| answer text |
<p>Entitlement to Universal Credit is determined by first assessing what a claimant
qualifies for, for example, housing costs and caring responsibilities. This can include
childcare of up to 85% of eligible costs, up to a limit of £1,108.04 for two or more
children.</p><p>The conclusion that very few people are affected by the limits described
comes from analysis using the DWP Policy Simulation Model, based on the Family Resources
Survey. [The PSM is a static microsimulation model which describes the tax and benefit
system of the GB population]. It produces financial outputs on a representative sample
of the GB population simulating a policy. The analysis in question is based on forecasts
which we produce for planning purposes and forecasting during fiscal events. It models
the legacy and Universal Credit system, and in particular the childcare policy described
above. Upon interrogation of the models, we found that while a handful of cases were
affected by the limits above, the number of these were too few to report statistically.</p>
|
|
