Food banks call for government to drop Universal Credit cut

The Shropshire Food Poverty Alliance, and a group of county food banks, have all called for the government to abandon plans to scrap the £20-a-week uplift to Universal Credit.

The uplift, which is worth more than £85 a month to people receiving the benefit, will end on October 6.

There are around 20,000 people in the county who receive Universal Credit according to recent figures – and increase of nearly 10,000 since the beginning of 2020.

Around 43 per cent of the people claiming the benefit in the county are actually in work, using it to top up low wages.

The uplift means the standard payment to a single adult increased from £324.85 to £411.51 a month.

The government has been facing pressure from a number of quarters to reconsider the plan, including from Manchester United and England striker Marcus Rashford, who has called for a focus on ending child hunger.

Food banks across Shropshire have expressed deep concern at the impact the cut will have, saying they fear a combination of the reversal of the uplift, the end of the furlough scheme, and a sharp rise in fuel prices will mean many households will struggle to cope.

Sophie Padgett, Shropshire Food Poverty Alliance Coordinator, said: “Government data reveals that 43 per cent of households on Universal Credit in the year before Covid were food insecure without the £20 increase.

"The best way, most dignified way we can tackle the growing problem of food insecurity is to make sure people have enough money to be able to afford a reasonable standard of living. Charitable food aid will only ever act as a sticking plaster, it will never let us address the root causes of poverty.”

Debbie Brown from Cleobury Mortimer Food Bank said: “Universal Credit is a lifeline for the most disadvantaged people in our communities.

"Food Banks are seeing people in extreme financial hardship already, and it is unforgivable and cruel that the government is seeking to take money away from vulnerable people at a time when winter fuel bills are approaching, and the cost of food is rising.”

Chrissie Pepler of Strettons Food Bank said: “Many families and individuals across Shropshire have ‘dug deep’ to support themselves and their communities through this pandemic.

"It has had a profound impact, particularly on those who have hit hard times. For those who found themselves suddenly without employment and moving onto Universal Credit it was very hard to cut their outgoings quickly enough to be able to manage on a much lower income, particularly if they had little in the way of savings and had to manage the five week wait until their benefit application was paid for the first time.

"Removing the uplift to Universal Credit is likely to plunge many more people into debt, with the risks of potential evictions as people have to prioritise feeding their children and heating their homes. We are seeing many people needing to use food banks to survive because they cannot afford to live on low wages and benefits.”

Julia Gell, Craven Arms Food Bank, said: “The cut to Universal Credit will definitely cause hardship to many who have been able to manage their finances without the use of a food bank. I do think this move to cut the allowance will increase pressure on the food banks and will affect families the most.”