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Universal Credit

Question for Department for Work and Pensions

UIN HL259, tabled on 11 June 2014

To ask Her Majesty's Government what analysis has been made of the ability of Universal Credit recipients to meet other essential needs after rent arrears have been deducted at the proposed level of 40 per cent.

Answered on

18 June 2014

Deductions from Universal Credit are made after considering the claimant's individual circumstances and ability to afford the deductions. The maximum that can be deducted for all deductions, including rent arrears, is an amount equivalent to 40 per cent of the claimant's Universal Credit Standard Allowance. The only exceptions to this rule are deductions for normal consumption of utilities and in cases where a sanction or penalty is being applied or a (Universal Credit) advance is being recovered. Where appropriate the rate of deduction can be reduced.