Universal Credit & Savings

kremlinbot

That does make sense. I think that my general point that I was trying to get at does still stand though, that if you have a house with say 50% mortgage paid off but with little savings in the bank, you can get a 'general' universal credit payment during the shutdown that you can put towards your mortgage. Whereas if you have £16k in savings that you intend to put towards a house, you get zero.

Petriix

Don't mistakenly believe anything about Universal Credit is in any way fair or reasonable. It was designed as a punishment for being poor, nothing more.

calcotti

kremlinbot said:

That does make sense. I think that my general point that I was trying to get at does still stand though, that if you have a house with say 50% mortgage paid off but with little savings in the bank, you can get a 'general' universal credit payment during the shutdown that you can put towards your mortgage. Whereas if you have £16k in savings that you intend to put towards a house, you get zero.

That is true.

poppy12345

Petriix said:

Don't mistakenly believe anything about Universal Credit is in any way fair or reasonable. It was designed as a punishment for being poor, nothing more.

I wouldn't go as far as saying that, although it does have it's downfalls. Some people are actually better of on UC than they were on legacy benefits but it doesn't suit everyone.

kremlinbot

I would have preferred to have lived my life having never gone anywhere near it, but as I can't earn any money right now, I'm just trying to figure it out a bit and I guess its probably full of contradictions and incentives that don't make sense.

Jeremy535897

There are apparently calls for the savings limit to be removed. Who knows, but I would note that there have been such calls since the introduction of UC. It was seen by the Conservatives as a major weakness in tax credits that they weren't means tested.

calcotti

kremlinbot said:

Oh right, do mortgage costs not be taken in to account for someone applying for universal credit though?

No........

calcotti

megw said:

calcotti said:

megw said:

They are talking about removing the savings cap soon anyway

Where did you hear that?

All over the media and news lately, just google 'savings universal credit' or search it on Twitter

I meant somewhere official. Calls for it to be removed are hardly a guide to what the government might be thinking. Given that most benefits have been means tested for a long time and that all the benefits replaced by Universal Credit, other than a Tax Credits, included a savings limit it seems highly unlikely that it will be removed for UC (although there’s is definitely an argument for raising it).

There might also be an argument for temporarily suspending it.

poppy12345

megw said:

calcotti said:

megw said:

They are talking about removing the savings cap soon anyway

Where did you hear that?

All over the media and news lately, just google 'savings universal credit' or search it on Twitter

You mean in the newspapers? i read that too but took it with a pinch of salt.

richt5a

Related question I can't find an answer to if anyone knows please ....  My daughter is self employed has some savings but a large proportion of that is to pay her income tax bill.  If she doesn't/can't pay that when it comes round she'll be penalised by HMRC.
Does she need to declare the amount she has saved to her tax bill as part of her savings for Universal Credit?