The bonus was first rolled out in 1972. Had it been increased in line with inflation, it would be worth £130 today
The Government is being urged to increase the value of the £10 Christmas Bonus for people on benefits as the payment that was introduced nearly 50 years ago is only worth the equivalent of 76 pence in today's money, a charity has said.
The one-off, tax-free bonus from the Department for Work and Pensions (DWP) is designed to help with the extra costs associated with the festive season. Had it been increased in line with inflation, it would be worth nearly £130 today, according to Turn2us.
However its value has stayed the same, meaning it is worth far less for recipients now than when it was first rolled out in 1972.
People on Universal Credit, which has replaced six benefits with one monthly payment, are no longer entitled to the bonus.
Turn2us called on the DWP to U-turn on scrapping the £10 payment for Universal Credit claimants and to increase the bonus in line with inflation so that it can offer more support during Christmas.
“In 1972 £10 could go a long way and would have been enough to help see a family through the festive period. Today it’s barely enough to buy a joint of meat - let alone a full Christmas dinner," said head of communications Sara Willcocks.
The anti-poverty charity said that in 1972, £10 would stretch to 100 loaves of bread, a new fridge, 125 cans of tomato soup, a second hand car or 71 pints of beer.
Last year the average cost of Christmas dinner for families was upwards of £26.
“We urge the Government to not just keep the Christmas Bonus but to increase it, at least in line with the rate of inflation, and to remember the reasons why it was established in the first place," said Ms Willcocks.
“This would go a small way to giving people the helping hand they need at what is one of the most difficult times of year for people struggling financially.”
Posted: Sat Dec 21, 2019 5:58 pm