The Secretary of State reviewed the benefit cap levels and decided they should be increased in line with CPI in the year to September 2022 (10.1%) in April 2023.

The Secretary of State undertakes an annual review of benefits and pensions. CPI in the year to September (published by the Office for National Statistics in October) is the latest figure the Secretary of State can use to allow sufficient time for the required legislative and operational changes to be made before new rates can be introduced at the start of the new financial year.

All benefit up-rating since April 1987 has been based on the increase in the relevant price inflation index in the 12 months to the previous September, as happens now. Using the same benchmark every year ensures consistency over time, allowing uprating to balance out over a number of years.

For up-rating 2022/23 the Secretary of State announced the outcome of her annual review to Parliament on 25 November 2021 and from April 2022 benefits and pensions will increase by 3.1%.

No assessment has been made.

The latest statistics on the number and proportion of children who are in low income families by local area, covering the six years, 2014/15 to 2019/20, can be found in the annual publication: Children in low income families: local area statistics 2014 to 2020 - GOV.UK (www.gov.uk)(opens in a new tab).

This Government is committed to reducing child poverty and supporting all low-income families, and believes work is the best route out of poverty. In 2019/20, children in households where all adults were in work were around six times less likely to be in absolute poverty (before housing costs) than children in a household where nobody works.

We are giving the lowest earners a pay rise by increasing the National Living Wage by 6.6% to £9.50 from April 2022, and making permanent changes to Universal Credit, worth £1000 a year on average, to two million in-work claimants.

To support low income families further, we have increased the value of Healthy Start Food Vouchers to £4.25, helping eligible low income households buy basic foods like milk, fruit and vitamins. We are also investing over £200m a year from 2022, to continue our Holiday Activities and Food programme which is already providing enriching activities and healthy meals to children in all English Local Authorities. The Chancellor has extended the Household Support Fund to £1 billion to help vulnerable families.

There are currently no plans to use Office for National Statistics Household Cost Indices to up-rate Universal Credit. The Household Cost Indices to be published by Office for National Statistics in May are experimental statistics and still in development.

The Secretary of State undertakes an annual review of benefits and pensions, and the Consumer Prices Index (CPI) in the year to September this approach has been in place since 1987 is the latest figure that the Secretary of State can use to allow sufficient time for the required legislative and operational changes before new rates can be introduced at the start of the new financial year.

CPI has been the default inflation measure for the government’s statutory annual review of benefits since 2011.

CPI has a basket of goods and services that is relevant to pensioners and benefit recipients, is the target level of inflation used by the Bank of England and is an internationally recognised measure.

UC standard allowances will be up-rated in April-22 in line with the September-21 CPI figure of 3.1%. A full list of how each UC element will be uprated can be found at: https://researchbriefings.files.parliament.uk/documents/CBP-9439/CBP-9439.pdf.

In 2022/23 spend on UC will be around £1.1bn higher because of the uprating of the UC standard allowances and various UC elements.

I refer the Hon. Member to my response to Parliamentary Question 126529 answered 25^th February 2022.