HALF of all households using foodbanks are struggling to afford essentials such as food and clothes because of universal credit (UC) debt repayments, it was revealed today.

Foodbank users are more commonly in debt to the Department of Work and Pensions (DWP) than to friends, family members or extortionate payday loan firms, according to the Trussell Trust.

The charity, which runs Britain’s biggest foodbank network, said that monthly deductions from UC payments could reduce claimants’ incomes by up to a third.

The welfare deductions are usually made to repay loans that have been provided to tide claimants over during the initial five-week wait for their first UC payment, although some are to correct overpayment errors.

The trust called on ministers to freeze all UC deductions. 

Chief executive Emma Revie said: “Taking money off payments to repay these debts makes it much harder for people to afford the essentials and can impact on people’s mental health — this isn’t OK.

“With the pandemic continuing to hit people’s incomes, the government must pause taking money from benefit payments over the winter months until a more responsible and just system that offers security and support is in place.”

The numbers of claimant in debt to the DWP doubled between March, when the first coronavirus lockdown was imposed, and October, reaching a record 5.7 million people.

Shadow work and pensions secretary Jonathan Reynolds said that the UC system was “clearly failing” households.

He added that Labour had called on the government to end the five-week wait for the first payment and to provide any advances as grants, rather than loans.

A government spokesperson said: “We have announced a £400 million package of support for this winter and beyond, including £170m to help families stay warm and well fed, millions in support for food aid charities and £220m to help children through the holiday activities and food programme.”