A query was submitted to the Division for Work and Pensions over fears Common Credit score funds may very well be lower
It pertains to funds of Common Credit score and the Disaster and Resilience Fund (Picture: Getty)
The Division for Work and Pensions (DWP) has responded to an enquiry concerning potential reductions in Common Credit score funds. The question got here from Martyn James Snow, the Rt Rev. the Lord Bishop of Leicester.
Bishop Martyn joined the Home of Lords in 2022, the place he concentrates on issues regarding poverty. He submitted a written query to the DWP concerning Common Credit score and the Disaster and Resilience Fund.
Written questions allow MPs and Members of the Home of Lords to hunt details about the work, coverage, and actions of Authorities departments, related our bodies, and Parliamentary administration.
His query said: “To ask His Majesty’s Authorities what plans they’ve to make sure that money funds obtained by the Disaster and Resilience Fund don’t result in a deduction in an individual’s Common Credit score cost.”
The Disaster and Resilience Fund, which launches later this 12 months, presents grant funding to native authorities in England to ship preventative help to communities, while additionally serving to individuals when confronted with a monetary disaster.
Baroness Sherlock, Minister of State within the Division for Work and Pensions, supplied the response.
She said: “Assist from the Disaster and Resilience Fund is classed as native welfare provision. Consequently, funds obtained from the Fund shall be disregarded as capital when calculating an individual’s entitlement to Common Credit score.
“Given the character of the availability, it’s anticipated this shall be spent inside the 12 months of receipt. Any monies from the fund unspent inside this timeframe shall be classed as capital within the ordinary method.”
The Disaster and Resilience Fund launches in April 2026. It comes after figures present that round 12.5million individuals within the UK haven’t any reserves of cash to depend on in an emergency.
The £1billion pot shall be handed all the way down to native authorities, who can then determine who will obtain the cash. It replaces the family help fund.
A Authorities spokesperson stated: “We’re dedicated to tackling poverty and delivering extra safety and alternative for households throughout the UK.
Private finance information, cash saving suggestions and recommendation plus selcted presents and competitions Subscribe Invalid electronic mail
We use your sign-up to supply content material in methods you’ve got consented to and to enhance our understanding of you. This will embody adverts from us and third events based mostly on our understanding. You may unsubscribe at any time. Learn our Privateness Coverage
“The £1bn multi-year fund will assist forestall households from falling into disaster by giving native authorities the knowledge they should present emergency monetary help.”
Leave a Reply