Ipswich Unemployed Action.

Campaigning for Unemployed Rights.

Posts Tagged ‘Poverty

Food Banks, The Tory Universal Credit’s Legacy.

A few days ago a contributor pointed out that the planned rise in benefits is a joke.

And what will be the rise, 75 pence ? And the Tories think they can buy people’s votes with this.

Ipswich Unemployed Action team of seasoned  Newshounds has been looking around the local shops for ways to spend this king’s ransom.

A tin of baked beans? A few bananas? Some onions?

The choice is royal.

Food poverty  is one of the most visible legacies of Universal Credit and low incomes for those on benefits.

It’s not just the “freeze” in levels, it’s the wait, the sanctions, and the low level of money people get.

This leads them to go to get help from charity for basics- a great opportunity no doubt for giving and virtue, or as Rees Mogg might say ” “rather uplifting” and growth “shows what a compassionate country we are”.

No doubt go bothering electric shock dog collar hairshirt Coffey likes them too.

People don’t talk much about Food Banks much – in person, to friends.

I can’t think of anybody telling me the details face to face.

But Sky News did the job for us this morning.

UK households at food banks living on £50 a week, research shows

The State of Hunger report found that 94% of people at food banks are destitute, with one in five having no money coming in.

A charity is calling for benefit payments to cover the true cost of living after a report revealed people at food banks have an average weekly income of £50 after paying rent.

The Trussell Trust, a food bank charity, commissioned the State of Hunger 2019 report, which was conducted by Heriot-Watt University.

It found that over 94% of people at food banks are destitute, while three-quarters live in households affected by ill-health or disability.

Meanwhile, the average weekly income of people at food banks is only £50 after paying rent, and almost one in five have no money coming in at all in the month before being referred for emergency food.

The report identified three reasons: issues with the benefits system, ill health and challenging life experiences, and a lack of local support.

Two-thirds of people at food banks were affected by problems with benefits in the last year.

The key issues include a reduction in the value of benefit payments, being turned down for disability benefits, having benefits stopped, and delays in payments such as the five-week wait for universal credit.

..

As a result, the Trussell Trust is calling for three key changes as a priority to protect people from hunger:

  • End the five-week wait for universal credit
  • Benefit payments must cover the true cost of living
  • Funding for councils to provide local crisis support should be ring-fenced and increased.

The Guardian covers the story:

Research says evidence ‘clear’ policies such as universal credit can cause destitution

You can download the full report.

This is how they present their findings,

Over the last five years, the number of emergency food parcels provided to people in crisis by food banks in the Trussell Trust’s network has increased by 73%. No charity can replace the dignity of buying your own food. To help end the need for food banks, the Trussell Trust commissioned State of Hunger – the most authoritative piece of independent research into hunger in the UK to date. Here’s what the research reveals…

This is worth noting:

Some features of the benefit system have been associated with increases in the incidence of ‘failures’ of claimants to qualify. This is illustrated by the remarkable swings over time (and space) in rates of JSA sanctions, by variations in the health/disability assessment outcomes associated with PIPs, and variations in the assignment of ESA claimants to different groups. This study of household food insecurity has revealed some of the severely adverse impacts of these processes, both on destitution and on mental health.

On UC, there is evidence from multiple sources that the ‘five-week wait’ is viewed as a delay in benefit payment rather than a system feature. We conclude from a range of evidence including the survey, modelling and qualitative interviews that the waiting period is one of the most critical drivers of food bank use, particularly in this period with the general roll-out of UC. Not everyone fails to cope with the five-week wait, but people who have experienced longer term poverty, those without family and friends able to help and particularly people with multiple deprivation – homelessness,offending, drug misuse and mental health issues – are particularly vulnerable.

Therefore, there is a strong case for shortening this or alleviating its effects in other ways, but not ways which simply pile up more problem debt on people at the very bottom of the income distribution.

There appear to be gaps in oversight of debt repayment, with many people paying significant proportions of their (already very low) benefits back to the DWP and third parties to cover debts. It is not quite clear how far this is about a lack of guidance from the Department for Work and Pensions about what is acceptable or a lack of oversight about what proportion of income is being taken. Even the amounts being recouped for the UC advance payment alone can be very large; an area where that one would expect the Department for Work and Pensions to be able to straightforwardly monitor. Ideally, however, there should be clear, shared protocols for acceptable levels of deduction covering all parties and purposes and these should be consistently implemented.

