Universal Credit: Food Bank Use

4. What assessment his Department has made of the potential impact of universal credit deductions on levels of food bank use.

13. What assessment his Department has made of the potential impact of universal credit deductions on levels of food bank use.

The Department for Work and Pensions has reduced the standard deduction cap from 40% to 25% of the standard allowance since 2019. Where a person feels they cannot afford benefit overpayment recoveries, they are encouraged to contact the Department.

Across the north-east, 120,000 children are impacted by universal credit deductions. Take my constituent Amanda: she has two small children, yet her entire personal allowance of £300 a month was deducted, and on top of that she was sanctioned because of tech issues with her work journal. I have worked to support her, as has Citizens Advice Newcastle, but of course she had to go to a food bank. Does the Minister think that is a working system?

In recent years, the standard cap has been reduced, as I said, from 40% to 25%. Reducing the threshold further would risk key social obligations such as child maintenance not being met. We aim to continue to strike the right balance between ensuring that protections are in place and allowing claimants to retain as much of their award as possible.

The role of accommodating food bank Britain has fallen to churches and places of worship, which have also housed playgroups, vaccination centres and warm spaces of late. Given that they are stepping up to fill gaps in state provision—state failure—would Ministers be able to exempt their often crumbling and creaking buildings, whether or not they are listed, from VAT on building repairs, as generosity and him upstairs alone will not pay the bills?

That is a matter for the Treasury, as I am sure the hon. Lady knows.