The Work and Pensions Committee has published the UK Government’s response to its report on the cost of living and the support measures available for people claiming benefits and the State Pension.
The report, published in July, called on the UK Government to put on hold automatic repayments from benefits to help households currently struggling with huge financial pressures during the cost of living crisis. The Committee also called for the Department for Work and Pensions (DWP) to work to increase the speed with which changes can be made to legacy benefits and State Pension payment rates, with the uprating mechanism for benefits having fallen out of step with soaring inflation.
An uprating of 3.1% was applied to most DWP benefits in April, however, inflation has been steadily rising and was 10.1% for July. The September inflation rate, announced in October, will be used to determine the benefits and State Pension uprating to be applied from April 2023.