Ipswich Unemployed Action.

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Archive for the ‘Tories’ Category

Amber Rudd, Secretary of State for Work and Pensions: Universal Credit and Food Banks, a Photo Novel.

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On 16 November 2018, Rudd was appointed Work and Pensions Secretary by Prime Minister Theresa May, and succeeded Esther McVey in steering and leading the Department for Work and Pensions.

She has “promised to fix Universal Credit and make it ‘better’.”

It’s a busy job fixing things.

Here are some of her Tory colleagues doing their bit for the poor.

Four near identical tweets from Tories going to donate to foodbanks

 

Bless!

Or not…..

Update: Tory Ross Thompson’s latest good works:

 

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Written by Andrew Coates

December 4, 2018 at 1:06 pm

“Thousands of people will face a miserable Christmas” – UNITE Survey of Universal Credit Claimants.

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The Mirror reports,

Thousands of are facing a “very bleak Christmas” after a new survey found three quarters of people on botched benefits system Universal Credit said they had been left saddled with debt.

Three in five claimants said they had been pushed into struggling with housing costs because of the new welfare system.The survey of over 1,000 Universal Credit claimants was carried out by Unite the Union.

Other respondents raised the fear of eviction, and many reported problems with monthly budgeting on a low income.

The Department for Work and Pensions blasted the study as “completely unscientific” and said some of those questioned might not even be on UC.

Yet the DWP’s own research shows three quarters of those who moved onto UC struggle with bills constantly or “from time to time.”

Here is the UNITE Press Release:

Universal Credit pushing people into debt and housing problems reveals survey

More than three quarters of respondents in a survey of over 1,000 Universal Credit (UC) claimants said they had been put into debt, or pushed further into debt by UC with some forced to use foodbanks to survive as well as borrowing from friends and family. Shockingly 60 per cent of respondents said that they had been pushed into housing cost problems.

Thousands of people will face a miserable Christmas as a result of having to claim UC according to the new survey by Unite the Union published to coincide with a national day of action against UC on 1 December 2018 (see notes to editors).

During six weeks of October and November 1,141 people responded to the survey. The findings make grim reading and identify a number of issues facing a significant number of people claiming the benefit.

Rent arrears were raised by a number of people and the fear of eviction was evident in the responses. Many claimants reported the problems of monthly budgeting on a low income. Disabled people and those who are sick reported a huge drop in income as a result of moving on to UC.

The vast majority (82 per cent) have a negative view of the new benefit and a significant number had problems either claiming the benefit on-line or maintaining their claim through an on-line journal.

Unite is using the evidence collected from the survey to lobby politicians and is calling for a stop to the controversial new UC system.

Unite has called for Universal Credit to be scrapped before more damage is done.

Unite head of Community, Liane Groves said: “Universal Credit is causing misery and suffering as the survey results clearly show. Despite knowing this, the government is still intent on ploughing ahead regardless, while claimants are descending into debt, relying on food banks and getting into rent arrears and in some cases being evicted from their homes.

“Evidence from voluntary and community organisations as well as unions and local authorities seems to be ignored as the government presses on with the implementation of Universal Credit.

“Access to the benefit has been devised for the benefit of administrators not the recipients of Universal Credit. The damage done by forcing people into debt, far from helping people into work, as the government claims, is driving people away from the job market as spiralling debt impacts on people’s mental and physical wellbeing.

“As we head into winter, many claimants cannot afford warm clothing for themselves or their children and don’t have enough money to heat their homes. It will be a very bleak Christmas for thousands of families who are being abandoned by this government.”

“The survey was conducted outside job centres by volunteers and was also completed on-line. Unite will be submitting the raw data from the survey to independent academic researchers with a view to further analysis of the responses.”

 

Written by Andrew Coates

November 30, 2018 at 11:29 am

Government Tries to Solve Housing Benefit (Local Housing Allowance) Universal Credit Disaster.

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Looks Complicated and is…

The latest in a long run of stories about Universal Credit:

Edinburgh families forced to wait five weeks to receive Universal Credit

FAMILIES face being left without cash over Christmas when Universal Credit starts being rolled out in Edinburgh on Wednesday.

