Ipswich Unemployed Action.

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Archive for the ‘Universal Credit’ Category

Scottish Unions call for end to Universal Credit and for a “radical welfare system to replace it.”

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Does Universal Credit Offer a Greater Joy!

Scottish TUC Conference (Morning Star) – thanks Ken.

Unions should campaign for a radical welfare system to replace universal credit, delegates hear

Note

There are a number of motions about replacing Universal Credit making their way through the Labour Party policy making structure and the TUC (Ipswich Labour Party and Ipswich Trades Council have submitted one).

UNIONS should campaign not just for the scrapping of universal credit (UC) but draw up a radical welfare system to replace it, Scottish TUC delegates heard today.

A motion proposed by Edinburgh Trades Union Council called for the STUC to campaign for the replacement of UC as soon as possible with a system free from sanctions, outsourcing and benefits caps.

Speaking in favour of the motion, Public & Commercial Services (PCS) union delegate Steve West described UC as “a conscious strategy to demonise benefits claimants.”

He condemned the increased foodbank use, “cruel” assessments and outsourcing to the private sector that results from the system.

But Mr West emphasised that a replacement should not simply constitute a return to old benefits, which he said had resulted in many of the same problems before they were combined to form UC.

“The people of Scotland deserve a far better social security system than we already have, and the trade union movement can play an important role in making sure that happens,” he said.

PCS acting president Fran Heathcote told congress that 40 per cent of those responsible for administering UC are also in receipt of the benefit.

She accused the Department for Work & Pensions (DWP) of adopting a bunker mentality and refusing to address any of the problems raised by claimants and unions.

Ms Heathcote called for “a system that our members can take pride in delivering.”

Congress also heard from Unison delegate Helen Duddy, who gave a personal account of her granddaughter’s difficult experience with UC bureaucracy when she was diagnosed with terminal cancer in 2017.

“We’re a very strong, close family with strong ties to Unison, who helped us,” said Ms Duddy. “I would not like any other family to go through this scenario.”

National Union of Journalists delegate Lorraine Mallinder described how UC has been “an unmitigated disaster,” describing it as “tantamount to a super-sanction on freelancers.”

Supporting the motion, Unite delegate Tam Kirby told congress that the support of “every single trade unionist in Scotland” was required to end the UC benefits system.

UC is “the latest weapon they’re using against us in the class war they’re waging against us,” Mr Kirby said.

Meanwhile in the DWP:

We ran this story a few days ago but it continues to develop.

Independent Wednesday.

Ministers have been accused of keeping “alarming” findings about their flagship universal credit scheme under wraps for a year and a half.

MPs say it was “deeply irresponsible” to delay the release of the report, which suggests nearly half of claimants were not aware their tax credits would stop when they claimed universal credit, and 56 per cent felt they received too little information from HMRC.

The document was produced in November 2017 but only released this month to MPs who, in the meantime, have had to make “pivotal” decisions based on “partial” information, according to the chair of the Work and Pensions Committee Frank Field.

In a letter to senior ministers, Mr Field said the “excessively long delay” had taken place during ongoing decisions about the flagship welfare benefit, which have affected the “lives and incomes of millions of people”.

The Department for Work and Pensions (DWP) has repeatedly argued that universal credit is more generous than the old benefit system and provides a “safety net” for those who need it.

Our old friend Amber Rudd is still at it!

 

Written by Andrew Coates

April 17, 2019 at 10:07 am

Work and Pensions Committee treated “like dirt” for criticising Universal Credit.

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The Work and Pensions Committee site,

The Committee has today taken the exceptional step of publishing a follow up report to the Government’s response to its report on support for childcare as a barrier to work under Universal Credit.

Rt Hon Frank Field MP, Chair of the Committee, said:

“We on the Committee are frankly sick of these disrespectful Government responses that treat us like dirt and fail to engage with our robust, evidence-based conclusions. It’s not clear they’ve even read this one. Worse, in responding this way, Government dismisses the experience and evidence of the individuals and organisations that have taken the time, and made the effort, and are working with us to try to fix the unholy mess that is Universal Credit.

