Article 5Z3FX Universal credit deductions ‘driving claimants into poverty’

Universal credit deductions ‘driving claimants into poverty’

by
Hilary Osborne
from World news | The Guardian on (#5Z3FX)

Lloyds Bank Foundation report warns that payment cuts of up to 25% to recoup advances or settle debts leave people relying on food banks

A mechanism allowing universal credit payments to be cut by up to 25% is driving people into poverty and debt, a report by the Lloyds Bank Foundation has found.

Cuts to benefits are often to recoup advances given during the set-up period and to settle outstanding debts - but they are not means-tested. Here, one person tells how it has affected them:

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