Universal Credit: Cost of Living

(asked on 15th September 2023) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, if he will take steps to ensure that Universal Credit is sufficient to cover average (a) food, (b) housing and (c) energy costs.


Answered by
Guy Opperman Portrait
Guy Opperman
Parliamentary Under-Secretary (Department for Transport)
This question was answered on 25th September 2023

Benefit rates and the Local Housing Allowance are reviewed annually by the Secretary of State.

In April 2023, State pensions and benefits, including Universal Credit, were up rated by 10.1%, in line with the increase in the Consumer Prices Index in the year to September 2022.

Claimants in receipt of housing support living in the social rented sector have their eligible rent paid in full, unless the level of housing support is reduced because of their income or savings, contributions from non-dependants, or limited by the benefit cap or the removal of the spare room subsidy.

For private renters, the Local Housing Allowance determines the maximum housing support for tenants. Local Housing Allowance rates are not intended to cover all rents in all areas. However, in 2020 the Government spent almost £1 billion increasing Local Housing Allowance rates to the 30th percentile of market rents. This significant investment has been maintained, ensuring that everyone who benefited continues to do so.

The Government understands the pressures people are facing with the cost of living and has announced support to households to help with higher bills worth £94 billion across 2022-23 and 2023-24, one of the largest household support packages in Europe.

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