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Martin Lewis hits out at ‘misunderstanding’ over Universal Credit claimants amid growing calls for rise

Martin Lewis has hit out at a "misunderstanding" that the benefits row within the Tory party is just related to unemployed people.

Liz Truss is facing pressure to boost benefits in line with inflation, which has soared in recent months to levels unseen in generations.

On Thursday, the Money Saving Expert founder responded to people framing the debate “as if it were workers v unemployed”.

The consumer champion highlighted that some 40 per cent of Universal Credit recipients are in fact in employment.

Mr Lewis said: “I’m seeing some misunderstanding the benefits debate as if it were workers v unemployed.

“Roughly 40 per cent of those who receive Universal Credit get them as in-work benefits to top up low incomes. Many others too have disabilities or mental health problems making work difficult.”

The row over benefits is the latest issue to plague the Tory party debate over supporting struggling families through the cost of living crisis.

Earlier on Thursday, Tory party chairman Jake Berry said the government needs to wait until new inflation figures are available in November before making a decision on uprating benefits.

He told LBC: “Rather than people expecting us to guess, we’ve got to wait until those figures are available, at which point the secretary of state for Work and Pensions and the chancellor will decide how those benefits should be uprated, that will come to the Cabinet, and they will be discussed and a decision will be announced in due course.

“You simply cannot make a decision on figures you do not currently have.”

Meanwhile, Sir Keir Starmer said benefits should rise with inflation - currently at 9.9 per cent - but suggested it was not for him to say whether some workers’ pay should do the same.

Asked if workers’ pay should increase to match inflation, and given the examples of workers, nurses, teachers and others, Sir Keir said: “I think that’s a question for each of the negotiations, exactly where it lands. But my job as leader of the Labour Party is to make sure we get a Labour government so we can fix the underlying problems.”

He said he was clear on benefits rising with inflation “because the government directly controls benefits and the others are negotiated with the different bodies”.