What is outrageous if that the UK prevents you from getting any benefit of you have any savings. It's basically encouraging you to not save any money.
If you are still unemployed whan that runs out your savings are taken into account but you can still have £16K. https://www.gov.uk/universal-credit/eligibility
A member of my family has just been on universal credit due to the pandemic impacting her work sector, and they still gave her benefits even with her having savings, it's slightly adjusted down, but she still got payments.