Thank you for contacting me about children in low income families.
I welcome the decision announced at the 2021 Autumn Budget to reduce the UC taper rate from 63 per cent to 55 per cent, as well as increasing work allowances in UC by £500 a year. These changes to UC represent an effective tax cut for low income working households in receipt of UC worth £2.2 billion in 2022-23.
I lobbied for further extensions of the £20 uplift to Universal Credit which I know was of huge help to some of the most vulnerable families in Teignbridge. I was disappointed to see it ended when it was. However, I welcome the Government's announcement of new support to help those in receipt of certain benefits. Recipients of means-tested benefits such as Universal Credit and Child Tax Credit will be eligible to receive a £650 cost of living payment. Those in receipt of disability benefits will receive £150 cost of living payments. I believe these will be paid from September. Additionally, households will get £400 of support with their energy bills through an expansion of the Energy Bills Support Scheme, as well as £1.5 billion of support being made available through the Household Support Fund. In addition to the council tax rebate announced in the Spring Statement, the support is worth up to £1,500.
In addition to the increase to Universal Credit and Tax Credit, other measures were introduced to support children from low income families during the pandemic. For example, I welcomed the action to help schools keep providing free school meals for eligible families. In addition to the vital support received at schools, the Covid Local Support Grant has delivered £429.1 million of funding to councils in England to provide vital support to the most vulnerable children and families.
Thank you again for taking the time to contact me.
