Chancellor creating a
Northern Poorhouse with Universal Credit cuts for over 30,000 people
NEARLY 31,000 working people in the
North West stand to lose out as government cuts to Universal Credit work
allowances kick in from Monday warns UNISON.
Cuts to Universal Credit were announced in last July's Budget alongside changes
to Tax Credits. While the chancellor backed down over Tax Credits, the planned
reduction in Universal Credit remains in place.
UNISON calculations, based on the new Universal Credit work allowance rates,
show that low-paid workers in the North West who are single parents, could lose
up to £2,600 per year, while a 2 parent family with children could be worse off
to the tune of £1,000 per year. Couples without children could be down over £800
annually.
UNISON's North West regional secretary Kevan Nelson said:- "The chancellor
may have beaten a retreat on Tax Credits but still wants to cut in work benefits
for the low and middle income workers who have already been moved onto the new
Universal Credit benefit. Universal Credit is meant to help meet the essential needs of families on low
incomes who pay every penny of their taxes. It helps them pay the rent and put
food on the table, it's not spare cash they are able to salt away in shady Tax havens as others are able to do.
Today there will be 31,000 people on Universal Credit losing out in the North
West, that's 2 in every 5 of those people to suffer cuts across the
country.
As Universal Credit is rolled out more people will suffer cuts to their already
low incomes. The chancellor is in danger of creating a northern poorhouse,
rather than a northern powerhouse." |