London Daily

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

Universal credit cut will come as shock for claimants, says Labour

Universal credit cut will come as shock for claimants, says Labour

Government accused of failing to communicate £20 reduction as many families unaware of imminent cut
Labour has accused the government of failing to prepare struggling low-income families for October’s £20-a-week cut in universal credit payments after it emerged that up to 2 million claimants were unaware of the imminent reduction.

Separate surveys carried out by poverty charities indicate that between 18% and 36% of claimants did not know their income will fall by £90 a week or £1,050 a year after September – the biggest cut to social security payments since the second world war.

Campaigners are alarmed there is such low awareness of the cut, which is six weeks away. It will come as a significant financial shock for many, and one that will hit households as furlough ends and big increases in energy prices come into effect.

Citizens Advice has also highlighted low awareness of the cut, with frontline advisers reporting “major concerns” and high levels of anxiety among clients over how they will cope without the extra £20 a week.

More than 3 million children live in low-income households likely to be affected by the cut, according to Save the Children, with half of claimants saying they will struggle financially from October. The Joseph Rowntree Foundation said the cut would push 500,000 people below the poverty line.

The shadow work and pensions secretary, Jonathan Reynolds, said: “It is shameful that ahead of the biggest overnight cut to social security in decades, affecting millions of people, the government still has not effectively communicated with those in receipt of universal credit.

“Inflicting this devastating cut is bad enough but to fail to prepare families for it is adding insult to injury. Perhaps the government are simply too ashamed to own up to their actions. It’s not too late for the prime minister to see sense, cancel his cut and back struggling families.”

Backbench Tory MPs are also concerned about the cut amid nervousness about a growing cost-of-living crisis in southern Tory heartlands and “red wall” areas of the north and Midlands of England.

About 6 million people claim universal credit in the UK, the majority of whom began claiming after losing jobs or hours during the pandemic. Many will not have claimed the benefit before April 2020, when the temporary £20 a week uplift was introduced.

A survey by the charity Turn2us of 4,000 people between 6 and 13 August, 36% said they were unaware of the £20 cut. Lack of awareness was highest among 18- to 24-year-olds (52%), and in Greater London (43%).

Jo Kerr, the director of impact and innovation at Turn2us, said: “We are just weeks away from the biggest cut to our social security system since the second world war, and many people who are going to be affected do not even know it’s coming.”

The Trussell Trust found that 18% of the 2,000 universal credit it polled between 5 and 19 August were unaware of the cut. Garry Lemon, Trussell’s director of policy, said it was alarming that the cut was fast approaching and many people were not prepared.

Gayle Purves, an adviser at Citizens Advice Newcastle, said: “I advised a woman recently about how she could make ends meet. She has a disabled son who’s turning 18 and that means she’ll already see a decrease to her benefits. She had no idea about the cut. It was another blow on top of what’s already been an unimaginably difficult year.”

Ministers, who confirmed the cut in early July, have not sent out a formal letter to each of the UK’s 6 million universal credit recipients warning of the reduction but are relying instead on a series of messages to claimants’ online journals, backed up with text alerts.

A Department for Work and Pensions spokesperson said: “We made changes to all statements in July and are currently following up with text messages to alert claimants to check their accounts. Further notifications will also be sent in September and October.”
Newsletter

Related Articles

0:00
0:00
Close
UK Inquiry Finds Putin ‘Morally Responsible’ for 2018 Novichok Death — London Imposes Broad Sanctions on GRU
India backs down on plan to mandate government “Sanchar Saathi” app on all smartphones
King Charles Welcomes German President Steinmeier to UK in First State Visit by Berlin in 27 Years
UK Plans Major Cutback to Jury Trials as Crown Court Backlog Nears 80,000
UK Government to Significantly Limit Jury Trials in England and Wales
U.S. and U.K. Seal Drug-Pricing Deal: Britain Agrees to Pay More, U.S. Lifts Tariffs
UK Postpones Decision Yet Again on China’s Proposed Mega-Embassy in London
Head of UK Budget Watchdog Resigns After Premature Leak of Reeves’ Budget Report
Car-sharing giant Zipcar to exit UK market by end of 2025
Reports of Widespread Drone Deployment Raise Privacy and Security Questions in the UK
UK Signals Security Concerns Over China While Pursuing Stronger Trade Links
Google warns of AI “irrationality” just as Gemini 3 launch rattles markets
Top Consultancies Freeze Starting Salaries as AI Threatens ‘Pyramid’ Model
Macron Says Washington Pressuring EU to Delay Enforcement of Digital-Regulation Probes Against Meta, TikTok and X
UK’s DragonFire Laser Downs High-Speed Drones as £316m Deal Speeds Naval Deployment
UK Chancellor Rejects Claims She Misled Public on Fiscal Outlook Ahead of Budget
Starmer Defends Autumn Budget as Finance Chief Faces Accusations of Misleading Public Finances
EU Firms Struggle with 3,000-Hour Paperwork Load — While Automakers Fear De Facto 2030 Petrol Car Ban
White House launches ‘Hall of Shame’ site to publicly condemn media outlets for alleged bias
UK Budget’s New EV Mileage Tax Undercuts Case for Plug-In Hybrids
UK Government Launches National Inquiry into ‘Grooming Gangs’ After US Warning and Rising Public Outcry
Taylor Swift Extends U.K. Chart Reign as ‘The Fate of Ophelia’ Hits Six Weeks at No. 1
250 Still Missing in the Massive Fire, 94 Killed. One Day After the Disaster: Survivor Rescued on the 16th Floor
Trump: National Guard Soldier Who Was Shot in Washington Has Died; Second Soldier Fighting for His Life
UK Chancellor Reeves Defends Tax Rises as Essential to Reduce Child Poverty and Stabilise Public Finances
No Evidence Found for Claim That UK Schools Are Shifting to Teaching American English
European Powers Urge Israel to Halt West Bank Settler Violence Amid Surge in Attacks
"I Would Have Given Her a Kidney": She Lent Bezos’s Ex-Wife $1,000 — and Received Millions in Return
European States Approve First-ever Military-Grade Surveillance Network via ESA
UK to Slash Key Pension Tax Perk, Targeting High Earners Under New Budget
UK Government Announces £150 Annual Cut to Household Energy Bills Through Levy Reforms
UK Court Hears Challenge to Ban on Palestine Action as Critics Decry Heavy-Handed Measures
Investors Rush Into UK Gilts and Sterling After Budget Eases Fiscal Concerns
UK to Raise Online Betting Taxes by £1.1 Billion Under New Budget — Firms Warn of Fallout
Lamine Yamal? The ‘Heir to Messi’ Lost to Barcelona — and the Kingdom Is in a Frenzy
Warner Music Group Drops Suit Against Suno, Launches Licensed AI-Music Deal
HP to Cut up to 6,000 Jobs Globally as It Ramps Up AI Integration
MediaWorld Sold iPad Air for €15 — Then Asked Customers to Return Them or Pay More
UK Prime Minister Sir Keir Starmer Promises ‘Full-Time’ Education for All Children as School Attendance Slips
UK Extends Sugar Tax to Sweetened Milkshakes and Lattes in 2028 Health Push
UK Government Backs £49 Billion Plan for Heathrow Third Runway and Expansion
UK Gambling Firms Report £1bn Surge in Annual Profits as Pressure Mounts for Higher Betting Taxes
UK Shares Advance Ahead of Budget as Financials and Consumer Staples Lead Gains
Domino’s UK CEO Andrew Rennie Steps Down Amid Strategic Reset
UK Economy Stalls as Reeves Faces First Budget Test
UK Economy’s Weak Start Adds Pressure on Prime Minister Starmer
UK Government Acknowledges Billionaire Exodus Amid Tax Rise Concerns
UK Budget 2025: Markets Brace as Chancellor Faces Fiscal Tightrope
UK Unveils Strategic Plan to Secure Critical Mineral Supply Chains
UK Taskforce Calls for Radical Reset of Nuclear Regulation to Cut Costs and Accelerate Build
×