Universal credit and its impact on household incomes: the long and the short of it

Document type
Brewer, Mike; Joyce, Robert; Waters, Tom
Institute for Fiscal Studies
Date of publication
24 April 2019
IFS Briefing note; BN248
Social Policy, Poverty Alleviation Welfare Benefits and Financial Inclusion, Employment
Social welfare
Material type

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Briefing note on the impact of universal credit on families incomes.

Those in the lowest-income 10% of the population on average lose the most from UC: a 1.9% fall in their income, equivalent to £150 per year per adult.

76% (8.7 million adults) of those entitled to means-tested benefits, and 84% (7.2 million) of those in working households, see a change in their entitlement of at least £100 per annum (p.a.). 17% (1.9 million) see a loss of at least £1,000 p.a., while 14% (1.6 million) see a gain of at least that much.

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