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Linda Howard & Hannah Graham

DWP: Universal Credit 'worth less than in 2013' if £20 coronavirus uplift is cut, charity warns

The end to a coronavirus benefits boost could leave Universal Credits claimants worse off than they were in 2013, a charity claims.

The £20 a week uplift was introduced in March, as ministers said many people needed extra support during the pandemic.

But with lockdown still ongoing, the extra payment is set to end in April, and there's no sign yet of what might replace it.

Analysis by Citizen's Advice Scotland now shows that the 2021 payment would be worth less in real terms than it was when it was first introduced in 2013, The Daily Record reports.

The Scottish charity says this is because the benefit has not kept pace with inflation, and will leave it 11.5% lower than its original value in 2021.

And it has urged the government to maintain the increase.

Citizens Advice Scotland spokesperson, Nina Ballantyne, said: “More people than ever are claiming Universal Credit...

“The pandemic has caused redundancy and reduced hours, and this looks set to continue for much of the year. Now is the time to strengthen the safety net for these families, not cut it.”

Meanwhile, MPs on the Work and Pensions Committee warned the government could be accused of "failure" to recognise the impact of the pandemic.

The committee said ministers “must maintain the uplift for another year at the very least”, if they weren't going to make it a permanent rise.

Ms Ballantyne added: “Universal Credit has always failed to keep up with the cost of living, and it makes no sense to make cuts during a pandemic. Without proper support, we’ll see increases in poverty and foodbank use, and a strain on other public services like the NHS.

“The £20 uplift has been an essential boost for struggling families. The reasons it was introduced still exist, so there is no logical case for removing it. Taking it away now would be a real blow to our most vulnerable people, just when they need the most help.”

Universal Credit is set to see a slight rise to its base rate in April, but the slashing of the £20 uplift will make it a cut for many people.

Boris Johnson previously said the government had provided £280bn worth of support during the pandemic but all measures would be kept under "constant review".

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