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Iain Duncan Smith urges PM to reverse Universal Credit cuts Iain Duncan Smith urges PM to reverse Universal Credit cuts
(35 minutes later)
Theresa May is being urged to reverse cuts to Universal Credit by ex-Work and Pensions Secretary Iain Duncan Smith. Former Work and Pensions Secretary Iain Duncan Smith is urging Theresa May to reverse cuts to Universal Credit.
Mr Duncan Smith, who quit days after the 2015 Budget, is urging the PM to postpone a plan to raise the income tax threshold to pay for reversing cuts.Mr Duncan Smith, who quit days after the 2015 Budget, is urging the PM to postpone a plan to raise the income tax threshold to pay for reversing cuts.
In 2015 funding cuts to the Universal Credit "work allowance" were announced - reducing the amount people could earn before benefit payments were withdrawn.In 2015 funding cuts to the Universal Credit "work allowance" were announced - reducing the amount people could earn before benefit payments were withdrawn.
He argues they cost people up to £1,000 as they moved off benefits into work.He argues they cost people up to £1,000 as they moved off benefits into work.
Universal Credit's single payment replaces six current benefits, including Jobseeker's Allowance (JSA) and Employment and Support Allowance (ESA).Universal Credit's single payment replaces six current benefits, including Jobseeker's Allowance (JSA) and Employment and Support Allowance (ESA).
Mr Duncan Smith drove its introduction under the coalition government, although it was beset by delays, IT problems and an entire "reset" of the system, and was the subject of tensions between the Treasury and the DWP.Mr Duncan Smith drove its introduction under the coalition government, although it was beset by delays, IT problems and an entire "reset" of the system, and was the subject of tensions between the Treasury and the DWP.
Now a backbencher, he chairs the Centre for Social Justice which is making the call to reverse the cuts made by former chancellor George Osborne - who was sacked by Mrs May when she became prime minister in July.Now a backbencher, he chairs the Centre for Social Justice which is making the call to reverse the cuts made by former chancellor George Osborne - who was sacked by Mrs May when she became prime minister in July.
The CSJ is pointing to Mrs May's own words in her first speech as PM, in which she promised those who were "just managing" that "when it comes to taxes, we'll prioritise not the wealthy, but you".The CSJ is pointing to Mrs May's own words in her first speech as PM, in which she promised those who were "just managing" that "when it comes to taxes, we'll prioritise not the wealthy, but you".
Mr Duncan Smith argued that higher earners would benefit most from raising the income tax threshold - something the government has pledged to do by 2020 - and said the money should be spent on those who were "just about managing" instead.Mr Duncan Smith argued that higher earners would benefit most from raising the income tax threshold - something the government has pledged to do by 2020 - and said the money should be spent on those who were "just about managing" instead.
'Make sure work always pays''Make sure work always pays'
Speaking on BBC Radio 4's Today programme, the former minister said: "One of the key elements as you cross into work, the work allowances, those were all reduced. The problem with that is it means it is more difficult to get people into work and keep them in work.Speaking on BBC Radio 4's Today programme, the former minister said: "One of the key elements as you cross into work, the work allowances, those were all reduced. The problem with that is it means it is more difficult to get people into work and keep them in work.
"We want to get people into work, we want them to progress through work, but most importantly, we want to make sure work always pays."We want to get people into work, we want them to progress through work, but most importantly, we want to make sure work always pays.
"At the moment is a proposal on the table lifting the tax threshold. Only about 25p in every pound ends up with that group, that bottom five tenths of the population. With Universal Credit £1 or every £1 goes there. It is a more direct way of delivering on Theresa May's statement, which was strong and powerful, to help those who try.""At the moment is a proposal on the table lifting the tax threshold. Only about 25p in every pound ends up with that group, that bottom five tenths of the population. With Universal Credit £1 or every £1 goes there. It is a more direct way of delivering on Theresa May's statement, which was strong and powerful, to help those who try."
The CSJ argues that £3.4bn cut from the Universal Credit budget by Mr Osborne would cost people up to £1,000 as they "transitioned" from Universal Credit into work, thereby undermining incentives to take a job and move off benefits.The CSJ argues that £3.4bn cut from the Universal Credit budget by Mr Osborne would cost people up to £1,000 as they "transitioned" from Universal Credit into work, thereby undermining incentives to take a job and move off benefits.
It says the Universal Credit scheme should be returned "to its original design", which it argues would lead to 300,000 more people entering work.It says the Universal Credit scheme should be returned "to its original design", which it argues would lead to 300,000 more people entering work.
'The very worst' Mr Duncan Smith defended his work at the DWP, following the new film by Ken Loach, 'I, Daniel Blake', which tells the story of a joiner in north east England on benefits.
Mr Duncan Smith continued to defend the work he had done at the DWP in light of the new film by Ken Loach, 'I, Daniel Blake', which tells the story of a joiner in the North East on benefits.
Mr Loach appeared on BBC's Question Time on Thursday, criticising the system that tells "the most vulnerable people" that their poverty "is their own fault."Mr Loach appeared on BBC's Question Time on Thursday, criticising the system that tells "the most vulnerable people" that their poverty "is their own fault."
After watching the film, Mr Duncan Smith said: "I happened to have a high regard for [Mr Loach] as a film director. Whilst on the one level this was a human story, full of pathos and difficulties, I think is the film has taken the very worst of anything that can ever happen to anybody and said 'this is life how it is lived'. I don't believe that 'Unfair on staff'
Mr Duncan Smith said: "I happened to have a high regard for [Mr Loach] as a film director.
"Whilst on the one level this was a human story, full of pathos and difficulties, I think is the film has taken the very worst of anything that can ever happen to anybody and said 'this is life how it is lived'. I don't believe that
"Also, his portrayal of job centre staff was unfair. Yes, you will always get one of two, but the vast, vast, vast majority are there to work and help people. This idea that everybody is out to crunch you has really hurt a lot of job centre staff.""Also, his portrayal of job centre staff was unfair. Yes, you will always get one of two, but the vast, vast, vast majority are there to work and help people. This idea that everybody is out to crunch you has really hurt a lot of job centre staff."