Gingerbread responds to IFS report on universal credit

Posted 2 February 2016

New report from Institute for Fiscal Studies finds single parents will be disproportionately hit by universal credit.

Gingerbread Chief Executive Fiona Weir said: “The Institute for Fiscal Studies’ findings correspond with Gingerbread’s own analysis; showing that single parents will be disproportionately hit by the government’s introduction of universal credit. [1]

“While almost two thirds of single parents – a record number – are in work [2], it’s telling that the IFS research reveals that 73 per cent of single parents will be less incentivised to work as a result of universal credit.

“These figures undermine the government’s own plans to encourage more people into work. Gingerbread would therefore urge the government to reverse the cut to the work allowance to ensure that those who want to work, including those who need to balance employment alongside childcare commitments, aren’t discouraged from doing so.”

Notes to editors

[1] Gingerbread’s impact analysis of the Summer Budget can be found here: www.gingerbread.org.uk/payingtheprice.

[2] ONS, Working and Workless Households, 2015, http://www.ons.gov.uk/ons/rel/lmac/working-and-workless-households/index.html

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