Universal Credit should relax £16,000 savings eligibility rule

[DreamChaser23]

do you agree? This is to ensure other workers who were laid off and have 16k OR higher in savings should also be eligible for help.

www.google.com/amp/s/www.mirror.co.uk/news/politics/dwp-must-change-universal-credit-21792760.amp

It's funny how people are Conservative and capitalist and "why should my hard earned money pay for people's benefits".....but now free money is on offer, they all want some too!

You can't have it both ways. Surely if you are able to support yourself, you should want to. I would be embarrassed taking money off the state when I had >16k savings. I almost feel guilty for getting 80% furlough pay because I don't NEED to be paid for doing nothing.

CatAndFiddle People would have a run on the banks and the system would collapse

There are so many nuances that you've glossed over.

I work as a supply teacher. I have a chronic health condition, and could not manage a full time permanent teaching job. I do supply because it gives me the flexibility I need to take time off when I'm unwell. I do this so that I don't need to rely on benefits, and don't claim pip or esa etc. I don't have loads of savings, because I use my money to live on when I'm unable to work.

I've paid NI & Tax, and not taken benefits. I haven't, as was so politely put, pissed my money up against the wall, I've used it to live on to reduce the burden of the welfare system for other tax payers.

Where does that leave me in your oh so delightful analysis? And no, I don't think you should be entitled to anything if you have over 16 grand saved, you're hardly destitute. If you're fit and well, go and get another job & stop being lazy. It's that simple isn't it?

Arguably the home owners are more wealthy, why should those that have cash savings be penalised but those with other assets not ?

You do realise they’re likely to loose their home before any mortgage relief payment comes in, and will only receive help with interest payments so will have to sell up to pay the capital when the mortgage term ends?

The level of entitlement and greed on this thread is quite something.

Jellycatspyjamas so you can get UC even if your house has over £16000 of equity in it, but have over £16,000 savings No

Deathgrip

Btw, if you think there are any fraud investigators currently working on fraud you are very very naive.

Ahem.. I work for DWP in the Organised Fraud directorate. I can assure you that fraud investigators are very much working. We are ring-fenced from redeployment at present as we know this is the exact time the opportunists will attack the system..

And No.. I do not think it should be reduced or abolished.

My ex husband suffered a catastrophic accident in June. He was not entitled to anything due to savings. He has paid high rate tax and NI for 20 plus years.. and has been living on £73 a week since his savings ran down and he qualified for help with his rent in October.
His rent is £1400. His 'entitlement' is £603.. . now he is entitled to UC. This is meant to be an 'average' rent of a 1 person flat - yet is a good 20 % less than the lowest a available.

£73 per week with a 12 week wait to be assessed for to see if you are genuinely ill... then if you 'pass' you get a little top up once you have had to wait an extra 6 weeks to have your assessment done at home because you are - actually quite unwell. Add to that 4 weeks for the decision to be made .. but hey ! That's fine because it's 'backdated' ... not much bloody use to someone without ANY savings and expected to be online and looking for work until this 'decision' is made ! .. £73 a week to feed yourself, pay for broadband .. utilities , existing commitments. and of course the 20% shortfall on rent !
.....but have any of you now moaning about the 16k limit given a moments thought to how people survive on benefits ?

An accident is also an unforeseen consequence. Just as Covid 19 is. Sorry but benefit is their for NEED.. if you have over £16 k like my ex did £22k (saved for retirement) you use it for exactly this type of situation.

I've just cancelled a holiday that we were due to go on in summer. My DH is still working. We've lost our deposit for cancelling but we can't justify spending that amount of money at the moment. We had the money in the bank but with so much uncertainty we'd feel better knowing we could cover our mortgage (we can now easily pay the mortgage for the rest of the year). It also takes our savings past £16k- I feel incredibly lucky to have this buffer and absolutely no way could I sleep thinking I'd take it to chance that if he looses his job we could claim UC but still go on our holiday.

So many people do not think about surviving on benefits until it affects them.

@hester54 it has already been successfully trialled in Japan and Switzerland during the last recession. There won't be a run on the banks as, has been pointed out in this thread, most people have very little cash savings anyway. The prudent middle classes will spend on household/tech/cars, the super rich will move cash into other assets and sit it out. The working class and underclass will carry on as before, because, as pointed out, they can't afford to save anyway

Likefootball why would you?

You can also still claim with large amounts of cash if you have sold a house and intend to buy another, at least you certainly could when it was first rolled out. Why not make those people use the proceeds of their House sale to live on? Clearly because it would be counterproductive.

Jesus. Have a whole bag [biscuits]

@Hester54

Because decent people aren’t entirely self-absorbed; and don’t only think about themselves. The fact you seem to find this hard to comprehend is telling.

I thought it was a £6k limit?

CatAndFiddle you wouldn't of thought that with the pictures of people queueing around the block when Northern Rock was in trouble in 2010, People couldn't get their money out fast enough

Derbygerbil so you worry about things that have no bearing on you ?

This thread is ridiculous. Grow up and accept you need to pay your way for a while. Not everyone has that option.

Actually, this thread shows how damn right disgusting some people are.

TopBitchoftheWitches why? because some people have saved a bit of money and others in the same position have not

44Hester54

Likefootball why would you?

The above statement says it all. You never thought to concern yourself as to the welfare of millions of people struggling before now? Not your problem as long as your life isn't affected?

so you worry about things that have no bearing on you?

Is that a legitimate question?

Suddenly your stance becomes clear.

Derbygerbil so you worry about things that have no bearing on you ?

I’ve been lucky enough never to have claimed benefits, but I am aware enough of how the benefit system works to know that you can’t claim if you have significant sums in the bank. It’s pretty basic stuff....

I can’t quite believe you’re so unaware of how “the other half live” that you assumed people would be entitled to benefits irrespective of their bank balance!

Next you’ll be telling people to eat cake if they say they’ve run out of bread!

@Derbygerbil The let them eat cake quote was my thought as well!

@Hester54

Your incredulity that anyone would give a second’s thought to anyone other than themselves is sad...

You are seemingly so utterly self-absorbed you can’t even understand the concept of thinking about others.

🤣🤣🤣🤣🤣
get a huge grip.
Boo hoo if it eats into your savings for a wedding or deposit, I don’t think the tax payer should subsidise your feckin savings.
There’s ppl surging on £50 pw.

@hester54 there was a run on the NorthernRock because people found out that it had over borrowed massively and didn't have the money to pay back its own loans. Negative interest rates would not necessarily have this effect, if banks maintain the necessary liquidity.
Let me put it another way. The main way the European central banks dealt with the last crisis was to cut interest rates. We are still in that recovery, and so interest rates are so low, there is no room to go lower, unless you drop below zero. I suppose only time will tell, anyway.