Written by Andrew Coates

November 5, 2019 at 10:28 am

Government Urged to Publish Secret DWP Analysis of Impact of Brexit on Poverty, Wages and People on Low Incomes.

Image result for DWP secret report

DWP Keeps Report on Brexit Impact Secret.

Already poverty is a major problem in the UK.

But we hear from the latest from Welfare Weekly that they are keeping the impact of Brexit on this under wraps.

 

DWP Urged To Publish ‘Secret’ Brexit Impact Analysis

The SNP has called on the Department for Work and Pensions (DWP) to publish secret analysis that reveals the impact of different Brexit outcomes on poverty levels, wages and low-income households in Scotland and the UK.

Neil Gray MP warned that vulnerable people were already suffering under a decade of Tory austerity and that the DWP’s refusal to publish the figures was a “damning indictment” of a Tory government intent on inflicting a damaging policy no matter the cost.

The call for the full publication of the findings comes after the Poverty Alliance used a Freedom of Information request to ask whether or not the DWP had carried out any assessments to look at the impact of different Brexit scenarios on levels of poverty and inequality in the UK, as well as analysis on the impact on low-income households, on wages, employment and costs of living.

The DWP replied to confirm that it does hold some of the analysis but that it would not publish any of the findings as it was not in the public interest to do so.

Economic analysis has already shown that crashing out of the EU without a deal will be devastating for Scotland – costing up to 100,000 jobs and hitting people’s pockets to the tune of £2,300 a year per person.

This is the origin of the story:

Peter Kelly, Director of the Poverty Alliance: “The UK Government’s failure to disclose the analysis they’ve undertaken on Brexit’s impact on poverty is alarming. We’re a society that believes in justice and compassion, and it is clearly in the public interest to know whether Brexit – especially a no-deal Brexit – will inflict harm upon people already struggling to get by.

 

Gordon Brown in Liverpool to warn that city’s most vulnerable will suffer under no deal Brexit

Former Prime Minister Gordon Brown has warned life will get harder for Liverpool’s poverty-stricken families under a no deal Brexit.

Speaking in Anfield today, Mr Brown said that leaving the EU without a deal would see the cost of food increase and put pressure on local communities like those in north Liverpool that are already struggling.

The outspoken critic of leaving the EU, said that the consequences of a no deal Brexit on the UK’s food supply are already being felt with suppliers having to raise prices.

He also warned that the reliance on food coming in from the EU via Calais and Dover would see the UK’s food supply seriously disrupted in the event of no deal.

He said: “With a no deal Brexit you have two problems. One the cost of food and second the supply of food.”

“One third of our food comes from continental Europe, particularly fruit and vegetables come in from Dover and Calais.

“If we lose that supply of food, or if it’s interrupted, then prices go up again.”

 

Poverty Alliance join forces with over 85 civil society organisations to express grave concerns about no-deal

August the 29th.

The Poverty Alliance have today joined forces with over 85 organisations in expressing our grave concerns about the impacts a no-deal Brexit will have on civil society.  Together with organisations from across the UK, we have called on the Prime Minister to urgently engage with our concerns about leaving the EU without a deal on the 31st October.

Signatories of the letter have serious concerns about how a no-deal exit will be a direct threat to communities across the country, including the possible regression of rights and standards, the uncertainty of the future, and a lack of adequate engagement and support from the UK Government.

The Poverty Alliance has particular concerns about how a no-deal Brexit could impact people living on low incomes, with the likelihood that the economic impact of such a scenario could lead to significant impacts on employment and the cost of living.

Peter Kelly, Director of the Poverty Alliance, said:

“We’re a society that believes in protecting each other from harm. Yet a no-deal Brexit would represent a failure to protect people living on low incomes.

Communities across the country are already experiencing low pay, the effects of social security cuts, and high living costs. A no-deal Brexit threatens to tighten the grip of poverty further. We simply cannot allow that to happen.”

Not that Forever Amber cares tuppance:

Written by Andrew Coates

September 2, 2019 at 3:57 pm

UN Report on Poverty in Britain: Welfare to Workhouses.

Image result for alston report poverty Jaywick

Special UN Rapporteur on Extreme Poverty Philip Alston in Jaywick, Essex.

