While campaigners have claimed hundreds of thousands of people will return to poverty once the uplift is withdrawn, Prime Minister Boris Johnson has defended the withdrawal, outlining that the taxpayer should not subsidise low wages through the benefits system.
Nigel Purves, chief executive of Wayhome, said: “It’s clearer than ever that the UK is not doing right by its hard working families.
“30 years ago, low-to-middle earners could reasonably expect to feed their family, buy presents at Christmas, and put down roots in the form of a home they own.
“Now, the workers who make up the backbone of our society are relying on universal credit to meet their basic living costs, and any dreams of homeownership are just that; pipedreams.
“Now, with some workers set to lose almost £2,000 a year, the scale of the problem is reaching a peak.
“Families are living in unsuitable properties which don’t meet their needs, and wage growth is not keeping up with house prices; for example, hairdresser, carer, and shelf filler wages are increasing by around 2%, whereas house price growth sits at 4%+.
“Even saving for a deposit would take more than half a century, making it impossible for hardworking families to find stable & suitable accommodation.
“The system needs a shake-up – we must be innovative in our solutions, with full buy-in from government, policy-makers, and property firms alike.”
