Human Cost of Universal Credit
FERDUSARA ALI
I had been actively looking for work but encountered an overwhelming number of barriers – pre-employment checks, background criminal record scrutiny and reference requests from the last six years of employment. This caused delays in starting my new job and, without any income, I was forced to apply for Universal Credit.
As a single person, I was only entitled to the bare minimum – £393.45. Based on my area’s assessment, I qualified for a housing benefit of £595.00. However, with my rent at £800, I had to use my personal allowance to cover the shortfall – leaving a grand total of £188.45 to cover all my food and bills for the month.
However, my situation worsened when I received a backdated payment from my former employer which consequently affected my benefits. They deemed this as ‘income,’ which, of course, makes perfect sense in their world. But the significant reduction in my Universal Credit, left me unable to pay my rent and pushed me into arrears.
As I contested the issue over the phone with an advisor I remember burying my face in my hands as she – someone responsible for determining my financial fate – said she couldn’t help. How would I cover my rent or afford food for the month? The advisor suggested I seek financial help from friends or family – something I’d already exhausted. It was utterly exasperating. What happens when your loved ones are also facing financial difficulties, or worse, when you have no one to rely upon? This raises a crucial question: where do you turn for help when the system lets you down?
Always being self-sufficient and never needing benefits, I was shocked by the minimal support available. It’s truly disheartening to witness our economy in such dire straits while the government allocates £4 million for weapons to Israel. I recognise the concern over benefit fraud, estimated to cost £9.7 billion in overpayments. However, the response from the Department for Work and Pensions has been to demand direct access to Universal Credit claimants to reclaim funds they may have mistakenly issued. Which fails to consider individual circumstances like mine, where a backdated payment was not fraudulent at all.
It might appear to be a proactive measure against fraud but felt more like an additional barrier for someone earnestly trying to find work. In recent years, Universal Credit has become a cornerstone of the UK’s welfare system, designed to support those in need. Yet for many legitimate claimants the system is riddled with obstacles. The very thing meant to provide help often leaves people feeling isolated, overwhelmed and even suicidal. A report from The Lancet estimated that welfare ‘reforms’ could be linked to around 1,000 additional suicides in the UK between 2010 and 2015. Official figures from 2022 indicate that 1,154 individuals reported the system had pushed them to consider suicide, and more than two thousand said the system had led to suicidal thoughts.
The plight of older adults claiming Universal Credit is particularly alarming. In 2024, the Office for National Statistics highlighted that ind viduals over 55 faced severe challenges managing their finances, often withdrawing money from pension funds only to find it was effectively consumed by Universal Credit calculations. The stress of financial insecurity has tragically driven some to take their lives, while others have faced the dire choice between heating their homes and affording food. The heart- wrenching realities of hypothermia and starvation starkly illustrate the shortcomings of a system designed to assist those in need.
As a result of this systemic failure, countless individuals and families are navigating the treacherous waters of financial insecurity, revealing that the current welfare system is not just a safety net but rather a precarious tightrope that many are forced to traverse or, tragically, use to hang themselves.
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