A couple of days ago I heard a group of lads talking about Universal Credit.

They’d all got caught up in its clutches and they had many a merry tale to tell.

It does not take imagination to see that poverty, they mentioned the waits for money, the on-line gibberish, and Coachy.

The DWP, our Newshawks say, always responds with stout denial to any criticism.

This must have stung sharper than a serpent’s tooth..

The report begins,

The social safety net has been badly damaged by drastic cuts to local authorities’ budgets, which have eliminated many social services, reduced policing services, closed libraries in record numbers, shrunk community and youth centres and sold off public spaces and buildings. The bottom line is that much of the glue that has held British society together since the Second World War has been deliberately removed and replaced with a harsh and uncaring ethos. A booming economy, high employment and a budget surplus have not reversed austerity, a policy pursued more as an ideological than an economic agenda.

The Guardian covered the story as following:

UN report compares Tory welfare policies to creation of workhouses

A leading United Nations poverty expert has compared Conservative welfare policies to the creation of 19th-century workhouses and warned that unless austerity is ended, the UK’s poorest people face lives that are “solitary, poor, nasty, brutish, and short”.

Ministers in denial about impact of austerity since 2010, says poverty expert

The far-right Mail publishes the bleats and denials of the DWP and Amber Rudd.

Amber Rudd is to lodge a formal complaint over UN’s ‘barely believable’ poverty report accusing Britain of violating human rights obligations by creating ‘Dickensian’ conditions for the poor

  • UN report claims Britain is returning to ‘Dickensian’ conditions, where citizens lives are, quoting Hobbes, ‘solitary, poor, nasty, brutish, and short’
  • But government points out that UN research published just two months ago ranked Britain as the 15th happiest country to live in
  • DWP says Rapporteur paints ‘completely inaccurate picture’ after his whistle-stop two-week human rights fact-finding visit last November

Poverty in the UK is ‘systematic’ and ‘tragic’, says UN special rapporteur

The UK’s social safety net has been “deliberately removed and replaced with a harsh and uncaring ethos”, a report commissioned by the UN has said.

Special rapporteur on extreme poverty Philip Alston said “ideological” cuts to public services since 2010 have led to “tragic consequences”.

The report comes after Prof Alston visited UK towns and cities and made preliminary findings last November.

The government said his final report was “barely believable”.

The £95bn spent on welfare and the maintenance of the state pension showed the government took tackling poverty “extremely seriously”, a spokesman for the Department for Work and Pensions (DWP) said.

Prof Alston is an independent expert in human rights law and was appointed to the unpaid role by the UN Human Rights Council in June 2014. He spent nearly two weeks travelling in Britain and Northern Ireland and received more than 300 written submissions for his report.

He went on to observe

Some observers might conclude that the DWP had been tasked with “designing a digital and sanitised version of the 19th Century workhouse, made infamous by Charles Dickens”, he said.

The report cites independent experts saying that 14 million people in the UK – a fifth of the population – live in poverty, according to a new measure that takes into account costs such as housing and childcare.

In 2017, 1.5 million people experienced destitution, meaning they had less than £10 a day after housing costs, or they had to go without at least two essentials such as shelter, food, heat, light, clothing or toiletries during a one-month period.

Despite official denials, Prof Alston said he had heard accounts of people choosing between heating their homes or eating, children turning up to school with empty stomachs, increased homelessness and food bank use, and “story after story” of people who had considered or attempted suicide.

Now I’ve got a bit of respect for Human Rights. One of the greatest British radicals, Tom Paine, wrote the Rights of Man (1791), which was a founding book for our labour movement and left. My dad said they were still reading it in Glasgow in the 1930s.

Comrade Paine wrote this,

In the closing chapters of Rights of Man, Paine addresses the condition of the poor and outlines a detailed social welfare proposal predicated upon the redirection of government expenditure. From the onset, Paine asserts all citizens have an inherent claim to welfare. Paine declares welfare is not charity, but an irrevocable right.

One of the great founders of modern socialism, the Frenchman Jean Jaurès, (1859 – 1914)., did not just stand up for welfare, he defended social and human rights. Jaurès campaigned for the innocence of Dreyfus against the anti-Semites of his day. He mixed together workers’ and welfare right with socialism. He was murdered in 1914 by one of national populists of the Farrage ilk for opposing the start of the First World War.

