25 April 2020

Scottish Labour is today calling for action from the UK and Scottish governments over the potential for the Chancellor’s £1000 increase in Universal Credit and Local Housing Allowance to push thousands of households in Scotland into poverty.

The Scottish Parliamentary Information Centre (SPICe) has calculated that the increases in social security payments risk putting 4000 households in Scotland beyond the benefits cap that exists at £20,000 per annum for people with children and/or a couple, and or £13,400 for single people.

With the number of people applying for Universal Credit soaring due to coronavirus, the potential exists for the number of Scottish households pushed into the cap to increase in the months to come.

Scottish Labour Social Security Spokesperson Mark Griffin said:

“We fully support the efforts to support those in financial need in this time of crisis. However, it is clear that a large number of Scottish households will be penalised rather than supported due to this increase in payments.

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