Claimants will be forced to wait five weeks before they receive the new benefit, meaning first payments will not be made until January.

The shake-up is expected to mean more people relying on foodbanks and also lead to a rise in rent arrears.

Green councillor Susan Rae said: “The immediate impact is debt because the gap people have to wait for payment will throw people into rent arrears.

What is the background to this problem?

The DWP says,

You could get Housing Benefit to help you pay your rent if you’re on a low income.

Use a benefits calculator to check if you can get Housing Benefit before you apply. You may need to claim Universal Credit instead.

Housing Benefit can pay for part or all of your rent. How much you get depends on your income and circumstances.

You can apply for Housing Benefit whether you’re unemployed or working.

And,

The housing element of Universal Credit

When people are moved onto Universal Credit, the single payment for their household will include a ‘housing element’. This will replace the help they currently get from Housing Benefit.

Universal Credit – including the housing element – is paid monthly in arrears.

Direct payment of rent – what is it and when is it coming in?

If you’re a registered social landlord and you receive your tenants’ rent directly from your local council, this will change under Universal Credit. Instead, tenants will receive their ’housing element’ direct and be responsible for paying it to you themselves.

Before the new system comes in, some tenants who are not yet claiming Universal Credit might be selected to start receiving their Housing Benefit payment direct.

The Department for Work and Pensions has committed to consult with social landlords before deciding whether to move their tenants onto direct payments. They will take into account any information you provide about your tenants’ ability to manage with direct payments.

If your tenant can’t manage their rent payments

A tenant can ask to have their housing payments switched to the landlord for a period of time while they get the support they need to get their money under control.

If a tenant has rent arrears, then, as their landlord, you can ask for the rent payments to be temporarily switched to you.

When Amber Rudd became the latest in a long list of DWP Ministers she said (Sky 23rd of November).

The new work and pensions secretary also said she was going to review the five-week wait time for new claimants to receive their benefits; payment systems for the housing element of Universal Credit; access to cash and the repayment of upfront loans.

She said: “We need to give [claimants] more confidence in the fact that they can access cash immediately.

“You know people are nervous about moving from legacy benefits to Universal Credit because they cannot afford quite often to be without cash for a few days, a week, two weeks, three weeks.

“I have to make sure that they can have confidence in access in earlier.”

It does not take a genius to work out that with money in your hand, when you have little, it is tempting to spend on other things than rent.

But there are other problems:

If you live in a private sector property, it may not cover your full rent as it will take account of where you live and, if you are under age 35, whether you are expected to share accommodation.

If you live in a council or housing association property you will be asked about the number of bedrooms you have to compare with how many you are thought to need, to see if you are under occupying the property.

And there is a cap on the rent anybody can get.

Which seems reasonable but with rents in some cities…

So you can be out of pocket in the first place.

So, this is the Government’s latest attempt to solve some of these multiple problems by patching up relations with the (better) landlords.

Inside Housing today reports:

The Department for Work and Pensions (DWP) will be promoting its Universal Credit landlord portal with a six-week social media campaign, starting today.

The portal allows social landlords to ‘verify’ claimants’ rent, which makes it easier for claimants to set up a claim for the housing elements of the benefit payment swiftly.

It also allows landlords to make a request for tenants to be switched back onto the direct payments arrangement, where the rental payments are paid directly to them rather than to the tenant.

This is the case for legacy housing benefit, but is a key reform introduced by the Universal Credit system.

There are currently 538 registered landlords from the social rented sector using the portal.

Justin Tomlinson, minister for family support, housing and child maintenance, said: “The landlord campaign aims to increase awareness of the ways landlords can support Universal Credit, and receive their payments in time. It’s fantastic we’ve signed up 538 registered landlords from the social rented sector already – the feedback we’ve had so far has been overwhelmingly positive.”

“The campaign is spearheaded by partners in the sector and features real life case studies from landlords who explain in their own words their experience of working with the Department of Work and Pensions to support tenants who are claiming Universal Credit.”

A spokesperson for housing association Riverside said: “The landlord portal allows us to verify tenants’ rent and offer support to them early in the Universal Credit process.”