When I read people disrespecting Professor Alston I think they are insulting our glorious forebears.

Apart from that, the present social security system, Universal Credit and all, stinks to high heaven.

This is the Report’s conclusion:

The philosophy underpinning the British welfare system has changed radically since 2010. The initial rationales for reform were to reduce overall expenditures and to promote employment as the principal “cure” for poverty.

But when large-scale poverty persisted despite a booming economy and very high levels of employment, the Government chose not to adjust course. Instead, it doubled down on a parallel agenda to reduce benefits by every means available, including constant reductions in benefit levels, ever-more-demanding conditions, harsher penalties, depersonalization, stigmatization, and virtually eliminating the option of using the legal system to vindicate rights.

The basic message, delivered in the language of managerial efficiency and automation, is that almost any alternative will be more tolerable than seeking to obtain government benefits.

This is a very far cry from any notion of a social contract, Beveridge model or otherwise, let alone of social human rights. As Thomas Hobbes observed long ago, such an approach condemns the least well off to lives that are “solitary, poor, nasty, brutish, and short”. As the British social contract slowly evaporates, Hobbes’ prediction risks becoming the new reality.

 

UN Poverty Envoy Slams Universal Credit and Sanctions Regime.

Image result for Jaywick meeting UN rapporteur

UN Rapporteur on Human Rights and Poverty in Jaywick, Essex (Ipswich delegation in Second Row….)

While Esther McVey snuggles up with a wheel-barrow full of her leaving prezzies:

Unicorn Poo

The UN envoy has issued this initial report on his visit to the UK.

UK austerity has inflicted ‘great misery’ on citizens, UN says

Poverty envoy says callous policies driven by political desire for social re-engineering

Guardian.

 ‘I’m scared to eat sometimes’

 Women reveal impact of cuts

 Children tell UN: ‘It’s unfair’

The UK government has inflicted “great misery” on its people with “punitive, mean-spirited, and often callous” austerity policies driven by a political desire to undertake social re-engineering rather than economic necessity, the United Nations poverty envoy has found.

Philip Alston, the UN’s rapporteur on extreme poverty and human rights, ended a two-week fact-finding mission to the UK with a stinging declaration that despite being the world’s fifth largest economy, levels of child poverty are “not just a disgrace, but a social calamity and an economic disaster”.

About 14 million people, a fifth of the population, live in poverty, and 1.5 million are destitute, unable to afford basic essentials, he said, citing figures from the Institute for Fiscal Studies and the Joseph Rowntree Foundation. He highlighted predictions that child poverty could rise by 7% between 2015 and 2022, possibly up to a rate of 40%.

“It is patently unjust and contrary to British values that so many people are living in poverty,” he said, adding that compassion had been abandoned during almost a decade of austerity policies that had been so profound that key elements of the post-war social contract, devised by William Beveridge more than 70 years ago, had been swept away.

Pause.

Although the various media stories just breaking underline the general issue of the poverty the UN envoy found one thing stands out: i the thread running through the report’s initial findings is the central role of Universal Credit in creating poverty and misery. 

Statement on Visit to the United Kingdom, by Professor Philip Alston, United Nations  Special Rapporteur on extreme poverty and human rights London, 16 November 2018

The UK is the world’s fifth largest economy, it contains many areas of immense wealth, its capital is a leading centre of global finance, its entrepreneurs are innovative and agile, and despite the current political turmoil, it has a system of government that rightly remains the envy of much of the world.  It thus seems patently unjust and contrary to British values that so many people are living in poverty. This is obvious to anyone who opens their eyes to see the immense growth in foodbanks and the queues waiting outside them, the people sleeping rough in the streets, the growth of homelessness, the sense of deep despair that leads even the Government to appoint a Minister for suicide prevention and civil society to report in depth on unheard of levels of loneliness and isolation.  And local authorities, especially in England, which perform vital roles in providing a real social safety net have been gutted by a series of government policies.  Libraries have closed in record numbers, community and youth centers have been shrunk and underfunded, public spaces and buildings including parks and recreation centers have been sold off.  While the labour and housing markets provide the crucial backdrop, the focus of this report is on the contribution made by social security and related policies.

