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Benefits claimants forced to take out government loans while waiting for universal credit, MPs hear

OPPOSITION MPs told the Commons today how their constituents are being plunged into debt and forced to take out government loans while waiting up to five weeks for their first universal credit (UC) payment.

Labour MP for East Ham Stephen Timms asked Employment Minister Alok Sharma whether the Department for Work and Pensions (DWP) is concerned about rising indebtedness among struggling claimants who take out loans from the department.

Scottish National Party MP for Glasgow Central Alison Thewliss urged him to investigate flaws in the benefit debt repayment system as one of her constituents had her repayment for historic tax credit debt increased under UC from £11 a month to £76.46 on her monthly income after housing costs of £317.83.

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