Thousands of families and individuals on Universal Credit are having an average of £60 taken from their benefits payments every month.
There are around 7,100 Universal Credit claimaints in Dumfries and Galloway, many of which can have their benefits docked by the government to repay debts.
Figures show the number of people hit by deductions in this region is around 3,300 – almost half of those receiving the welfare system payout.
With £60 on average being docked, this money is often used to repay upfront loans that struggling claimants were forced to take out as they waited five weeks for their first Universal Credit payment.
Across the UK, the number of deductions rose by 54,200 to 2.3 million in the first quarter of this financial year. In total, £6.8million per month was withheld from their payments.
SNP MP Chris Stephens, who uncovered the figures, is proposing legislation to prohibit the UK Government from imposing deductions in cases where they will result in people being forced to rely on foodbanks.
He said: “The evidence couldn’t be any clearer. Deductions are making poorer people destitute.
“How can this poverty tax be allowed to continue in its current form as part of a welfare state that was originally created to eliminate destitution?
“That’s what I’ll be asking Labour and the Tories in Westminster when I present my proposal to bring an end to this injustice.”
Andrew Forsey, national director of the Feeding Britain charity, said: “Deductions have long acted as a recruiting sergeant for foodbanks. In the absence of any action from the Department for Work and Pensions, to bring down the rate of deductions, millions of people on the receiving end of this policy will struggle to put food on the table this winter.”
Elsewhere in Scotland, the highest number of deductions occurred in the east side of Glasgow, with 6,600 cases of Universal Credit payments being cut. Constituencies like Ayr, Carrick, and Cumnock also had high levels (4,700), while the more affluent East Dunbartonshire only recorded 1,000 cases.
A Department for Work and Pensions spokesman said: “We provide support to help people manage repayments and have reduced the standard cap on deductions twice. Universal Credit deductions are a last resort repayment method and help to recover taxpayers’ money when overpayments are made.
“But we know people are already struggling with the cost of living which is why the UK Government is bearing down on inflation and providing record financial support worth around £3,300 per household, including raising benefits by over 10 percent this year.”
