Warning almost 21,000 families in Cornwall will be 'hit by universal credit cuts'
The TUC is demanding the government stops the plans
A warning is going out that 20,800 working households across Cornwall could be hit by cuts to universal credit.
The Trades Union Congress (TUC) says the majority of those hit by the changes this autumn will be working families.
185,000 workers in the South West region are currently receiving universal credit – the equivalent of 2 in 5 (42%) of all universal credit recipients. The TUC says that they will all be affected by the £20pw cut.
Working tax credits are also being slashed in October, having been raised by £20pw in early 2020.
This means that the majority of those affected by the £20pw cut to benefits this autumn will be families who are working, according to the Joseph Rowntree Foundation.
Low-paid key workers will be among those worst affected and the TUC believes this will put further pressure on employers to provide decent pay rises.
Recent TUC research published this summer showed that one million children in key worker households are currently growing up poverty – with many currently relying on in-work benefits like universal credit to boost poverty wages.
Now the TUC is calling on the government to stop the planned £20pw cut to universal credit, to increase the minimum wage to £10 an hour and urgently bring forward an employment bill to tackle insecure work.
South West TUC Regional Secretary Nigel Costley said:
“Everyone should have enough money to live on, yet many are struggling to make ends meet here in Cornwall.
“If the universal credit cut goes ahead working families – and key workers – up and down the region will be forced to get by on much less every week. This is levelling down – not levelling up as we were promised.
“Insecure, temporary, low paid work is rife across Cornwall. Universal Credit is a vital lifeline for workers to boost poverty wages help them make up the shortfall.
“Ministers must abandon this cruel cut that will hit low-income working families. We need a social security system that helps people get back on their feet – not one that locks them in poverty.
“And importantly, we need more decent jobs with decent pay for every worker in Cornwall.
“We’re hearing businesses are struggling to recruit, so this is a good a time as any for wages to rise.
“But we need a long-term solution from the government.
“That means increasing the minimum wage, significantly increasing investment that creates good local, green jobs, and tackling the scourge of insecure work.
“Simply cutting universal credit is not the way to create decent work.”