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Written question asked by Mel Stride (Conservative) on Wednesday, 2 April 2025, in the House of Commons. It was due for an answer on Monday, 7 April 2025 (named day). It was answered by Darren Jones (Labour) on Monday, 7 April 2025 on behalf of the Treasury.

Universal Credit: Health

Question

To ask the Chancellor of the Exchequer, with reference to paragraph 3.2 of the Office for Budget Responsibility's Economic and Fiscal Outlook, published on 26 March 2025, what changes were made to the reduction in the level of the Universal Credit health element following the certification deadline; and for what reason.

Answer

In response to feedback from the Office for Budget Responsibility, the government made amendments to the policy parameters of the changes to the Universal Credit health element. The government is freezing the reduced Universal Credit health element level for new claimants, in line with our objectives to rebalance the system, rather than uprating it by Consumer Price Index inflation.

This update was made after the statement to the House delivered by the Secretary of State for Work and Pensions on 18 March 2025, once the Office for Budget Responsibility had given its final assessment of the costing and behavioural assumptions associated with the measure. The adjustments were made to ensure we continue to strike the right balance between setting strong work incentives and fiscal sustainability.

Secondary information

Type
Written question
Reference
43437
Session
2024-26
Related items
Office for Budget Responsibility: Economic and fiscal outlook
Wednesday, 26 March 2025
Command papers
House of Commons
House of Lords
Subjects
Health Universal credit
Link
View this Written question on www.parliament.uk