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Liverpool Echo
Liverpool Echo
Business
David Bentley & Kate Lally

Universal Credit, ESA and JSA cost of living warning over payment gap

People claiming benefits such as Universal Credit and Jobseeker's Allowance face a gaping hole in their finances later this year.

Some could see their entire income swallowed up by the rise in energy bills after Ofgem announced the price cap will rise to £3,549 a year. This comes into effect on October 1, with a further rise then expected in January.

The shocking impact of the autumn increase on low-income families could see people's finances "wiped out by stratospheric energy bills that make up almost 120% of their income after housing costs, leaving many destitute", according to the latest analysis from the Joseph Rowntree Foundation (JRF).

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