UK debt help charity, Christians Against Poverty (CAP), urges Government now to focus on longer term support for poorest, as package “buys time”
CAP’s Director of External Affairs, Gareth McNab, said:
“Today’s announcement provides significant direct financial help to households unable to cope with rising costs UK-wide. We strongly welcome that three quarters of the total spend is targeted at vulnerable households, that people in receipt of legacy benefits will also benefit, and the commitment to a full up-rating in April 2023, including the triple lock for pensions.
“At first look we expect eight in ten CAP clients to benefit from the targeted measures for households on means-tested benefits. These emergency measures will help to meet people’s needs right now and buys some time, but they do not address the underlying reasons why people’s incomes are inadequate, including benefit debt deductions, the benefit cap, the two child limit, and frozen Local Housing Allowance. While technically worth more than benefits uprating, a one-off £650 is less than the amount lost by households when the Universal Credit uplift ended, and will not be received by low paid individuals not eligible for means-tested benefits.
“The total package of £1,200 is equivalent to £100 per month. Some of the households we are seeing have much higher deficits, sometimes of several hundred pounds every single month. The simple truth is that while more generous, even these payments will fail to keep many out of destitution.
“Further help should be extended through six month payment holidays on all types of debt owed to Government, and extra funds for debt write-off through the Household Support Fund. The situation is continuing to evolve and we urge the Government to keep a close watch over the months ahead and make every effort to ensure our most vulnerable households have sufficient means to live.”
If you are struggling with debt and need free help, get in contact with CAP today on 0800 328 0006 or visit capuk.org.