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Higher work allowances have a positive impact on work incentives allowing a claimant to keep more of their earnings before Universal Credit starts to be reduced.

Lord Freud has said in response to questions by Baroness Grey -Thompson that work allowances won't be introduced for second earners in a household due to complexity.

'...We believe that investing in higher work allowances that benefit all households, rather than adding complexity by creating another work allowance for second earners, is the right way to ensure that as many households as possible have someone in work, so that work is paying for that household...'

 

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