“This response in particular is simply not acceptable, and that is why we are taking the unusual step of issuing this report, demanding that they go back, look at what we and our witnesses have said, and come up with a second, decent response. This will not do.”

Powerful witness evidence

Among those who gave evidence so powerfully to the original inquiry was Thuto Mali, a single mum who was forced to turn down a well-paid job offer because she could not at that moment find the obligatory upfront cost of childcare so that she could start work.  The multiple problems of Universal Credit also forced her to turn, with her young son, to a foodbank at the Christmas before last. Save the Children recently informed the Committee that Thuto just won The Sun’s ‘Supermum of the Year’.

Correspondence published today between the Chair of the Committee and the Secretary of State on Universal Credit:

Today’s report says Government should now:

1)  review its response and provide a response which matches the consideration the Committee employed in an attempt to help parents to move into work, as the Government claims it is encouraging them to do. If the Government considers that the solutions the Committee recommended are not practicable, it should explain why and set out alternative means of addressing those problems.

2)  explain how, in the absence of plans to introduce direct payments, it intends to address the serious difficulties that both parents and childcare providers are experiencing with the current system

3)  explain the details of the pilots it is running to trial a more flexible approach to the provision of receipts for childcare costs, including where these pilots are being run, what options for providing evidence of childcare costs are being trialled, when the pilots started, how long they will run for and how they will be monitored;

4)  explain why it is so difficult to publish information about the use of the Flexible Support Fund, what analysis it has done of the additional administrative work that would be created, and if it will be published in full;

5)  explain its view on the recommendation that it should divert funding from the schemes aimed at wealthier parents (Tax Free Childcare and the 30 hours free childcare) towards Universal Credit childcare to help more people into work.

6)  commit to providing an analysis of the Government’s spending on the 30 free hours free childcare by income decile, to show which households are benefiting from this policy – in addition to the analysis on the impact of UC childcare cost caps it has already promised

By convention, the Government has two months from publication of a Committee report to respond.

MPs slam ‘dismissive’ and ‘disrespectful’ DWP over Universal Credit report

Work and Pensions Committee blasts “disrespectful Government responses that treat us like dirt”.

Furious MPs have today (Thursday) blasted the UK Government over its “dismissive” and “disrespectful” response to a report on Universal Credit (UC) from the Commons Work and Pensions Select Committee.

The Committee’s report concluded that, far from helping parents get into or back into work after having a child, the way the “support” is constructed under UC actually acts as a barrier to work.

In a hard-hitting second report sent to the Department for Work and Pensions (DWP) today, the Committee said the Government’s response to its original report was “simply dismissing the very serious problems that are plaguing parents who are trying to get into work”.

Benefit claimant left sarcastic suicide note ‘thanking’ the DWP before taking his own life

He was left unable to top up his electric meter due to problems with Universal Credit.

A man reportedly left a “sarcastic” note thanking the Department for Work and Pensions (DWP) for leaving him unable to afford electricity, shortly before taking his own life from a lethal overdose.

The Derby Telegraph reports that Brian Sycamore was experiencing difficulties with the new benefit, which merges six social security benefits into one single monthly payment.

The 62-year-old is said to have suffered with back pain for a number of years and was plunged into financial distress because of problems claiming Universal Credit.

The report concludes:

Coroner Pinder recorded the cause of death as “suicide”, but did not refer to the issues Mr Sycamore was having with Universal Credit in her report.

A DWP spokesperson said: “Suicide is a very complex issue, so it would be wrong to link it solely to someone’s benefit claim.

Amber Rudd meanwhile is bathing in flattery.

Written by Andrew Coates

April 13, 2019 at 10:17 am

Fourth Anniversary of the Benefit Freeze Plunges More and More People into Deep Poverty.

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George Osborne Introduced Benefit Freeze (2015 Budget).

The 2015 Budget introduced a four-year freeze on most working-age benefits and tax credits. This meant that in 2016 and onwards their value remained as it had been in 2015 rather than rising with inflation.

Everybody knows the Benefits Freeze its biting.

