Should a claimant earn more than their work allowance, their Universal Credit payments will be reduced at a rate (known as a taper rate) of 63p for every £1 earned.275 However, since 2015 ‘only people with limited capability for work, or, people with a child or children are entitled to a Work Allowance’276 as a result of the Universal Credit Work Allowance Amendment Regulations.277 This means that claimants without children or a limiting health condition are not entitled to any work allowance...

Should a claimant earn more than their work allowance, their Universal Credit payments will be reduced at a rate (known as a taper rate) of 63p for every £1 earned.275 However, since 2015 ‘only people with limited capability for work, or, people with a child or children are entitled to a Work Allowance’276 as a result of the Universal Credit Work Allowance Amendment Regulations.277 This means that claimants without children or a limiting health condition are not entitled to any work allowance: consequently, as soon as they start earning money from a job, they are subject to the taper rate as described above. Written evidence from Citizen’s Ad Type: conclusion | Number: 107 | Response status: not_addressed Government response: Universal Credit aims to reduce the number of workless households by reducing financial and administrative barriers to work. The 63% single earnings taper rate ensures that payments reduce in a transparent and predictable way as earnings increase. A work allowan