universal credit

Two-child limit and benefit cap at odds with commitment to end child poverty

11th July 2025 Arrears and Recoveries | #universal credit

Latest Government statistics have shown that in April 2025, 469,780 Universal Credit households were affected by the two-child limit policy: that is, they had a third or subsequent child born on or after 6TH April 2017. This was an increase of 13,520 (3%) from the total number of households affected on either Universal Credit or…

DWP blocks £1bn Universal Credit incorrect payments

23rd May 2025 Consumer Collections | #universal credit

More than £1 billion in incorrect Universal Credit (UC) payments have been blocked by the Department for Work and Pensions (DWP) in a drive to stop people falling into financial difficulties. The milestone was reached after a programme to review payments was ramped up last summer, with more than one million cases now looked at.…

Government efforts to encourage families to save are being undermined by Universal Credit rules

25th April 2025 Consumer Lending | #universal credit

Long-neglected rules governing capital means-testing in Universal Credit (UC) are undermining other Government policies aimed at encouraging lower-income households to accrue savings, according to new research from the Resolution Foundation. The report notes that the current capital thresholds, which have been frozen in cash terms since 2006, mean that a claimant’s UC entitlement is tapered…

Universal credit has positive and negative impact on households

12th June 2024 Consumer Collections | #universal credit

New research by the Institute for Fiscal Studies (IFS) has found that few policies introduced during the 14-year period of the Conservative government are likely to have as significant a long-term impact as the introduction of universal credit (UC) – an integrated means-tested benefit that is replacing six ‘legacy’ benefits, combining out-of-work support with support for…

Call for Universal Credit change

15th April 2024 Consumer Collections | #universal credit

Universal Credit (UC) is on track to be fully rolled-out to seven million families by the end of the next parliament, with working renters the main winners and those with disabilities the main losers from the reform as it faces up to new challenges like rising long-term sickness, according to new Resolution Foundation research. With…

Over half of people receiving Universal Credit unable to afford food

22nd February 2024 Consumer Collections | #universal credit

The Trussell Trust has published new research which it says that highlights the inadequacy of Universal Credit across the UK. The anti-poverty charity is urging the Chancellor to take urgent action to increase long-term support for people struggling to get by on Universal Credit and commit to extending the Household Support Fund as soon as…

Government urged to look at Universal Credit reform

30th September 2022 Arrears and Recoveries | #universal credit

Urgent reform of Universal Credit (UC) is needed to provide support to vulnerable households, according to responsible lender Creditspring, with nearly a third (29%) of low earners now reliant on savings to pay bills – compared to 21% average for the rest of the UK. The research also indicates that almost a quarter (22%) of…

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