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Edinburgh Live
Edinburgh Live
National
Kate Lally & Abbie Meehan

DWP Universal Credit claimants in Edinburgh to be hit with huge monthly pay cuts

Millions of people who claim Universal Credit will have approximately £62 cut from their payments monthly.

Households can now have their benefits siphoned off by the Government to repay debts owed, reports the Liverpool Echo.

Former Prime Minister Gordon Brown has pleaded with Tory ministers to stop the cash being taken, as families grapple with the cost of living crisis.

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Single people aged over 25 can get a standard allowance of Universal Credit totalling £334.91 a month. They can also get top ups for housing, children and disability. However, up to a quarter of this can be subtracted by the Department for Work and Pensions (DWP) to cover debt repayments.

Almost half of deductions are to pay back advances, issued to cover the five-week wait for peoples first payment. One fifth of deductions are to pay back Tax Credits which the Government overpaid people in the past, and refuse to write off.

The latest figures show that 2.1 million households across the country had deductions from their welfare payments in August, totalling £132.6 million. The average amount taken was £62.

A DWP spokesman said: "Deductions help protect claimants from enforcement actions such as eviction, ensure priority debts such as child maintenance are still addressed and help to recover taxpayers' money.

"We have reduced the standard cap on deductions twice in recent years, to 25 per cent of the Universal Credit standard allowance, doubled the period over which new claims can be repaid and stopped utility companies from being able to increase payments automatically.

"But we recognise people are struggling with rising prices and we're are protecting millions of those most in need with at least £1,200 this year including £400 towards energy costs and our Energy Price Guarantee, which will save around £900 for a typical household over the winter."

Listed below are the Edinburgh constituencies that have been affected by these deductions, and the average price they will pay.

  • East Lothian: 2,800 (£60)

  • Edinburgh East: 2,900 (£58)

  • Edinburgh West: 1,900 (£61)

  • Edinburgh South West: 2,900 (£59)

  • Edinburgh South: 1,400 (£58)

  • Edinburgh North and Leith: 2,900 (£58)

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