When social landlords enrol with the landlord portal they are invited to accept ‘Trusted Partner status’, allowing them to apply for alternative payment arrangements such as managed payments.

Written by Andrew Coates

November 26, 2018 at 5:34 pm

Universal Credit: Costs More Than Previous System and makes 60,000 Families Worse off.

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Resolution Foundation research suggests 600,000 families could be worse off

Universal credit, the government’s flagship welfare policy, will be more expensive than the system it replaces, according to a new report.

The rollout of the reformed system, which brings six benefits into one, has been hampered by delays amid widespread concern that the changes could force people into poverty, while there have also been reports that universal credit, which has undergone phased introductions across the UK, has increased reliance on food banks.

In the autumn budget the chancellor, Philip Hammond, announced that an extra £1.7bn would be injected into universal credit, which combined with the projected £3.2bn higher benefit take-up would make it more expensive than the legacy system it replaces, the study states.

The Resolution Foundation says.

This briefing note focuses on the implications of recent changes to Universal Credit (UC) – in particular the £1,000 increase in work allowances announced in Budget 2018 – for the number of winners and losers from the switch to this new benefit system, for UC’s generosity and for its impact on work incentives.

David Finch, Laura Gardiner.

Key findings

  • The Budget 2018 work allowance increase means that the number of working families that gain from the switch to UC increases by 200,000 – from 2.2 million families previously to 2.4 million families now. Among working families with children, the number (1.5 million) expected to be better off under UC now matches the number (1.5 million) expected to be worse off.
  • Relative to the pre-Summer Budget 2015 UC system, the work allowance and taper changes of recent years have restored or improved incentives to enter work at low earnings for renting single parents and the first earner in renting couples with children; and reduced incentives to enter work at low earnings for home-owning parents who are either single or first earners in couples, and non-parents without disabilities.
  • Single parents and second earners in couples with children – both very likely to be women – are most responsive to work incentives. As such, it is a concern that UC continues to incentivise single parents (particularly renters) to reduce working hours below the 16 hours backstop present in the tax credits system. It also still fails to sufficiently incentivise work for second-earner parents.
  • One of UC’s major advantages is that it gets rid of the very highest rates at which benefits are withdrawn in the existing system, which can leave people with less than 10p for each additional £1 earned. However, the fact that taxpayers on UC keep just 25p of each additional £1 earned (even less when paying for childcare costs) means that challenges remain.

Recommendations

  • We suggest boosting single parent work allowances, at a minimum, to the equivalent of 15 hours a week on the wage floor, and introducing a second earner work allowance for those in couples with children.
  • Financial incentives to progress in work should be boosted by gradually lowering the taper rate. In addition, planned progression pilots should test a far more ambitious system of practical support to help low-paid workers progress and secure better-quality roles.

Another day, yet another story:

Universal credit: Rent arrears double for benefit claimants

BBC.

Council tenants on universal credit have on average more than double the rent arrears of those still on housing benefit, a BBC investigation has found.

In Flintshire, north Wales, one of the first counties to test the new payment, the council says rent arrears have gone up by £1m.

One claimant there said a mistake left him with just £29 a month to live on.

But the UK government said it had listened to concerns and universal credit was working well.

The BBC contacted every local authority in the UK that has council homes about their arrears. The results from the 129 councils that responded showed the average amount owed by tenants claiming universal credit across the UK is £662.56. For those still on housing benefit it is £262.50

Flintshire council said this week that tenants on universal credit in the county owe on average four times as much rent as those on the old benefits. At times it has been even higher; in September it was six times as much.

In the 18 months since universal credit was introduced in Flintshire, the council’s rent arrears have increased by £1m, something officials say is largely due to the new benefit.

Ipswich:

Ipswich & District Trades Union Council

No automatic alt text available.

Open meeting on the Universal Credit Crisis with key speaker Mark Page, a regional officer in the PCS with a background in the DWP.

Hosted by Ipswich & District Trades Union Council, all welcome.

Mark Page, Regional Officer PCS  will speak on the UNIVERSAL CREDIT CRISIS.

Every day another horror story about Universal Credit hits the news headlines, how and when will it end?Following debate at Congress, the TUC’s policy is for Universal Credit to be stopped and scrapped. What should replace it?

7.30pm Wed Nov 21st 2018 Unite Office, 13, Arcade St, Ipswich

This meeting is part of the build up to Unite Community’s National Day of Action on Universal Credit on Sat Dec 1st 2018.

Written by Andrew Coates

November 12, 2018 at 11:18 am

DWP a “fortress” in “denial” about Universal Credit Failures.

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Universal Credit has again  has hit the headlines.

Our newshounds are already scanning the media as this is written…

 

This Morning:

DWP has ‘fortress mentality’ on universal credit, MPs say

 Guardian.

Parliamentary committee says department is unresponsive to difficulties people are facing.

The committee said McVey’s department has repeatedly been unresponsive to on-the-ground evidence about the practical problems with universal credit, and what it called the “unacceptable hardship” faced by many.

The department’s systemic culture of denial and defensiveness in the face of any adverse evidence presented by others is a significant risk to the programme,” the MPs said, citing the DWP’s response to an earlier critical report by the National Audit Office (NAO).

Here is the source of the article:

 Universal credit: delivery causing unacceptable hardship.

Public Accounts Committee 

The introduction of Universal Credit is causing unacceptable hardship and difficulties for many of the claimants it was designed to help. However, while the Department is responsive to feedback on its digital systems from staff, it has persistently dismissed evidence that Universal Credit is causing hardship for claimants and additional burdens for local organisations, and refuses to measure what it does not want to see. In 2013 this Committee raised concerns about the Department’s culture of reporting good news and denying problems that emerge. In further reports in 2015 and 2016 the Committee warned about the Department’s continued lack of transparency. It is hugely regrettable that the Department has not heeded these warnings. Instead of listening to organisations on the frontline supporting claimants, the Department has continued with its fortress mentality and as a result is failing claimants who struggle to adapt to the way Universal Credit works.

The recent announcement by the Secretary of State of a further delay and a “slow and measured” approach to the rollout is not a solution on its own and the Secretary of State has admitted that some claimants will be worse off under Universal Credit. If the current problems are not addressed and the funding needed is not forthcoming the hardship is likely to continue. It needs to work with third party organisations to help shape the new programme in light of the real life experiences of recipients.

More:

Report findings

The report concludes that:

  • DWP’s dismissive attitude to real-world experience is failing claimants
  • Recent announcement of delayed roll-out is not a solution
  • Department must work with third-party organisations to shape programme

The introduction of Universal Credit is causing unacceptable hardship and difficulties for many of the claimants it was designed to help.

However, while the Department is responsive to feedback on its digital systems from staff, it has persistently dismissed evidence that Universal Credit is causing hardship for claimants and additional burdens for local organisations, and refuses to measure what it does not want to see.

In 2013 this Committee raised concerns about the Department’s culture of reporting good news and denying problems that emerge. In further reports in 2015 and 2016 the Committee warned about the Department’s continued lack of transparency.

“Slow and measured” is not a solution

It is hugely regrettable that the Department has not heeded these warnings. Instead of listening to organisations on the frontline supporting claimants, the Department has continued with its fortress mentality and as a result is failing claimants who struggle to adapt to the way Universal Credit works.

The recent announcement by the SoS of a further delay and a “slow and measured” approach to the rollout is not a solution on its own and the SoS has admitted that some claimants will be worse off under UC.

If the current problems are not addressed and the funding needed is not forthcoming the hardship is likely to continue. The Department needs to work with third party organisations to help shape the new programme in light of the real life experiences of recipients.

Chair’s comment

Comment from Public Accounts Committee Chair Meg Millier MP

“This report provides further damning evidence of a culture of indifference at DWP – a Department disturbingly adrift from the real-world problems of the people it is there to support.

Its apparent determination to turn a deaf ear to the concerns of claimants, frontline organisations and Parliament is of real concern. The culture needs to change.

A Department in denial cannot learn from its mistakes and take the action necessary to address the desperate hardship suffered by many Universal Credit claimants.

DWP’s dismissive attitude points to a troubling pattern of behaviour in the Department – something highlighted by our recent report on errors in Employment and Support Allowance.

The Department’s painfully slow approach to correcting underpayments, years after it accepted responsibility, indicated weaknesses at the highest levels of management.

As a priority the Department must demonstrate a tangible shift in the way it listens and responds to feedback and evidence.

Meanwhile, the Government’s recent announcement of changes to the roll-out of Universal Credit offers no guarantee that the problems facing claimants will be resolved.

We will be watching Monday’s Budget carefully and, in its formal response to this report, expect Government to take meaningful action on our recommendations.”

Lo and Behold!

9.55 am this Morning (Guardian )

Alok Sharma insists jobcentre staff and claimants are happy with benefits overhaul.

Speaking on BBC Radio 4’s Today programme, Sharma insisted the message he was getting from jobcentre staff and claimants was that they were much happier with universal credit.

However, he refused to be drawn when it was put to him that a report by a charity that runs a network of more than 400 food banks had found they were four times as busy in areas where the full universal credit service had been in place for 12 months or more. The Trussell Trust recorded an average 52% increase in the number of three-day emergency food packages distributed.

Prompted to answer three times, Sharma said another report by MPs had suggested there were “very many reasons” why people used food banks and they could not be attributed to just one factor.

Sharma, who rejected claims that his boss, Esther McVey, had been ducking out of media appearances, and said he was responsible for the government’s increasingly beleaguered benefits policy, claimed it was working because “cliff edges” that had previously disincentivised people from working had been removed.

He said he had been visiting jobcentres, most recently in Harlow in Essex, adding: “There are absolutely brilliant people in DWP working as work coaches and they tell me that for the first time in their lives they are doing what they came in to do, which is to provide that one-to-one support which wasn’t available under the legacy system, and that’s a message I get from claimants when I talk to them.”

Yet Quin notes,

The DWP’s own survey found 40% of people were experiencing financial difficulties eight or nine months into their claim, and McVey, the work and pensions secretary, recently admitted the rollout would leave “some people worse off”.

The Mirror adds,

Universal Credit: Thousands face having no payments this Christmas – how to make sure you’re not hit

The new benefit Universal Credit is rolling out to millions, and many could find themselves caught in a gap over Christmas. Here’s how to avoid being caught out.

Universal Credit is rolling out to about 100,000 people a month, leaving a trail of rent debt and food banks in its wake.

The six-in-one benefit is meant to make welfare easier and fairer, but it’s been bundled up with cuts that MPs warn cause “unacceptable hardship”.

The Department for Work and Pensions (DWP) has been blasted for being “in denial” about the problems by Parliament’s public spending watchdog.

Meanwhile Christmas is fast approaching – and thousands of families face the risk of a financial gap over the holiday season.

That’s because there is a standard five-week wait for your first payment when you start claiming Universal Credit.

The paper offers this suggestion:

But there is a way to avoid being high and dry, and not everyone is affected.

So how do you know if you’re hit, and what action should you take? Here’s a guide.

See also this important article by Kitty S Jones.

Former Universal Credit staff reveal call targets and ‘deflection scripts’

DWP Tweets Boosting Universal Credit, “playing People like Fools.”

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Frankie may have faults but he sums it up.

For some very fathomable reasons Twitter, Facebook, and all the rest, are the favourite playgrounds of charlatans, cranks, nutters, and….the DWP.

This Blog is no great fan of Frank Field.

Or indeed close.

Few are, outside of his pet tarantula and his hair shirt.

But he is still there, ferreting away at the Tory Mess that is Universal Credit.

The Mirror reports today,

DWP blasted over ‘misleading’ Universal Credit advert ‘that is playing people for fools’

The Tory government has been accused of “playing people for fools” with a “misleading” advert about Universal Credit .

The image on Twitter last week boasted the six-in-one benefit “mirrors the world of work” because it is paid monthly and “paid to you like wages”.

But Frank Field, chairman of the Commons Work and Pensions Committee, claimed these statements were misleading.

That is because many low-paid workers are given their wages weekly, not monthly, Mr Field said.

UC is also paid to one representative of the household – not each person. Activists have warned this policy worsens domestic abuse.

Mr Field has now written to complain about the letter to UC programme director Neil Couling in the Department for Work and Pensions.

