Question to the Department for Work and Pensions:

To ask Her Majesty's Government what assessment they have made of the financial effect resulting from the Universal Credit (Housing Costs Element for claimants aged 18 to 21) (Amendment) Regulations 2017 on youth employment figures.

Such an assessment has not been made. If the policy has the anticipated effect of encouraging young people to remain in the parental home we would expect a positive impact on employment levels. The fact that such claimants receive a lower level of benefit results in them moving free of the Universal Credit earning taper at a lower level of wages. From that point they keep 100 per cent rather than 37 per cent of every additional £1 they earn, which provides a strong work incentive.