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Benefit claimants face mounting debt burden, says thinktank

Resolution Foundation study suggests over a third of people who claimed universal credit after pandemic began have seen debts grow

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More than three in 10 people who began claiming universal credit after the start of the pandemic last year have acquired new debts, or seen their existing debts grow, according to a new report by the independent Resolution Foundation thinktank.

The study – which will add to pressure on the chancellor, Rishi Sunak, not to cut levels of support in his budget next month – finds that of almost 6 million people who are currently claiming it, about three in five made a new claim in 2020.

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