 

Key extracts from the report:

14 million people, a fifth of the population, live in poverty. Four million of these are more than 50% below the poverty line,1 and 1.5 million are destitute, unable to afford basic essentials. The widely respected Institute for Fiscal Studies predicts a 7% rise in child poverty between 2015 and 2022, and various sources predict child poverty rates of as high as 40%. For almost one in every two children to be poor in twenty-first century Britain is not just a disgrace, but a social calamity and an economic disaster, all rolled into one.

But the full picture of low-income well-being in the UK cannot be captured by statistics alone. Its manifestations are clear for all to see. The country’s most respected charitable groups, its leading think tanks, its parliamentary committees, independent authorities like the National Audit Office, and many others, have all drawn attention to the dramatic decline in the fortunes of the least well off in this country. But through it all, one actor has stubbornly resisted seeing the situation for what it is.

The Government has remained determinedly in a state of denial. Even while devolved authorities in Scotland and Northern Ireland are frantically trying to devise ways to ‘mitigate’, or in other words counteract, at least the worst features of the  government’s benefits policy, Ministers insisted to me that all is well and running according to plan. Some tweaks to basic policy have reluctantly been made, but there has been a determined resistance to change in response to the many problems which so many people at all levels have brought to my attention.

…..

UNIVERSAL CREDIT.

Universal Credit and the other far-reaching changes to the role of government in supporting people in distress are almost always ‘sold’ as being part of an unavoidable program of fiscal ‘austerity’, needed to save the country from bankruptcy. In fact, however, the reforms have almost certainly cost the country far more than their proponents will admit.

No single programme embodies the combination of the benefits reforms and the promotion of austerity programs more than Universal Credit. Although in its initial conception it represented a potentially major improvement in the system, it is fast falling into Universal Discredit.

Social support should be a route out of poverty, and Universal Credit should be a key part of that process. Consolidating six different benefits into one makes good sense, in principle. But many aspects of the design and rollout of the programme have suggested that the Department for Work and Pensions is more concerned with making economic savings and sending messages about lifestyles than responding to the multiple needs of those living with a disability, job loss, housing insecurity, illness, and the demands of parenting. While some surveys suggest certain claimants do have positive experiences with Universal Credit, an increasing body of research makes clear that there are far too many instances in which Universal Credit is being implemented in ways that negatively impact many claimants’ mental health, finances, and work prospects.

Hardship.

In addition to all of the negative publicity about Universal Credit in the UK media and among politicians of all parties, I have heard countless stories from people who told me of the severe hardships they have suffered under Universal Credit. When asked about these problems, Government ministers were almost entirely dismissive, blaming political opponents for wanting to sabotage their work, or suggesting that the media didn’t really understand the system and that Universal Credit was unfairly blamed for problems rooted in the old legacy system of benefits.

The Universal Credit system is designed with a five week delay between when people successfully file a claim and when they receive benefits. Research suggests that this “waiting period,” which actually often takes up to 12 weeks, pushes many who may already be in crisis into debt, rent arrears, and serious hardship, requiring them to sacrifice food or heat.10 Given the delay, which will only be partially mitigated by a recent concession, it is no surprise that the majority of claimants seek “advance payments,” which in turn must be repaid to DWP in relatively short order.

Additionally, debts to DWP and to third-parties can be deducted from already meager Universal Credit payments at a rate much higher than is the case with the older benefit system. While supposedly deductions are capped at a maximum rate of 40% of the standard allowance portion of the payment (which will change to 30% in a year’s time), the Government told me that in fact additional clawbacks can occur. These so-called “Last Resort Deductions” are for matters such as rent, gas, and electricity arrears, if it is judged to be in the best interest of a claimant or their household..

……..

Sanctions.

One of the key features of Universal Credit involves the imposition of draconian sanctions, even for infringements that seem minor. Endless anecdotal evidence was presented to the Special Rapporteur to illustrate the harsh and arbitrary nature of some of the sanctions, as well as the devastating effects that resulted from being completely shut out of the benefits system for weeks or months at a time. As the system grows older, some penalties will soon be measured in years.

….

As I spoke with local authorities and the voluntary sector about their preparations for the future rollout of Universal Credit, I was struck by how much their mobilization resembled the sort of activity one might expect for an impending natural disaster or health epidemic.

Universal Credit has built a digital barrier that effectively obstructs many individuals’ access to their entitlements. Women, older people, people who do not speak English and the disabled are re likely to be unable to overcome this hurdle.

Artificial Intelligence and Threats to Freedom.

