We have announced £15 billion in further cost of living support, bringing our total package to £37 billion this year. Through the Government’s recent interventions, we are targeting those most in need. Our package equates to at least £1,200 for almost 8 million of the most vulnerable households, at a challenging time for many people.
Earlier today, Carers Trust Tyne and Wear, which is based in my Blaydon constituency, launched its report on the experiences of unpaid carers during the pandemic and made the point that they are the unsung heroes of the pandemic. As we have heard, carers allowance is the lowest benefit of its kind, yet those who receive it will get no cost of living support. Does the Minister really believe that carers allowance is adequate in the face of the current cost of living crisis?
I echo what my right hon. Friend the Secretary of State has already said. I also highlight the fact that households that pay energy bills will receive the £400 cash grant to support them, and that if somebody with a disability lives in a household, there will be further funding with the £150 disability cost of living payment.
My constituent, who is severely sight impaired and has learning difficulties, lives with his mother, who is basically supplementing his day-to-day living from her own pensioner poverty pot, because of the relentless increase of inflation. What action will the Minister take urgently to address this terrible injustice, with one person who is already in poverty having to try to help her severely disabled son? Will he step in to assist in this terrible cost of living crisis?
I do not know the exact details of that case, but there may be opportunities in that household to explore pension credits. Of course, the Chancellor, with support from my right hon. Friend the Secretary of State, recently announced that the household support fund has also been increased by a further £500 million, until April next year.
The Scottish Government have doubled their game-changing Scottish child payment to £20 per child per week and will increase that to £25 by the end of the year, thereby supporting more than 100,000 children. Why will the UK Government not commit to increasing universal credit by an equivalent amount over the same timescale, and match that for and extend it to those on legacy benefits as well?
As we have highlighted, we have just set out a really significant increase in benefits payments as part of the package that is now worth £37 billion. As a result of the work we are doing not just to provide support but to enable people to get into work, there are now 200,000 fewer children in the UK who are in absolute poverty before housing costs.
I call the shadow Minister, Karen Buck.
The Government have been scrabbling to catch up with the escalating cost of living crisis. Any and all help for lower-income families is very welcome, but the fact is that the protection of those on universal credit and other benefits from the worst impacts of inflation depends on their having adequate and predictable levels of income. How is it acceptable, then, that 42% of universal credit claimants face deductions of, on average, £61 a month? What is the Minister going to do about that?
We have already set out our cost of living payments, which will benefit 8 million households in the UK. They are significant and much needed as we face these current cost of living challenges. It is also important to highlight that, over the past couple of years, we have seen the maximum amount that can be taken in deductions from benefits fall from 40% to 30% and now down to 25%.