Usdaw calls for an end to the Bedroom Tax and the ‘cliff edge’ withdrawal of benefits, along with Universal Credit reform

Addressing conference delegates in Blackpool’s Winter Gardens, Paddy Lillis – Usdaw general secretary said: “Too many people have been at the sharp end of Tory attacks to dismantle the social security net that so many working people rely on. We know that the mess Labour have inherited will not be fixed overnight, but we are clear that fairness and equality for Usdaw members and their families must be the driving force behind reform of the system. In the wake of changes announced in the Spring Budget, the Union will continue to use our voice to make the case to Government for a social security system that works for working people, not against them. Rest assured Usdaw will continue to be a strong voice on this topic, making the case on behalf of our members.”

“When the architect of austerity, Iain Duncan Smith, introduced the bedroom tax in 2012, he said it was about encouraging social housing tenants to downsize, but the reality is, it’s a tax on low-income households. Quite simply, the Tories forgot to mention that there’s no spare housing to move into and as a result, low-income households are forced to choose between higher taxes or moving away from their local area to somewhere where they don't know anyone or have any support networks. Let's be clear, this isn't some niche issue. Almost half a million households in the UK lose up to a quarter of their Housing Benefit due to the bedroom tax. Members are stuck in a system they cannot get out of, facing financial penalties they can't afford. It’s never been more urgent to review this failed policy.” 

Turning to the issue of the ‘cliff edge’ removal of the whole of a benefit payment when an earnings threshold has been exceeded, Paddy Lillis continued: “Benefits such as Carer’s Allowance and Pension Credit, where a small increase in income can leave people massively out of pocket. In the last Budget, the Labour Government significantly increased the threshold for Carer's Allowance, putting thousands of pounds in the pockets of many low-paid carers, but there is still much more that needs to be done. We know that many pensioners and carers are forced to refuse additional earnings, whether refusing overtime, turning down bonus payments, or not going for that promotion. The current system is holding people back. That's why we will continue to call for change.

“The issues with Universal Credit are well known, not least the fact that claimants typically face a five-week delay before receiving what they are entitled to. We know this leaves members struggling to make ends meet and these issues are compounded for those with long-term illness, who are trying to meet additional costs relating to their condition and care such as medication, adaptations and transport to and from appointments. This five-week wait can increase stress and anxiety at an already-difficult time. Usdaw has been calling for changes to the way Universal Credit payments are made since its introduction, and we will continue to do so. The Union will be submitting a robust response to the Government's consultation on proposed reforms to Universal Credit and health benefits. Within it, we will set out the experiences of Usdaw members and call on the Government to do the right thing.”