His letter demands to know “how misleading advertising such as this is compatible with, and supportive of, the Department’s commitment to transparent and open communication with claimants and stakeholders over Universal Credit.”

Mr Field claimed: “These so-called “facts” about Universal Credit are nothing of the kind.

We are waiting for the DWP to repeat this one in a campaign to publicise the successes of Universal Credit.:

DWP admits inventing quotes from fake ‘benefits claimants’ for sanctions leaflet

DWP

Written by Andrew Coates

October 22, 2018 at 3:11 pm

Benefits Freeze Adds to Universal Credit Misery.

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Image result for universal credit cartoon

More than the usual ‘system error’.

The controversy about Universal Credit continues to develop.

Today the Currant Bun, not the Claimants’ chum,  headlines

Universal Credit revolt by THIRTY Tory MPs as they urge Chancellor to plug £2bn black hole which will leave millions worse off.

At least two dozen have signed a letter to the Treasury highlighting their fears to the Chancellor – urging him that an extra £2billion is needed for the reform.

Around a million people are expected to go onto Universal Credit next year as part of the rollout to everyone over the next five years.

The letter reads: “As it stands 3.2million working families are expected to be worse off, with an average loss of £48 a week.

“Enabling hard working parents to keep more of what they earn and thus encouraging them to take up more work is at the heart of Conservative policy.

“This measure would boost the incomes of 9.6million low income parents and children.”

In July 2015, having promised £12 billion of welfare cuts – reportedly on the assumption that the Liberal Democrats would argue this down – George Osborne announced exactly that. Chief among these cuts was a further working age benefits freeze. So no matter what the rate of inflation was, benefits would not be increased in April 2016, 2017, 2018 or 2019.

One thing that risks being forgotten is the impact of the Benefit Freeze.

Last week (October the 13th) the Resolution Foundation published this.

Despite ‘the end of austerity’, April promises another deep benefit cut

Adam Corlett.

How important this nominal freeze would prove to be couldn’t be known exactly in advance – only predicted – as its real impact depends on inflation. At the time, it was thought that inflation would be below 2 per cent in every year, as the table below shows. At first, the inflation forecast actually proved too high, with very small price rises in 2015 and 2016. This meant that the benefits freeze had only a limited impact in its first two years. But with the Brexit vote and resultant price increases, CPI inflation reached 3 per cent in September 2017. Normally, that September figure would have been used to uprate working-age benefits for the next tax year but, due to the freeze, that didn’t happen. And now inflation for September 2018 is expected to be around 2.7 per cent. Working-age families will again be denied that inflationary benefits increase next April.

Overall, the real cut to many benefits from the four-year freeze is over 6 per cent (and that’s before considering separate or earlier cuts).

….

If we exclude pensioners and working-age non-parents, the impacts become even clearer. The average couple with kids in the bottom half of the income distribution will be £620 poorer in 2019-20 than if inflationary uprating had occurred since 2016-17, and the average poorer single parent will be £760 worse off. The April 2019 freeze alone will mean a £210 hit for an average poorer couple with kids and £260 for poorer single parents.

This chart is depressing to look at.

This, the long-term decline in the value of benefits, is significant.

Corlett’s conclusion is important:

Whether or not the final freeze goes ahead, there is also a tough question for the opposition parties. Labour, the SNP and the Liberal Democrats have all said they would end the freeze. But CPI uprating is already set to return from April 2020. The big question is whether those parties would actually undo the real term cuts that have already happened (i.e. though a real terms increase) if they got the chance, or if that £5 billion, 6 per cent cut will simply be accepted as a fait accompli.

The talk of the town may be of ‘the end of austerity’ and ‘Brexit dividends’, but for low to middle income working-age families – particularly parents – the outlook is quite different. On top of weak pay growth, their outlook includes a further benefits freeze, the transition to Universal Credit with its slashed work allowances, the phasing out of the valuable ‘family element’ and phasing in of a two-child limit. Ending the freeze one year early, with benefits rising just after Brexit day, would help to turn that outlook around.

This is exactly the issue, what exactly would the parties do to repair the damage caused by the benefit freeze?

Written by Andrew Coates

October 15, 2018 at 10:30 am