Stop the Universal Credit disincentive to work

Valerie Vaz, Member of Parliament for Walsall South, joined Usdaw in the House of Commons to support their campaign to persuade the Government to change Universal Credit rules that mean working people will only be allowed to keep 24p in every extra pound they earn.

Valerie Vaz MP said:

“Usdaw are right to highlight this problem with the Government’s Universal Credit and I hope Ministers will listen and act before the scheme is fully rolled out. Many working people will be affected by this 76% marginal deduction rate of additional earnings for taxpayers on Universal Credit. That will put off claimants from working at all, perpetuating the poverty trap for families on low pay.”

“I met Usdaw members who will be thousands of pounds worse off under Universal Credit. Thousands of my hard-working constituents would also lose out under the Government’s current plans. I want to hear from people in Walsall South about how they will be affected. You can check out your Universal Credit entitlement by visiting www.entitledto.com.”

“Whilst I support the principal of Universal Credit which should make it easier for people who are unemployed to move into some work, I am calling on the Government to reduce the net earnings claw-back to 55%, as originally proposed by the Centre for Social Justice, to ensure that aims of Universal Credit are fulfilled so that extra work will always pay and to support hard working families.”