According to many of the tabloid newspapers middle Britain will be hit hardest by the Universal Credit benefit reforms. Is this the case? The IFS document that has just been published doesn’t necessarily support this opinion. The IFS concludes;
“Because of the way the parameters of Universal Credit have been set, couples, and particularly those with children, look set to gain by more, on average, than single-adult families, particularly lone parents, who will lose on average according to our analysis. But, in general, the impact on incomes is progressive, with the bottom income deciles gaining the most as a fraction of income.”
Will the poorest benefit? Will the middle earners be worse off? Will the country benefit?