Many thousands of people over the Christmas period in the UK who are on the Universal Credit benefit system may not receive any money or may receive a reduced payment is has been reported.
Those affected will be the 67000 who claim the benefit whilst working and who are paid weekly.
The reason for the non or reduced payments is because this December there will be 5 weekly paydays and their income will probably go over the universal credit limit.The DWP (UK Department for Work and Pensions) has said that in January claimants will be able to re-apply.
This won’t be a one off problem, it will be a reoccurring nightmare for these claimants as this will happen time and time again when their are 5 paydays in a month. One user of Mumsnet website said “It sounds like nonsense doesn’t it? A script from a political farce. But no, it’s actually what’s happening,”
Universal Credit Balance Out & Loan Sharks
The DWP has said that it will not affect all people that are paid weekly as it depends on their payment date and that everything will balance itself out as claimants entitled to more would receive it in January, they have also said that universal credit adjusts automatically to peoples earnings so they have a guaranteed stable monthly income and make work pay.
YET, at a time that it is highly demanding on any families finances hard working people on low pay will be taking a cut in their finances through no fault of their own. What will these people do, no doubt some will be take out short term loans with sky high interest rates and worse turn to local loan sharks.
It’s just more bad news for people using a system that is not fit for purpose that has seen problems and delays that causes unneeded stress and anxiety for it’s claimants.
Flintshire families losing out on £640,000 a year through ‘shamobilic’ Universal Credit (Daily Post North Wales)
‘It’s just mistake after mistake’ – stories from the universal credit catastrophe (The Guardian)
I work for the DWP as a universal credit case manager – and what I’ve seen is shocking (The Independent)