New data from the Department for Work and Pensions (DWP) indicates that households including at least one foreign national are receiving nearly £1 billion per month in Universal Credit benefits, according to reporting based on a Freedom of Information request.
The figures, obtained by Conservative MP Neil O’Brien and reported by The Telegraph, show that £941 million in Universal Credit was paid this month to such households. Universal Credit is the UK’s primary welfare program designed to support working-age individuals and families with low incomes.
Eligibility for the benefit extends to migrants who have been granted legal status, such as refugee status or indefinite leave to remain, allowing them to live and work in the UK without time restrictions.
The data suggests a significant increase in payments over recent years. In March 2022, households with at least one foreign national received £461 million in Universal Credit. By comparison, the latest figures represent more than a doubling over four years. Payments have also risen dramatically in the past year alone, increasing from £726 million to nearly £1 billion per month.
Overall, these households account for approximately 15.5 percent of the £6.05 billion total Universal Credit payments, up from 14.1 percent four years ago.
O’Brien said the figures highlight broader concerns about both migration levels and welfare spending, arguing that both are increasing too quickly. Critics who share this view contend that the structure of the welfare system may act as an incentive for migration.
The issue has also drawn attention from some members of the Labour Party. Graham Stringer raised concerns about government spending priorities, particularly as officials consider potential reductions in other benefits such as Personal Independence Payments and winter fuel allowances for pensioners. He argued that all areas of spending should be reassessed in light of the country’s fiscal situation.
Analyses cited in reporting suggest that a relatively short period of spending on Universal Credit for these households could offset savings from proposed cuts to other programs, adding to the policy debate over how welfare resources are allocated.
The findings have also been referenced in broader discussions about immigration policy following the UK’s exit from the European Union. Nigel Farage and his Reform UK party have proposed restricting welfare access to British citizens and replacing indefinite leave to remain with a time-limited visa system.
Supporters of current policies argue that migrants who qualify for benefits do so under existing legal frameworks and contribute to the economy through work and taxes. Critics, however, question the long-term fiscal impact and sustainability of current arrangements.
The data is likely to play a role in ongoing debates over immigration, welfare policy, and public spending as the UK government weighs competing priorities in a constrained fiscal environment.
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