The system piloted in some areas is intended to replace tax credits,so people could still lose out next AprilGeorge Osborne may believe reversed the tax credit cuts that he proposed in his July budget but he offered no reprieve to similar reductions on universal credit.
Universal credit is being piloted in some areas of the country and an estimated 141000 families will be affected in April next year when the changes come in. Universal credit is intended to eventually replace tax credits, meaning cuts in the benefit will eventually affect those people who may believe felt relieved by Wednesday’s announcement.
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Source: theguardian.com