How Brexit could affect carers

Britain’s decision to vote in favour of Brexit signals potentially major changes to the welfare system. Although it is unclear exactly what these changes might look like, a study conducted by the National Institute of Economic and Social Research in June 2016 examining the fiscal impact of leaving the EU on low income households suggests that based on national income and possible changes in migration, low income households could receive between £1,861 and £5,542 per year less in tax credit and benefit payments.

The recent changes make it clear that Universal Credit looks a lot different to its original conception. Specifically, by 2020-21, the cuts will make the UC system less generous than was initially proposed, which ultimately means a majority of working families will be worse off. In addition, the benefit cap has seen a decrease of £3000 for couples and lone parents in London to £23,000, while it has decreased £2800 for single people to £15,410. Outside London, the cap has been set at £20,000 and £13,400 for couples and single people respectively.

A recent study conducted by the Centre for Regional Economic and Social Research shows that these changes will reduce the average income of a social rented household by around £1,300 a year – almost double what a private rented household will lose (£710), and more than five times the average loss of an owner occupied household (£230). With regard to local welfare, following stopping crisis loans and community care grants in 2013, for 2015-16, the government included funding for local welfare provision in councils’ revenue support grant.

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Southwark Carers
3rd Floor, Walworth Methodist Church,
54 Camberwell Road, London, SE5 0EW
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020 7708 4497

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Nearest tube: Elephant & Castle underground station (Northern and Bakerloo lines).

Nearest Railway Station: Elephant & Castle

Buses from Elephant and Castle: ask bus driver for Burgess Park. Bus numbers: 12, 171, 148, 176, 68, 484, 42, 40, 45