Tag: universal credit

On 14th March 2025, the Bishop of Manchester’s private member’s bill, the Universal Credit (Standard Allowance Entitlement of Care Leavers) Bill, had its third reading and passed through the House of Lords:

The Lord Bishop of Manchester: My Lords, as this will be my last opportunity to address your Lordships’ House on this Bill, I crave your indulgence for a couple of minutes. There are something like 92,000 care leavers in the 18 to 25 age bracket at any one time. While it is hard to be precise about how much this Bill would cost, the best estimate is that it would probably add something like £25 million a year to the total costs on the Government. That would enable a young care leaver who is in receipt of universal credit to get an extra £80 a month, which is 25% more than they currently get. It would be life-changing for them. It would make, I would argue, very little difference to the state of the nation’s finances.

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The Bishop of Manchester’s private members bill, the Universal Credit (Standard Allowance Entitlement of Care Leavers) Bill, had its second reading on 17th January 2025:

The Lord Bishop of Manchester: My Lords, care leavers under the age of 25 who are claiming universal credit receive the same rate as their peers, who are far more likely to be able to access support from their parents. That means that young people under 25 receive £81.77 less in universal credit per month compared to those over 25—a 21% reduction. This Bill would complement proposals by providing increased financial support for care leavers currently living on the lowest incomes. It would mean that care leavers claiming universal credit would see their monthly payment increase to a total of £393.45. That monthly figure is not dissimilar to the daily allowance that Members of your Lordships’ House can claim; it is not a huge sum to live on.

I thank those who have made time to participate in this debate on a Friday—not least the Minister and shadow Minister, with whom we had constructive conversations in advance—and the group of care-experienced young people, facilitated by the charity Become, who were very generous with their time and shared some extremely perceptive insights with me and my right reverend friend the Bishop of Derby about the differences that this policy change would make to their lives. They have agreed that we can name them in our speeches today.

There are over 92,000 care leavers in England under the age of 25. This cohort of young adults is in particular need of further support, including through the social security system. This Bill would equalise the standard allowance for universal credit for care leavers under the age of 25, but that is just one of a number of steps that could be made to ensure that young care leavers receive the support they need to flourish. I hope that, in this debate, there will be an opportunity for noble Lords to explore those, and perhaps other, steps and for us to commit ourselves to supporting young adults leaving care.

Continue reading “Universal Credit (Standard Allowance Entitlement of Care Leavers) Bill: Bishop of Manchester introduces private member’s bill”