Thousands of Higher Rate Taxpayers are Eligible for Universal Credit – Leading Analysts Say

A report by Policy in Practice on housing and child care, published earlier this year, shows that 200,000 to 300,000 higher rate taxpayers are potentially eligible for Universal Credit because of high housing costs and child care.

They say a couple with no rental or child care costs may be eligible for Universal Credit on earnings of up to £42,000. Many will be surprised at that but a similar couple in London with rental and child care costs, they say, could be eligible on earnings up to £148,000.

Click here to read an executive summary of the report.

Click here to read the full report.

Don Draper of Tax and the Family has said the report shows what a mess the tax and benefit system is. It should be compulsory reading for all politicians.

…to be continued.