34,814 people in Fife receiving Universal Credit have been impoverished by at least £50m a year after two changes in benefit payments – last month’s withdrawal of the £20 a week uplift to Universal Credit and the failure to raise benefits 10% to keep in line with inflation and instead only raise them by 3% resulting in a real-terms cut.
Figures provided by the Scottish Parliament Information Centre (SPICe) show the scale of the financial loss to Fife families is a result of the cuts in benefits and the failure to uprate in-line with the real costs families are facing.
Today, former Prime Minister and previous local MP Gordon Brown is calling on the UK Government to make better provisions for families in Fife as they face winter heating bill rises, food price increases, as well as a multitude of other bills.
The Scottish Government estimated that £540m was lost to Scotland when the £20 a week uplift to Universal Credit was cut by the UK Government. Mr Brown estimates that the total cost for Fife is around £35m a year and says it is a huge loss that has been exacerbated by the failure to match the 10% inflation people are facing without increasing benefits beyond 3%.
Commenting Mr Brown said:
“Fife charities are doing what they can, but they are under increasing stress because of the demands now placed upon them. Charitable donors are being as generous as they can, but those will little who are giving to those with nothing are running out of money as well. Food banks are under huge pressure and have seen a huge rise in demand for food.
“It is time the government played their part and raised benefits to meet the inflationary pressures families are living under. Further delays cannot be justified when there is so much fear and dread about what’s going to happen this winter.
“People are stocking up with blankets and duvets and even sleeping bags and hot water bottles because they have given up heating their homes and can only think of what to do to help themselves and their children.”
Commenting further local MSP for Fife Alex Rowley said:
“The government must take action immediately, re-instating the £20 a week cut to Universal Credit is the bare minimum. And with unprecedented in recent times levels of inflation, people can’t wait for benefit rises further down the line. People need help immediately.
“Everyone is struggling with rising costs at the moment, but those earning the least will feel that burden the most. The government should be doing everything in it’s power to protect those most at risk and that means providing support as a matter of urgency. To do nothing is a fundamental dereliction in duty which will result in untold hardship for so many.”