Universal Credit
(asked on 26th April 2018) - View Source
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what assessment her Department has made of the effect of the universal credit income taper and work allowances on gender equality in the labour market.
The Government now provides more support than ever before to help parents with the costs of childcare, including providing 15 hours a week of free childcare in England for all 3 and 4 year olds and disadvantaged 2 year olds, and doubling free childcare available for working parents of 3 and 4 year olds to 30 hours a week. We have also increased the level of support for childcare costs within Universal Credit from 70% to 85%, its highest ever level. This gives parents up to £646.35 per month for one child and £1108.04 per month for two or more children.
We know that the longer someone is out of the labour market, the harder it can be to return when they are ready. As a result parents will be helped to prepare for work when their youngest child is two, and look for work when they are three. This will give them the best chance of finding a job which fits in with their caring responsibilities. Work-related requirements are tailored to individual circumstances and compatible with child care responsibilities. Work coaches can consider caring responsibilities when setting availability and work search hours. This will also include work preparation activities.
In Universal Credit, there are none of the cliff edges or complicated hours rules of the old system, just a single, simple, taper so payments reduce in a transparent and predictable way as earnings increase. We know this is having a positive impact on employment outcomes, as shown in three separate research studies. The reports for these studies can be found at: