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26 August, 2021 Open access

Removal of universal credit and tax credit ‘uplift’ will affect one in three families with children in more than 400 constituencies across Great Britain

New Joseph Rowntree Foundation analysis also finds that, on average, 21 per cent of all working-age families will experience £1,040-a-year cut to their income

The removal of the Covid-19-related universal credit and tax credit 'uplift' from October 2021 will affect one in three families with children in more than 400 parliamentary constituencies across Great Britain, according to new research from the Joseph Rowntree Foundation (JRF).

Setting out the findings of an analysis of the impact of removing the 'uplift' by constituency, the JRF says that 413 constituencies will see more than a third of working-age families with children hit by the £1,040-a-year cut to universal credit and working tax credit, and that 191 of those constituencies are Conservative, including 53 seats won at the last general election or in a subsequent by-election.

The JRF also finds that -

JRF Deputy Director of Policy and Partnerships Katie Schmuecker said today -

'We are just over a month away from the UK Government imposing the biggest overnight cut to the basic rate of social security since the Second World War. This latest analysis lays bare the deep and far-reaching impact that cutting universal credit will have on millions of low-income families across Britain.

MPs from across the political spectrum are already expressing their deep concerns about this planned cut. Now is the time for all MPs to step up and oppose this cut to their constituents’ living standards.

Plunging low-income families into deeper poverty and debt as well as sucking billions of pounds out of local economies is no way to level up. It’s not too late for the Prime Minister and Chancellor to listen to the huge opposition to this damaging cut and change course.'

NB - in addition, Citizens Advice has today published the results of a survey of more than 2,000 universal credit claimants which shows that 38 per cent (equivalent to 2.3 million people) would be in debt after paying their essential bills if their income was reduced by £20 a week as a result of the removal of the 'uplift'. 

For more information, see Over 400 constituencies are set to see over 1 in 3 working-age families with children hit by the cut to Universal Credit from jrf.org.uk