Single-parents set to be handed £420 each thanks to change in Budget

Families who are single-parents could be set to be £420 a year better off thanks to the new Labour Party government. After Chancellor Rachel Reeves spoke to the House on Wednesday, single-parent families have been handed a major boost.

In Blick Rothenberg data, the firm says if a family receives universal credit (UC) then they can expect their Department for Work and Pensions ( DWP ) payments to rise by just 1.7% next April (a number of benefits, including UC, are increased each tax year in line with the cost of living figure for the previous September).

The government has introduced a new fair repayment rate that reduces the level of debt repayments that can be clawed back from a household’s UC payment each month from 25% to 15% of their standard allowance. Those who benefit will gain an average of £420 a year.

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The Budget was an effort to “wipe the slate clean” and the Government can now “move forward with confidence”, the Chancellor has said. Asked whether she would be “clobbering people year after year” with further tax rises, Rachel Reeves told the BBC : “First of all, I made a commitment today that we will only hold one budget a year.

“That’s very different from the previous government who kept coming back every few months with more tax increases, more changes. We’re not going to do that, so we will do an annual budget because that will give businesses and families confidence."

Ms Reeves went on, saying yesterday in the wake of the Budget in the Commons: “But no, this Budget, the first budget of this Parliament (was) to wipe the slate clean under the Tories ’ mismanagement, to fill the black hole that they left for the new Government, and we’ve now done that and we can move forward with confidence.”