(Bloomberg) --
Britain has received more than 1.5 million new claims for Universal Credit welfare payments since March 16, when people were first urged to stay at home to fight the spread of the coronavirus.
Universal Credit is paid to people without work or on low incomes, and the figure is up slightly from the 1.4 million claims reported last week. In normal times there are around 55,000 applications a week.
The Department for Work and Pensions said 3 million people are already claiming Universal Credit and people who made their claims when the lockdown began will receive payments from tomorrow. At least 93% of people are expected to receive payments in full and on time, according to officials.
“These are challenging times, but Universal Credit is providing a vital safety net to those affected by the pandemic,” Work and Pensions Secretary Thérèse Coffey said in a statement.
The figures don't necessarily translate into a one-for-one increase in unemployment, since people can also claim for the benefit if they see a drop in income. Furthermore, some of those who claim originally after losing their jobs may have since been placed on the government's job retention scheme.
©2020 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
