Rishi Sunak has blamed IT problems in government computer systems as the reason for not raising benefits to meet the cost of living crisis.
The Tory chancellor’s pathetic ‘computer says no’ excuse for not matching benefit increases with the rise in inflation came as he was asked about the real-term benefit cuts to millions of claimants.
In an interview with Bloomberg news Sunak said the government’s computer system wouldn’t let him increase benefits further this year in response to the cost of living crisis.
The billionaire Tory chancellor admitted “technical problems sounds like an excuse” as he rejected pleas to help families who are plunging into poverty.
He said: “Actually many of the systems are built so it can only be done once a year and the decision was taken quite a while ago.”
“We’re constrained somewhat by the operation of the welfare system, so it can’t be done for everybody in that way.”
Benefits rose by 3.1 per cent in April, based on six-month-old inflation figures. Yet inflation has already hit 7 per cent and could top 10 per cent by the end of the year.
Labour deputy leader Angela Rayner tweeted: “Computer said no? He’s insulting your intelligence.”
Paul Johnson, the director of the independent Institute of Fiscal Studies, ridiculed the chancellor’s claims.
He said: “We know he can increase Universal Credit very quickly as and when he wants to and the large majority of working-age people on benefits are now on Universal Credit.”
It is thought Sunak might have been referring to old-style legacy benefits which 2.6 million claimants still receive and were not raised when Universal Credit got a £20-a-week covid uplift because of IT problems.
Johnson said: “Whatever the problems with legacy benefits, it’s not an obvious excuse for not doing anything with Universal Credit.”
He added: “Where he can he should, given high levels of inflation, increase benefits by a measure which is closer to the inflation people are actually facing.
“And in terms of supporting people struggling with the cost of living, the most effective thing he could do right now and at the smallest cost actually would be to increase Universal Credit in line with inflation.”
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