Next year’s promised payment rise in Universal Credit set to be hugely reduced

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Next year’s promised payment rise in Universal Credit set to be hugely reduced
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BENEFITS may only rise in line with earnings rather than inflation next year, as ministers look to cover the cost of the £650 energy bailout for Universal Credit claimants. Eight million low income…

BENEFITS may only rise in line with earnings rather than inflation next year, as ministers look to cover the cost of the £650 energy bailout for Universal Credit claimants.to help with spiralling costs - but that may now be "factored in" to next year's planned hike to the UC rate.

But now the price of the energy bailout may be taken off that uplift as ministers look to save billions across Whitehall. A government source said: "Claimants have been given a lot of support already this year so that should be factored in." It's understood that the UC uplift could now be annual rate of pay growth - around 6 per cent - instead of the 9.9 per cent rate of inflation.

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