Report examines how deductions from Universal Credit are impacting people across Caerphilly Blaenau Gwent

An increasing number of Universal Credit claimants in Caerphilly and Blaenau Gwent are facing financial hardship due to deductions from their monthly Universal Credit payments, a report reveals.

The data in our Deductions From Universal Credit: Driving Up Poverty In Caerphilly and Blaenau Gwent report shows that between 2019 and 2024, the number of people seeking help with deduction-related issues rose by 74%.

Vulnerable groups, including disabled people, those with long-term health conditions, and families with children, are most affected. Many struggle to afford food, heating, or rent and often fall into debt.

The report highlights the toll on the mental and physical health of those we help. Some claimants say deductions exceed legal or agreed limits, while many report not being informed by the DWP or HMRC about the reasons or terms of the deductions. 

We have set out a series of recommendations in the report aimed at alleviating the impact of these deductions and ensuring a fairer, more transparent system for claimants.

Read the full report here.