Rejected petition Disregard student loan as 'unearned income' in Universal Credit claims.

Under the new Universal Credit system, some of the most vulnerable students are being forced to live below the poverty line. Despite having to be paid back (with interest), a student loan is currently regarded by DWP as 'unearned income' meaning many lone parent students are not receiving UC.

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This is because for every £1 of 'unearned income', £1 of Universal Credit will be deducted from the claim. For example; the maximum student loan is £675 per month therefore, £675 will be deducted from any money due to be paid by UC. This includes the child element which is not protected from unearned income. This means that many lone parent students are eligible for £0 UC despite previously receiving a legacy benefit such as Child Tax Credits. Student loan should not effect this.

This petition was rejected

Why was this petition rejected?

There’s already a petition about this issue. We cannot accept a new petition when we already have one about a very similar issue.

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https://petition.parliament.uk/petitions/271824

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Date submitted 20 October 2019
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