The merging of six legacy benefits into one new Universal Credit system aimed at reaching millions of UK citizens is in fact a major automation project. The collection of data via the online application process and interactions with the online journal provide a clear stepping stone for further automation within DWP.

The new institutions currently being set up by the UK government in the area of big data and AI focus heavily on ethics. While their establishment is certainly a positive development, we should not lose sight of the limits of an ethics frame. Ethical concepts such as fairness are without agreed upon definitions, unlike human rights which are law. Government use of automation, with its potential to severely restrict the rights of individuals, needs to be bound by the rule of law and not just an ethical code.

*****
This is also worth taking notice of,

“The United Kingdom’s impending exit from the European Union poses particular risks for people in poverty, but the government appears to be treating this as an afterthought,” said the UN’s expert on extreme poverty and human rights, Philip Alston, at the end of a 12-day visit to the country.

Independent.  UN condemns UK government’s ‘mean-spirited and callous approach’ to poorest, in damning report

Written by Andrew Coates

November 16, 2018 at 4:16 pm

Poverty Crisis Worsened by Universal Credit.

Image result for poverty Social Metrics Commission

” total number of people living in poverty is 14.2 million.”

Poverty, anybody could see with their own eyes, is growing.

I was struck, visiting my old homeland, Haringey, by this recently.

It was not so much that seeing the homeless people on the streets was a surprise – we have plenty in Ipswich. Though I must admit that, coming out of Wood Green Tube station, the sight of a geezer with a sleeping bag sprawled out in front of the ‘Spoons on Spouters’ Corner was unexpected.

It was that walking from there to Turnpike Lane most people looked, well, not well off.

Same pound shops, charity shops, though a Mall looked a bit more prosperous than ours.

This is the real London, not Made In Chelsea.

Bounds Green, where I grew up, is (wrote the Guardian in 2013 and it’s still true), is “ordinary north London, like wot even Muswell Hill used to be: an endangered species these days.”, was another destination on this tour.

On a  round circuit from the Tube to my old gaff (a short 15 minutes)  I came across at least 10 off-licences and newsagents/food stores selling cheap booze.

Encouraging to see that people still appreciate white cider and 9% lager, no “shops selling single-estate, organic, truffle-dusted flat whites”.

But then………..

This report, then, does not come out of the blue.

More than two million Brits at risk of falling into poverty, report warns

The UK Government has been urged to take action at the Budget in order to tackle Britain’s growing poverty crisis, in response to the publication of a new report which shows that 2.5million people are at risk of falling into poverty.

The Social Metrics Commission has published a new framework for measuring poverty in the UK, which takes into account a wider range of interplaying factors which cause people to fall into poverty – including material resources, the cost of disability, and the cost of childcare.

Sam Royston, director of policy and research at The Children’s Society, said: “While we would welcome these changes to how poverty is measured being included in official statistics, concrete action is needed to tackle the shameful scale of poverty among our children, with all the damage it can do to their wellbeing, education and life chances.”

The Commission found that more than one in ten (12.1%) of the total UK population (7.7million people) live in persistent poverty. While a further 2.5million people in the UK are less than 10% above the poverty line – meaning relatively small changes in their circumstances could see them fall below it.

Philippa Stroud, the commission’s chair, said: “We want to put poverty at the heart of government policymaking and ensure that the decisions that are made are genuinely made with the long term interests of those in poverty in mind.”

The UK Government abolished child poverty targets under the Welfare Reform and Work Act 2016 – a moved condemned by the SNP who have reintroduced them in Scotland and have called for their reintroduction across the UK.

These are the conclusions of the above report:

The SMC report, available here,  reveals numerous key findings and challenges. The total number of people living in poverty is 14.2 million with the composition of poverty moving towards a better identification of children (4.5 million) and working-age adults (8.4 million). The good news is the shift away from pensioner poverty with far fewer pensioners living in poverty following a significant reduction of poverty amongst pension age couples, over the last 15 years.

The report reveals that people with a disability are much more likely to be living in poverty than previously thought, with around half of the 14.2 million people in poverty living in families with a disabled person.

The report also reveals the persistence and depth of UK poverty. More than one in ten (12.1%) of the total UK population are in poverty now and have been in poverty for at least two of the previous three years. A further 2.5 million people live less than 10% above the poverty line and are close to falling below it with relatively small changes to their circumstances; and around 2.7 million people live less than 10% below it.

