London Daily

Focus on the big picture.
Thursday, Sep 04, 2025

PM promises to examine raising universal credit in line with inflation

PM promises to examine raising universal credit in line with inflation

Boris Johnson was questioned at the liaison committee about the plight of those dependent on universal credit
Boris Johnson promised to examine a proposal to increase universal credit in line with inflation, as he was grilled by a high-powered committee of MPs over the cost of living crisis.

Questioning the prime minister as part of the liaison committee, Mel Stride MP highlighted the plight of those people dependent on universal credit, calling it a “hole”, in Rishi Sunak’s spring statement last week.

“Those people are going to really suffer,” said Stride, a Conservative former treasury minister who now chairs the Treasury select committee.

The liaison committee is made up of the chairs of the various House of Commons select committees, and the prime minister traditionally appears three times a year.

Stride suggested increasing universal credit in line with current inflation rates – instead of the 3.1% uprating due in April – would ultimately cost the treasury no more money, as it would mean a smaller increase next year.

“It would be fiscally neutral to reexamine and re-index those benefits say in a couple of months time,” he said.

Johnson told him, “I’m going to have to go and look at how you’d do it in a fiscally neutral way: but what we want to do is to look after people in the aftershocks of the pandemic as much as we have during the pandemic, and the aftershocks are proving to be really quite challenging”.

Sunak’s spring statement included a 5p cut in fuel duty and a significant increase in the national insurance threshold; but was widely criticised for failing to do enough to help those people struggling most with the cost of living.

Johnson himself said the next day the government needs “to do more”.

Labour MP Stephen Timms pressed Johnson on the plight of the unemployed. He responded by repeatedly stressing the importance of getting more people into jobs.

“We want to support people into work wherever possible. We think that the way out of poverty is to help people into work, and all the evidence is that that works,” he said.

The hearing also covered Ukraine, with Johnson defending the government’s refugee schemes.

He described the 25,000 visas granted so far in total as “not a bad number so far”, adding, “they’re being handled at a rate of a thousand a day. The numbers will mount now quickly”.

Asked if the scheme was too bureaucratic, he said, “what I wanted was a system that was as light touch as possible, and would enable people to come here but would enable us also to do checks”.

The prime minister said he believes western countries should continue to ratchet up sanctions against Russia, until troops are withdrawn.

“I certainly don’t think that you could expect the G7 to lift sanctions just because there’s a ceasefire: that goes straight into Putin’s playbook. In my view, we should continue to intensify sanctions with a rolling programme until every single one of his troops is out of Ukraine,” he said.

The prime minister also appeared to question the French president’s decision to maintain close contacts with Vladimir Putin.

Asked whether Emmanuel Macron’s was the right approach, Johnson said, “I think it’s very, very important that the unity of the west and the unity of Nato should be remembered and prioritised, and that’s what we’re doing.”

He added, “the question of negotiation with Vladimir Putin, of the value of those negs, is an open one: my own view is that Putin is plainly not to be trusted.”

The committee’s usual chair, Bernard Jenkin, was unable to attend Wednesday’s hearing as he is self-isolating with Covid.
Newsletter

Related Articles

0:00
0:00
Close
Putin Celebrates ‘Unprecedentedly High’ Ties with China as Gazprom Seals Power of Siberia-2 Deal
China Unveils New Weapons in Grand Military Parade as Xi Hosts Putin and Kim
Queen Camilla’s Teenage Courage: Fended Off Attempted Assault on London Train, New Biography Reveals
Scottish Brothers Set Record in Historic Pacific Row
Rapper Cardi B Cleared of Liability in Los Angeles Civil Assault Trial
Google Avoids Break-Up in U.S. Antitrust Case as Stocks Rise
Couple celebrates 80th wedding anniversary at assisted living facility in Lancaster
Information Warfare in the Age of AI: How Language Models Become Targets and Tools
The White House on LinkedIn Has Changed Their Profile Picture to Donald Trump
"Insulted the Prophet Muhammad": Woman Burned Alive by Angry Mob in Niger State, Nigeria
Trump Responds to Death Rumors – Announces 'Missile City'
Court of Appeal Allows Asylum Seekers to Remain at Essex Hotel Amid Local Tax Boycott Threats
Germany in Turmoil: Ukrainian Teenage Girl Pushed to Death by Illegal Iraqi Migrant
United Krack down on human rights: Graham Linehan Arrested at Heathrow Over Three X Posts, Hospitalised, Released on Bail with Posting Ban
Asian and Middle Eastern Investors Avoid US Markets
Ray Dalio Warns of US Shift to Autocracy
Eurozone Inflation Rises to 2.1% in August
Russia and China Sign New Gas Pipeline Deal
China's Robotics Industry Fuels Export Surge
Suntory Chairman Resigns After Police Probe
Gold Price Hits New All-Time Record
Von der Leyen's Plane Hit by Suspected Russian GPS Interference in an Incident Believed to Be Caused by Russia or by Pro-Peace or by Anti-Corruption European Activists
UK Fintechs Explore Buying US Banks
Greece Suspends 5% of Schools as Birth Rate Drops
Apollo to Launch $5 Billion Sports Investment Vehicle
Bolsonaro Trial Nears Close Amid US-Brazil Tension
European Banks Push for Lower Cross-Border Barriers
Poland's Offshore Wind Sector Attracts Investors
Nvidia Reveals: Two Mystery Customers Account for About 40% of Revenue
Woody Allen: "I Would Be Happy to Direct Trump Again in a Film"
Pickles are the latest craze among Generation Z in the United States.
Deadline Day Delivers Record £125m Isak Move and Donnarumma to City
Nestlé Removes CEO Laurent Freixe Following Undisclosed Relationship with Subordinate
Giuliani Seriously Injured in Accident – Trump to Award Him the Presidential Medal of Freedom
EU is getting aggressive: Four AfD Candidates Die Unexpectedly Ahead of North Rhine-Westphalia Local Elections
Lula and Putin Hold Strategic BRICS Discussions Ahead of Trump–Putin Summit
WhatsApp is rolling out a feature that looks a lot like Telegram.
Investigations Reveal Rise in ‘Sex-for-Rent’ Listings Across Canada Exploiting Vulnerable Tenants
Chinese and Indian Leaders Pursue Amity Amid Global Shifts
European Union Plans for Ukraine Deployment
ECB Warns Against Inflation Complacency
Concerns Over North Cyprus Casino Development
Shipping Companies Look Beyond Chinese Finance
Rural Exodus Fueling European Wildfires
China Hosts Major Security Meeting
Chinese Police Successfully Recover Family's Savings from Livestream Purchases
Germany Marks a Decade Since Migrant Wave with Divisions, Success Stories, and Political Shifts
Liverpool Defeat Arsenal 1–0 with Szoboszlai Free-Kick to Stay Top of Premier League
Prince Harry and King Charles to Meet in First Reunion After 20 Months
Chinese Stock Market Rally Fueled by Domestic Investors
×