On this issue the Government is not split between those who’d like to make Britain a US-style free-market economy, allied with Trump, and with a minimal post-Brexit Welfare state, and those who want to a decent standard of living for all, including those on benefits.

The free-market chancers in the Hard Brexit camp may be the worst in the long term, but each side at the moment is keep the disaster that is Universal Credit, and the linked Benefit Freeze going.

Just how mad and detached from reality they are can be seen from – potential leadership candidate, and present DWP Minister Amber Rudd’s recent tweet:

It’s good to know that the Currant Bun has gone back to the Tory fold, and has dropped its grating efforts to be the Universal Credit claimants best mate.

Perhaps they’ll run this “story”,

Cheery old Woolfy!

The cockles of your heart warmed you can turn to this:

Families likely to be ‘pulled into poverty’ by benefits freeze continuing for another year

The freeze – introduced in 2016 by the then chancellor George Osborne – entered into its fourth year on Monday.

Florence Snead continues in todays ‘I’

More families are likely to be “pulled into poverty” because of the benefits freeze continuing for another year, it has been claimed.

The decision to continue with the cap on working-age benefits and tax credits is “unjustifiable” and will leave families living in poverty on average £560 worse off over the next year, according to a charity.

The Joseph Rowntree Foundation (JRF) said this was equivalent to three months of food shopping for an average low-income family.

In the midst of huge political and economic uncertainty, families who have already seen their support eroded know that the coming year will be hard to get through,” said the JRF chief executive, Campbell Robb.

“It’s not right that more parents will face impossible situations – trying to decide which essential bills to pay and what they can cut back on to make it through each week.

“Keeping benefits and tax credits frozen is unjustifiable: 4.1 million children are locked in poverty, nearly three-quarters of whom are in a working household.”

The organisation said ending the freeze would help working families to stay afloat.

“As the Government approaches its spending review, it needs to look at how best to protect people from harm who are otherwise left without an anchor in uncertain times,” Mr Robb added.

The JRF was among nine charities which wrote to the Chancellor, Philip Hammond, in February urging him to end the freeze this year.

It said continuing the freeze until April 2020 would result in 200,000 more people being locked into poverty.

Nigel Grey MP MP wrote on Monday on Politics Home:

Today marks the beginning of the fourth year of the benefit freeze. Like many of the UK government’s failures – the Windrush Scandal, the shambolic implementation and rollout of Universal Credit, the appalling neglect child refugees – if Brexit wasn’t happening, the disastrous impact of the benefit freeze would be plastered across the front-pages on an almost daily basis.

The benefit freeze was introduced by the Welfare Reform and Work Act in 2016, and freezes most working-age benefits at the same value as in 2015/16. In practice, what this means is that while Consumer Price Index (CPI) increased by 6.5% since the freeze was brought in, the benefits that many working-age people rely on have not increased at all.

This Tory government has implemented a massive real-terms cut to people’s income, and it’s having a catastrophic impact on people’s lives. The Joseph Rowntree Foundation have said the benefit freeze will have affected more than 27 million people across the UK and will have pushed 400,000 people into poverty by 2020.

On top of this, with Brexit pushing up inflation, the benefit freeze will cut another £4.4 billion this year – nearly a billion more than intended out of the pockets of those least able to bear it.

Moral outrage

The freeze includes benefits for children, as well as support for disabled people looking for work. Targeting austerity at disadvantaged children and disabled people is nothing short of a moral outrage and this Tory government should hang their heads in shame.

Theresa May and her government have taken almost no action to boost support for people who rely on social security. In one year, the benefit freeze cut will more than wipe out the total investment in the Work Allowance boost up to 2022 that was announced in the 2018 Budget.

Advance payments of Universal Credit which are meant to help people during the five week wait are, in fact, just loans that have to be paid back to DWP. And the two-child cap on Child Tax Credit is taking thousands away from families with more than two children.

A tragedy and a farce

Moreover, the revolving office-door of the Secretary of State for the Department of Work and Pensions (DWP) is both a tragedy and a farce. The idea that the Department chiefly responsible for the wellbeing of poor, elderly and vulnerable people is being used as a platform from which Tory MPs can hop, skip or jump depending on which way the political wind blows is indicative of the contempt the UK government has for the disadvantaged and the marginalised.

