Employment and Support Allowance

(asked on 22nd June 2020) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, for what reason employment and support allowance was not increased in line with the uplift in universal credit in March 2020.


Answered by
Justin Tomlinson Portrait
Justin Tomlinson
Minister of State (Department for Energy Security and Net Zero)
This question was answered on 30th June 2020

The Government has announced a suite of measures that can be quickly and effectively operationalised to benefit those facing the most financial disruption during the pandemic. The Department was experiencing significantly increased demand and had to prioritise the safety and stability of the benefits system overall. The IT system which supports Universal Credit has more capacity to make the necessary changes than the systems that support legacy benefits. It also uses different technology from other DWP systems and these older systems have complex interactions and interdependencies. We estimate that 2.5m households receiving Universal Credit will have benefited straight away from the increase in the standard allowances which was announced on 20 March, and which is additional to the planned annual uprating. New claimants who have either become unemployed, or whose earnings or work hours have decreased because of the outbreak, will benefit too; subject to their eligibility.

We have also made a number of changes to legacy and other working age benefits in response to the COVID-19 outbreak, including increasing certain entitlements, such as Local Housing Allowance. Up-to-date information about the employment and benefits support available, including Employment and Support Allowance, can be found here: https://www.understandinguniversalcredit.gov.uk/employment-and-benefits-support/

Taken together, DWP’s pandemic measures represent an injection of over £6.5 billion into the welfare system and, along with the other job and business support programmes announced by the Chancellor, represent one of the most comprehensive packages of support introduced by an advanced economy in response to COVID19.

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