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Liverpool Echo
Liverpool Echo
World
Kate Lally

Universal Credit warning as thousands could see benefits cut this winter

Thousands of people could see their Universal Credit payments reduced if they do not take "active steps" to find more work.

Chancellor Kwasi Kwarteng is set to announce a shake-up of the benefits system to "get Britain working again". Part of the scheme will see Universal Credit claimants working part-time targeted.

As it stands, those receiving the benefit and working up to 12 hours a week at the National Living Wage risk having their benefits reduced if they do not take steps to increase their earnings and meet regularly with a work coach.

READ MORE: Ten day warning to everyone with an electricity meter

But under expected reforms, this requirement will now be extended to people on universal credit working up to 15 hours a week at the National Living Wage, the BBC reports.

It is understood this change, expected to come in from January 2023 will affect about 120,000 more benefit claimants. Mr Kwarteng will set out Prime Minister Liz Truss's plans to tackle the cost-of-living crisis in a mini-budget on Friday.

Shadow Work and Pensions secretary Jonathan Ashworth has hit out at the scheme on social media. Mr Ashworth tweeted: "So Tory ministers think [the] reason we have over a million vacancies is because the low paid aren't working hard enough and need to be threatened with sanctions but bankers need bumper bonuses".

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