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Chancellor reforms Universal Credit after scrapping the £20 a week uplift

In Wednesday’s Budget, one of the major announcements from the chancellor was that the Universal Credit taper will be reduced from 63% to 55% in a bid to help those full-time workers keep more of their earnings.

The change will come into effect no later than 1st December and will support many of the lowest paid families by providing them with £1,000 a year more on average. Rishi Sunak said it would affect some two million families.

Commenting on the new UC announcement, Sherrelle Collman, Managing Director, Caridon Foundation says: “We welcome the Chancellor’s announcement to cut the Universal Credit taper rate. As an organisation that works to help some of the lowest paid people in our country, any support is absolutely vital and an additional £1000+ a year will make a significant difference. 


However, this would have been a real boost if the £20 a week Universal Credit uplift, introduced during the pandemic, had not been cut. The latest tax cut does not support those who are unable to work, due to illness for example, and with the cost of living rising we are concerned for some of the most vulnerable people in society as we head into winter and anticipate a rise in demand for services like ours.”