Parliament Wayne David has called for the UK Government to put a stop on the rollout of Universal Credit.
Universal Credit is being introduced across the country in staged phases and will replace Child Tax Credit, Housing Benefit, Income Support, Jobseeker’s Allowance, Employment and Support Allowance, and Working Tax Credit.
The new benefit is scheduled to be introduced in the Caerphilly area in May next year.
The new system has been beset with problems with reports of people going without payments.
Labour MP Mr David said: “I am dismayed at the UK Government’s refusal to recognise recent research, which shows that while wages are failing to keep up with inflation, cuts to in-work social security support have meant that most net incomes of recipients have flat-lined in real terms and worsened in a number of cases.”
Analysis from the House of Commons Library shows that nurses and teachers will be hit particularly hard by the combination of stagnating wages and cuts to social security.
Mr David added: “Many employees, including our key public sector workers who are already penalised by the stubborn refusal of the Government to lift the public sector pay cap, will be dramatically worse off, in real terms, if Universal Credit continues to be rolled out in its current form.
“That’s why I am echoing the call from the Labour Party for the roll out to be stopped whist urgent reform and redesign of Universal Credit is undertaken.”
• Prime Minister Theresa May has announced that charges to the UK Government’s Universal Credit helpline, which can be up to 55p a minute, will be scrapped within weeks.
However, during Prime Minister’s Questions on Wednesday, October 18, she rejected calls to pause the rollout.