The benefit freeze represents one of the biggest cuts to social security we have seen in recent times, yet Labour didn’t even bother to mention it in their last manifesto and the current DWP Secretary has shown nothing but apathy towards evidence of its terrible impact.

The cuts imposed by the UK government have and will further entrench poverty across the UK.

This is a political choice, not a necessity. One of the quickest ways this Government could put money back into people’s pockets would be to lift the freeze immediately and up-rate benefits with inflation.

 

Neil Gray is SNP MP for Airdrie and Shotts and the SNP Work and Pensions spokesperson.

Written by Andrew Coates

April 9, 2019 at 3:38 pm

Ministry Hid Report on Universal Credit Hardship.

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Image result for Universal credit transition from tax credits report

Damming 2017 Report only now Released. 

 

Universal Credit may not get the headlines it deserves these days, something else happening I hear on the wireless, but, while Parliament’s  leaking roof capture’s the world attention there is (finally) this very unleaky report.

Study for DWP reveals 78% of people moved to Universal Credit struggle with bills

Mirror.

The shocking report dated November 2017 was only slipped onto the government’s website today

Joint DWP and HMRC report was released on Thursday but dated November 2017

Ministers sat for nearly a year and a half on research that revealed that tax credit claimants experienced “real financial problems” after they signed on to universal credit, it has emerged.

The joint Department for Work and Pensions (DWP) and HMRC study, which examined how tax credit claimants coped with the move, found 60% of those who said they struggled to pay bills said their difficulties began when they moved on to the new benefit.

More than half of claimants reported that the routine six-week wait for a first payment took them by surprise, and nearly half of those who were expecting a delay underestimated by a third how long the wait would be.

Strike us feather me down.

The study was slipped out on the DWP and HMRC websites on Thursday morning – even though the report itself is dated November 2017, and the research was carried out between October 2016 and July 2017.

Forgetfulness, understandable perhaps…

More than half of claimants reported that the routine six-week wait for a first payment took them by surprise, and nearly half of those who were expecting a delay underestimated by a third how long the wait would be.

About half of those surveyed did not have sufficient savings to tide them over the six weeks, the study found, and this group struggled especially. A few claimants endured “considerable stress” after payment delays meant they had to wait up to three months to get their money.

Overall, 25% said they were having real financial problems and falling behind with many bills and commitments, 13% said they were falling behind with some commitments, and 13% said they were keeping up but it felt a constant struggle to do so,” the report found

Here is the report: The transition from tax credits to Universal Credit: qualitative and quantitative research with claimants.

More from this:

Making a claim online

The UC system is designed to be administrated predominantly online, including the application process. It is therefore important that individuals can complete the application online on their own: ideally, claimants would not need assistance from DWP. Most survey participants reported that they were able to make their UC claim online (77 per cent). Over half (57 per cent) of all claimants interviewed completed the claim themselves, whilst a one in five (20 per cent) required help from someone else such as their partner, friend or relative. A further 19 per cent reported applying with help from an adviser at the Jobcentre. If it is assumed that the adviser would have assisted with an online claim, then the proportion of those claiming online overall is 96%. Claimants’ main reasons for not completing their application online were a lack of familiarity using computers (21 per cent) and a lack of access to computers or the internet (11 per cent).

Payment Gap.

Universal Credit claimants typically experience a payment gap22 of about six weeks from making their UC claim until their first UC payment is made. Once the UC claim is made, tax credits stop. Less than half (42 per cent) of claimants were aware that there would be a gap in payments. Awareness was particularly low amongst female claimants and claimants with children (57 per cent of female claimants, compared to 43 per cent of male claimants, and 55 per cent of claimants who had children included on their claim compared to 41 per cent who did not, were not aware of the gap). Of those that were aware of the payment gap, just over half found out through Jobcentre Plus (54 per cent).

Service.

Nearly half (45 per cent) of Universal Credit (UC) claimants were satisfied with the service they received during transition to Universal Credit (15 per cent were very satisfied and 30 per cent were fairly satisfied). Similar proportions reported being dissatisfied: 42 per centoverall (13 per cent fairly dissatisfied and 29 per cent very dissatisfied).

Where claimants were dissatisfied with the process, the survey explored why this was. The three main reasons for dissatisfaction were lack of clear information about the process The transition from tax credits to Universal Credit: qualitative and quantitative research with claimants of stopping tax credits and claiming UC (34 per cent), length of the payment gap (29 per cent) and poor organisation (29 per cent) (e.g. a lack of departmental knowledge of the process and timescales or the ability to advise claimants accordingly).

Reactions:

Ironically, Frank Field, chair of the commons work and pensions committee, accused the DWP at the time of “withholding bad news”, claiming that Gauke only gave the go-ahead to universal credit because officials “had withheld the true scale of the problems”.

Margaret Greenwood MP, the shadow work and pensions secretary, asked why the government was only now publishing the findings. She said: “Universal credit should be helping people out of poverty; instead it is pushing many people into debt and towards food banks. The government must take notice of its own research and stop universal credit as a matter of urgency.”

Yet all is not darkness.

The Currant Bun has this Good News!

Amber Rudd plans £2bn Universal Credit spending spree to help out struggling parents

The Work and Pensions Secretary wants to pump more cash into child benefits and housing allowances

AMBER RUDD is preparing a near £2billion spending spree on benefits for low-paid Brits to tackle a shock rise in child poverty.

The Sun can reveal the Work and Pensions Secretary is demanding a small fortune to top up child benefits and housing allowances.

With all this joy being spread it’s no wonder the DWP has the cash for this:

Written by Andrew Coates

April 5, 2019 at 11:58 am

New Help to Claim Service to “offer that little Bit of extra help” adds to the “best things” about Universal Credit, Amber Rudd (April the First).

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Amber Rudd’s DWP Universal Credit Help Service.

New ‘Help to Claim’ service provides extra Universal Credit support

DWP invests £39 million into new ‘Help to Claim’ service provided by Citizens Advice and Citizens Advice Scotland for Universal Credit claimants.

Published 1 April 2019

Amber Rudd has been happy for days and days and days!

 

 

 

Sunday’s Mail, a byword for accuracy, reports that the Tories are up in arms against anybody saying otherwise!

Tories blast BBC’s ‘poverty bias’ as ministers say Panorama report which claimed Universal Credit causes hunger and suffering is ‘fake news’ and left out details on huge payouts for ‘victims’

Ministers are at war with the BBC over a ‘fake news’ campaign against the Government’s Universal Credit system.

Officials working for Work and Pensions Secretary Amber Rudd have submitted a dossier to the Corporation of what they describe as ‘biased and inaccurate’ reporting about people’s ability to survive on the benefits, received by 1.3 million claimants.

It comes as a Mail on Sunday investigation has also uncovered a number of glaring inconsistencies in reports about the system by the BBC and other media outlets.

Officials began compiling the alleged catalogue of errors and half-truths following an edition of the BBC’s flagship current affairs programme Panorama on the ‘Universal Credit Crisis’ in Flintshire, North Wales, in November.

Yet, strangely, all the advice and all the bleating by poor put-upon Tories in the world is not going to change this:

Universal Credit increasing debt for Solihull social housing tenants

DWP: Almost 3,000 ‘sanctions’ for Teesside’s 10,000 Universal Credit claimants

New figures reveal that payments had been stopped or reduced on Teesside almost 3,000 times, as of October

And so it goes….

Written by Andrew Coates

April 1, 2019 at 3:28 pm

Sanctions Threat Set to Grow in Understaffed Universal Credit.

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Related image

Benefit Sanctions Encourage Goodthink.

Lots of posters on this site are rightly concerned about benefit sanctions.

Benefit sanctions, that is people losing money, right up to getting nothing whatsoever,  can happen for many reasons and leave people in dire poverty.

These are the official reasons for sanctions.

