Ipswich Unemployed Action.

Campaigning for Unemployed Rights.

Trussell Trust fears the next stage of Universal Credit will see Foodbank Use Soar.

with 12 comments

Image result for the next stage of universal credit trussell trust new report

The Trussell Trust has published this Press Release, which should be taken very very seriously indeed.

Not least because many of our contributors are already on Universal Credit and many will also be affected by “managed migration” onto Universal Credit.

Charity warns next stage of Universal Credit could further increase foodbank use.

Anti-poverty charity The Trussell Trust fears the next stage of Universal Credit – which will see three million people moving from tax credits and the old benefits system onto the new system – could lead to a significant increase in foodbank use as new research highlights a major increase in the proportion of foodbank referrals made for people moving onto Universal Credit.

Issues with benefits are the main reason for all Trussell Trust foodbank referrals. Analysis of data from frontline agencies referring to foodbanks across the UK between April 2016 and April 2018 shows that benefit transitions, most likely due to people moving onto Universal Credit, are increasingly accounting for more referrals and are likely driving up need in areas of full Universal Credit rollout. Waiting for the first payment is a key cause, while for many, simply the act of moving over to a new system is causing hardship.

The findings come as the Department for Work and Pensions finalises its plans for the next stage of Universal Credit to take to Parliament later this month. Until now, only people making a new application for benefits in certain areas have been able to apply for Universal Credit. This next stage – ‘managed migration’ – will see the three million people currently receiving tax credits or benefit payments under the old system sent a letter telling them to reapply for these payments under Universal Credit.

The report  (The next stage of Universal Credit. Moving onto the new benefit system and foodbank use) says,

EXECUTIVE SUMMARY

The rollout of Universal Credit to all Jobcentres will soon be complete, and the next stage of Universal Credit will begin. 3 million people currently claiming benefits and tax credits will have to move onto the system. The Trussell Trust is concerned that, given the links between Universal Credit, financial hardship, and foodbank use, this next stage could lead to increased financial need and more demand for foodbanks. The report uses referral data from Trussell Trust foodbank vouchers to examine the impact of Universal Credit on foodbank use, and finds that:

  • When Universal Credit goes live in an area, there is a demonstrable increase in demand in local Trussell Trust foodbanks. On average, 12 months after rollout, foodbanks see a 52% increase in demand, Credit for 3 months or less. This increase cannot be attributed to randomness and exists even after accounting for seasonal and other variations.
  • More detailed foodbank referral data show that benefit transitions, most likely due to people moving onto Universal Credit, are increasingly accounting for more referrals and are
    likely driving up need in areas of full Universal Credit rollout. Waiting for the first payment is a key cause, while for many, simply the act of moving over to a new system is causing hardship.

This poses serious questions for the next stage of Universal Credit, where many people could lose their benefits entirely or find themselves with less income. The Department’s current plans involve sending letters to people informing them their claim will be terminated if they do not apply for Universal Credit within a four week period. Each claimant will then have to wait at least five weeks for their first payment.

Emma Revie, Chief Executive of The Trussell Trust, explains:

“We created our benefits system in this country to free people from poverty, not lock them into it. As we look at the current plans for the next stage of Universal Credit, we’re really worried that our network of foodbanks could see a big increase in people needing help. Leaving three million people to wait at least five weeks for a first payment – especially when we have already decided they need support through our old benefits or tax credits system – is just not good enough. 

“It doesn’t have to be like this. We know the problems people are likely to face as they move over to the new system, so we can learn from them. The Department for Work and Pensions has shown they can act on evidence from the frontline to make a real difference to people who need our benefits system’s vital support. Now is the time for our Government to take responsibility for moving people currently on the old system over, and to ensure no one faces a gap in payments when that moves happens. Universal Credit needs to be ready for anyone who might need its help, and it needs to be ready before the next stage begins.”

The Guardian reports:

Trussell Trust calls for urgent changes to policy of moving 3m people on to new system

Last month the mayor of London, Sadiq Khan, warned that managed migration posed a “significant threat of harm” to vulnerable claimants, and that the rollout should be paused to enable stronger protections to be put in place.

Universal credit, which rolls six working-age benefits into one monthly payment, has been dogged by delays – it is currently six years behind schedule – and has been much criticised over design flaws that leave thousands of claimants in hardship.

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Written by Andrew Coates

October 5, 2018 at 9:28 am

12 Responses

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  1. Proof of the above story, “The local charity, based in the city centre, is warning that the next stage of Universal Credit, which will see millions having to reapply for their tax credits and benefits, could lead to a big increase in people needing handouts.

    Until now, only people making a new application for benefits across the UK have gone onto Universal Credit, with the Hull roll out due to begin in December.

    But, from the middle of 2019, the three million people already receiving a benefits or tax credits payments under the old system will get a letter saying that money will stop and they need to apply online for Universal Credit.”

    Andrew Coates

    October 5, 2018 at 2:57 pm

  2. All this and expected to manage the online account.While the customer adviser was explaining to me that the need to attend the jobcentre was less under Universal Credit due to this online account then it opens up the question of future role of Jobcentres and staff presence.

    The Jobseekers allowance (green) section doesn’t open here until 10am even the Jobcentre is open at 9am this means no signings’ before the former time.

    ken

    October 5, 2018 at 4:10 pm

  3. The need to attend the joke centre isn’t less due to universal crap online account I have to see coachy every bloody week & she is a right bully.

    Violet

    October 5, 2018 at 4:53 pm

  4. Reblogged this on Britain Isn't Eating!.

    A6er

    October 5, 2018 at 5:55 pm

  5. if they do ti slow enuf noone will notice or care

    dimebar

    October 6, 2018 at 7:42 am

  6. Andrew Coates

    October 6, 2018 at 10:23 am

  7. wy are folk woried wen the prime minister sed austeriti is ovr

    dimebar

    October 6, 2018 at 12:35 pm

    • and how much money did we pay of our national debt in 10 years 0.00p

      superted

      October 6, 2018 at 12:51 pm

    • ye lik thi benift feize no1 givs a flieing fany pad aniway unles it efects em

      milkybar

      October 6, 2018 at 1:05 pm

  8. Have a read at the handout leaflets (participant and employers) for these schemes. It is the same old, same old ‘work experience’ baloney. You would have to be MAD to sign up for this shit!

    Participant -http://momentumskills.org.uk/images/pdfs/15836J_-_Momentum_Participant_draft_2.pdf
    Employer – http://momentumskills.org.uk/images/pdfs/15836J_-_Momentum_Employer_leaflet_draft_2.pdf

    No Momentum

    October 7, 2018 at 9:32 am

  9. “We have a a bank of committed and enthusiastic candidates ready to fill your staffing needs.!

    No Momentum

    October 7, 2018 at 9:36 am

    • its voluntary like the work n health programme. the trick is not to agree to it 😉

      yorkiebar

      October 7, 2018 at 9:42 am


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