Rachel Reeves MP, Labour’s Shadow Work and Pensions Secretary, in response to Gingerbread’s Report ‘Credit crunched: Single parents, universal credit and the struggle to make work pay’, said:

“Labour supports the principle of Universal Credit but not only is the delivery of this flagship policy in crisis, it’s increasingly clear that the Government has got elements of the design wrong too. This analysis shows that the way the Government is implementing these changes means it will be single parents in work who are hardest hit. And under the new system single parents who want to work more hours will see more of their extra income clawed back by the Treasury.

"This out-of-touch government has no solutions to the problems facing low-income families who are trying to do the right thing but struggling to cope with the cost-of-living crisis. David Cameron’s flagship welfare reform was supposed to make work pay but instead he’s clobbering working parents at the same time as cutting taxes for millionaires. Labour will reduce social security spending by getting more people into work, with extra help for childcare for working parents.”