You may get a lower level sanction (four or 13 weeks) if:

  • you lose an employment scheme place through misconduct or without good reason
  • you don’t go to meetings on time with your adviser or work coach, or take part in interviews
  • you don’t do what your adviser or work coach tells you to do to find work, such as attend a training course or update your CV
  • you don’t take part in employment schemes (for example, Steps 2 Success) when your adviser or work coach tells you to
  • you don’t meet your employment scheme adviser on time or take actions they tell you to
  • you give up a place on a scheme voluntarily

Intermediate level sanctions

  • if you aren’t available for or actively seeking work, your claim may be ended.
  • if you make a new claim you may get an intermediate level sanction up to either four or 13 weeks.

Higher level sanctions

You may get a higher level sanction (13, 26 or 78 weeks) if:

  • you were dismissed for misconduct from your last job or without good reason
  • you left your last job
  • you don’t apply for suitable jobs your adviser, work coach or employment scheme adviser tells you about
  • you don’t take a job you are offered that your adviser, work coach or employment scheme adviser had told you about.

By in large it’s the “actively seeking work” area that’s the most of a problem.

With the so-called “34 Hours a Week” job search, part of your ‘agreement’ with the Job Centre, there’s plenty of leeway for abuse.

In fact, as Ted points out, if you can prove you’ve taken  real steps to try to get work , you should, in principle be fine.

In October last year the justification for this punishment system was undermined:

No evidence that benefit sanctions work, finds secret DWP report

The report, published with no ministerial announcement on 12 September, shows docking benefits as a punishment for alleged failures to comply with Jobcentre Plus rules does not encourage claimants to apply for additional work, and in some cases “damages the relationship between the work coach and the claimant”.

A specific area of concern has led to this call:

BPS signs consensus statement calling for removal of benefit sanctions

22 March 2019

The British Psychological Society has joined eight other leading mental health organisations in calling for the removal of benefit sanctions for people with mental health difficulties.

Yet the fault-ridden system has stayed in place and now looks set to get worse.

The report below is based on a National Audit Office Report primarily about Supporting disabled people to work.

Full report here

Coverage of this, DWP rapped for ‘disappointing’ lack of insight on helping disabled people find jobs  Civil Service World.

But there are wider implications which The Independent’s May Bulman reports on:

More universal credit claimants could face sanctions as workload of DWP staff doubles, campaigners warn

The NAO report highlights concerns with the DWP’s approach to helping disabled people into work, saying ministers were yet to make a “significant dent” in the number of unemployed disabled people.

The watchdog said the rise in caseload for work coaches meant they may not be able to maintain the amount of time spent with disabled claimants, “let alone meet the department’s aim of increasing time with disabled people who are furthest away from working”.

More universal credit claimants could face cuts to their benefits when their caseworkers are handed bigger workloads to reduce costs, politicians and charities have warned.

Support for claimants could also worsen, said the National Audit Office (NAO). Their warning came after the government predicted work coaches – the frontline staff in job centres – would have to deal with more than twice the number of claimants as universal credit is rolled out.

Campaigners said the increased workload on “already struggling” staff would lead to more claimants being placed on sanctions – when benefits are docked because conditions are not met.

..

Figures published in a report by the NAO show the caseload for work coaches will rise from around 130 to more than 280 by 2024-25. Within this, the number of claimants per work coach in the “intensive work search group”, who require the most support, is expected to increase from 96 to 133 – an increase of 39 per cent.

Universal credit workers last month took two days of strike action in Walsall and Wolverhampton over workloads, demanding the recruitment of more staff, permanent contracts for fixed term staff and a decrease in workloads, and accusing ministers of “running the service into the ground”.

Mark Serwotka, general secretary of the Public and Commercial Services union, said: “Universal credit workers are at breaking point and the latest rollout will only add to the chronic problems of this disastrous policy.

..

Amber Rudd, meanwhile, is tip top cheerful today:

Written by Andrew Coates

March 28, 2019 at 5:29 pm

Universal Credit, 50% of Claimants Face Deductions from their Benefits.

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Amber Rudd Faces 50% of UC Claimants Misery.

