Universal Credit

(asked on 5th March 2018) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what estimate her Department has made of the saving to the public purse as a result of the removal of disability premiums under universal credit.


Answered by
Alok Sharma Portrait
Alok Sharma
COP26 President (Cabinet Office)
This question was answered on 13th March 2018

Universal Credit simplifies and rationalises the current system of overlapping disability premiums and tax credits, through increasing the level of support from £158 a month under the Employment and Support Allowance Support Component to £318 a month under Universal Credit.

By restructuring the rates in this way, the Government made clear that it was not looking to reduce overall spending. Savings from the simplification of Universal Credit support for the disabled do not go back to the Exchequer, but are reinvested to fund the increased higher basic rate of support available for all claimants with Limited Capability for Work and Work-Related Activity.

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