SINGLE parents working two days a week can get the same income as an employee on £60,000 a year, shock figures show.

Furious MPs yesterday urged Chancellor Jeremy Hunt to close the loophole.

A benefits loophole allows claimants to rack up income even if they are earning

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A benefits loophole allows claimants to rack up income even if they are earningCredit: Alamy

Figures show a single mum or dad with two children could receive £45,000 by working just 16 hours at the minimum wage.

A working person would have to be on nearly £62,000 a year to take home the same after tax.

Lee Anderson, the MP for Ashfield, Notts, said: “This is not fair on the hardworking taxpayer who can only dream of earning this amount of money.

“It beggars belief and needs to stop.”

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Universal Credit is capped for a single person but a working single parent is exempt, and would not pay any income tax.

Figures analysed by The Telegraph show a single parent paying £2,000 a month for rent in London would receive £36,336 a year in tax-free Universal Credit.

This would include a Local Housing Allowance rate of up to £365.92 per week for a two-bed flat, a standard allowance payment plus an extra monthly allowance for children, as well as childcare costs.

If the parent worked 16 hours a week at £9.50 an hour their gross income would be £44,567.

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If they instead worked three days, it would only edge up by £2,172 a year to £46,348.

Online forums show benefits claimants advising others to work no more than two days a week.

One person wrote: “I normally work 16 hours a week but did 32 hours a week for a month? I won’t be doing it again.”

Treasury officials confirmed they are looking at tackling the issue.

Lee Anderson MP says the system is unfair and should be tackled

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Lee Anderson MP says the system is unfair and should be tackledCredit: PA

This post first appeared on thesun.co.uk

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