On the things that ‘Think Tanks’ like Bright Blue seem unable, er, to think about, is the way Universal Credit has led to many people having deductions taken from their benefits.

Plain as the wart on their noses – causes being, amongst others, the long wait for money, and the problems with paying rent, and utility bills, the scale of this practice, as well as the immediate causes, astonishes even this Site.

The story is all over the media today so even the Rotters Club and the ERG might deign to notice it.

Over half of Universal Credit claimants have money deducted from payments, new figures show

Independent.

Deductions made when claimants have outstanding debts with their utility companies or landlord

More than half of Universal Credit claimants have money deducted from benefit payments

Chronicle Live.

Deductions are automatically taken from benefits when a claimant has a debt to pay, but an MP argues they’re cruel and force a reliance on foodbanks.

More than 50% of Universal Credit claimants have their benefits deducted – which an MP says is the ‘main supply route to food banks’.

Department for Work and Pensions (DWP) figures released yesterday reveal 53% of Universal Credit claimants had some cash taken out of their payments in October 2018.

Deductions – which differ from sanctions – are made when claimants owe money to utility companies or landlords. The automatic deductions are used to pay the outstanding debts.

But MP Frank Field, the chairman of the Work and Pensions Select Committee who requested the figures, says the deductions leave families unable to afford essentials and are “a main supply route to foodbanks “. He has called on energy companies to write-off debts for customers who genuinely cannot afford to pay.

The figures show that 532,000 Universal Credit claimants had some of their payments deducted in October 2018.

Six thousand claimants had reductions of 40% of their allowance or more, while 129,000 claimants had deductions of between 31 and 40%.

October’s statistics show a sharp rise in deductions compared to figures obtained by FOI in August 2018 by The Guardian newspaper, which showed one-third of claimants at that time saw money deducted from their payments.

In May 2017, just one in 10 claimants had their payments deducted, the figures said.

Here is the actual reply: Department for Work and Pensions.

Asked by Frank Field (Birkenhead)
Asked on: 07 February 2019
Department for Work and Pensions
Universal Credit
Answered by: Alok Sharma
Answered on: 20 March 2019
To ask the Secretary of State for Work and Pensions, how many and what proportion of universal credit claims had a deduction applied in the most recent month for which data is available.

The Government recognises the importance of safeguarding the welfare of claimants who have incurred debt. Under Universal Credit there is a co-ordinated approach to deductions from benefit, which simplifies the current complex arrangements.

The aim of the deductions policy in Universal Credit is to protect vulnerable claimants from eviction and/or having their gas, electricity and water cut off, by providing a last resort repayment method for arrears of these essential services.

Work has been done to increase awareness of advances and access to them for claimants, and to support this, new guidance has been issued to staff.

This guidance makes it clear that claimants should be made aware of advances, made aware of their maximum entitlement and informed that their entitlement will be adjusted over the relevant recovery period to take this into account. This increased awareness has resulted in around 60% of eligible new claims to Universal Credit receiving an advance in October 2018, providing further financial support until their first payment.

Of all eligible claims* to Universal Credit Full Service due a payment in October 2018, 53% (532,000 claims) had a deduction to their standard allowance.

Of these 532,000 claims with a deduction:

a) 53% (284,000 claims) had deductions up to 20% of the Standard Allowance (28% of all eligible claims).

b) 21% (113,000 claims) had deductions between 21% and 30% of the Standard Allowance (11% of all eligible claims).

c) 24% (129,000 claims) had deductions between 31% and 40% of their Standard Allowance (13% of all eligible claims).

d) 1% (6,000 claims) had deductions above 40% of their Standard Allowance (0.6% of all eligible claims).

Notes:

*Eligible claimants are claimants that have satisfied all the requirements of claiming Universal Credit; they have provided the necessary evidence, signed their claimant commitment and are eligible and have recieved their first payment.

These figures do not include sanctions or fraud penalties which are reductions of benefit rather than deductions.

Claim numbers may not match official statistics caseloads due to small methodological differences.

Claim numbers are rounded to the nearest 1,000.

Amber has other things on her mind:

Written by Andrew Coates

March 21, 2019 at 11:32 am