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Reform how pension income is deducted from Universal Credit

Submitted by Nick Farrelly on Thursday 27th May 2021

Published on Friday 4th June 2021

Current status: Closed

Closed: Saturday 4th December 2021

Signatures: 65

Relevant Departments

Tagged with

Pensions ~ Reform ~ Tax ~ Universal Credit ~ UNIVERSE ~ Universities ~ You

Petition Action

Reform how pension income is deducted from Universal Credit

Petition Details

Pension is deducted £ for £ as unearned income. Deductions are also based on gross pension income, before any tax is taken. It's unfair and unjust. Pensions can be taxed and also deducted from Universal Credit income.

Additional Information

The Government should change deductions for pension income so they are based on net income. This would mean, if you pay tax, your not penalised by Universal credit for the amount of pension you receive before deductions.

I would ask the Government to deduct pension income at 63p in the £, the same as earned income.


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