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Universal Credit: Deductions

Question for Department for Work and Pensions

UIN HL7286, tabled on 23 March 2022

To ask Her Majesty's Government what steps they are taking to ensure that deductions to Universal Credit payments are capped at no more than 25 per cent.

Answered on

6 April 2022

In April 2021 we reduced the standard cap rate of deductions in Universal Credit from 30% to 25% of a claimant’s Standard Allowance enabling them to take home more of the award. These changes were brought forward from October 2021(March 2020 Budget) to April 2021 and supported Universal Credit claimants to manage financial difficulties.