Pensioners: Universal Credit

(asked on 2nd March 2022) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what comparative assessment he has made of the equity of pension income being treated as equivalent to earned income for Universal Credit purposes whereas pension income inherited by the pensioner’s widow is deducted pound for pound from a Universal Credit award.


Answered by
David Rutley Portrait
David Rutley
Parliamentary Under-Secretary (Foreign, Commonwealth and Development Office)
This question was answered on 7th March 2022

No such assessment has been made.

The general principle is that income, other than earnings, which is provided to meet everyday living costs, is fully taken into account in the calculation of Universal Credit. This includes income from pensions and widow’s pensions.

In common with the means tested legacy benefits it replaces, Universal Credit takes into account money available from other sources which allow a claimant to support themselves, allowing a fair balance to be struck between those in the greatest financial need and hardworking taxpayers.

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