 SMC KEY FINDINGS

  1. 2 million people in the UK population live in poverty: 8.4 million working-age adults; 4.5 million children; and 1.4 million pension age adults.
  2. Over half of those in poverty (58.2%) also live in persistent poverty. This means that more than one in ten (7.7 million) of the total UK population are in poverty now and have been in poverty for at least two of the previous three years. Persistent poverty is highest in families more than 10% below the poverty line, in workless families and families where someone is disabled.
  3. People with a disability are much more likely to be living in poverty. Nearly half of the 14.2 million people in poverty live in families with a disabled person (6.9 million people equal to 48.3% of those in poverty). The SMC metric recognises the inescapable costs of disability, accounting for them alongside the value of disability benefits, to reflect the lived experience of living with a disability.
  4. Far fewer pensioners are living in poverty than previously thought, with a significant fall in pensioner poverty over the last 15 years. Poverty rates amongst pension-age adults have nearly halved since 2001, and have fallen to one in ten, a drop from 17% of the total population in poverty in 2001 to 11% in 2017. There are, however some pensioner groups still experiencing high levels of poverty. For example, the poverty rate for pensioners who do not own their own home is 34.2%.

You can only note that all this is about to get a lot lot worse:

The Universal Credit Rollout Will Cause Liverpool Untold Harm – The Government Must Pause And Rethink. 

Joe Anderson Mayor of Liverpool

Huffington Post.

In a city described by the Joseph Rowntree Trust as having the second worst affected in the country when it comes to ‘destitution,’ Liverpool needs Universal Credit like a hole in the head.

Nevertheless, from this week, the remaining parts of my city not already covered by UC will start being migrated across to the new benefit.

The dread I feel is because we know what happens next.

Already, we can see a spike in hardship and a rise in council tax arrears from those who have already transitioned to UC. Not to mention the snaking queues at foodbanks and the families struggling with things like school uniform costs.

Around 55,000 Liverpool households will eventually see their claim move to Universal Credit. So far, we estimate that up to 2,800 people in Liverpool are affected by changes in work allowances in Universal Credit, resulting in a loss of income to families of between £40 and £200 each month.

The Council’s various discretionary schemes, set up to protect people in hardship, made 13,700 awards last year at a cost of just under £2.7million. 71% of all Discretionary Housing Payments made in Liverpool are to help people who have been hit by the ‘under occupation penalty’ – or as we know it, the bedroom tax.

It’s so frustrating because as a council, we have one of the best records in the country when it comes to maintaining discretionary benefits for the poorest and most vulnerable in our city. We are left picking up the pieces from failed central government changes.

Despite losing two-thirds of our government funding since 2010 (£444million), we have stretched our finances as far as we can in order to preserve basic human dignity, but also because it makes sense to address problems upstream before they swim downstream and cost even more to fix.

This is often down to the scandalous time lag between applying for Universal Credit and receiving a first payment. This is often as long as twelve weeks, with the National Audit Office recently reporting that four in ten applicants had experienced financial difficulties while transitioning across to UC, while one in five were not paid on time.

So my message to ministers is simple: pause this roll-out and listen to those of us on the frontline. It’s possible to reform Universal Credit to keep the original intention of simplifying the benefits system without deliberately causing misery for tens of thousands of people in my city and millions more across the country.

Drop the ideology for a start. There is no good reason to make desperate people wait for their benefits, simply because eight years ago Iain Duncan-Smith wanted to teach them budgeting skills. Pay up straightaway and take that terrible burden off the backs of some of the poorest people in our society.

Unnecessary delay simply throws vulnerably families into the clutches of payday lenders and loan sharks. This is a simple concession that Esther McVey could make that would transform the lives of millions of people for the better and show that the Department for Work and Pensions is listening to evidence about the ill-effects of UC.

I would also urge her to work with councils rather than ignoring us. Along with the voluntary sector, we are working to pick up the pieces of botched welfare changes. But give us the tools to do it. Provide ring-fenced funding so councils can create a local welfare scheme to address acute hardship.

But it’s also about practical steps, like understanding the system simply isn’t flexible enough for people on zero hours contracts and have no guarantees about their work situation from week to week. Also, the DWP could dramatically reduce the waiting time for connection to the DWP advice and information lines.

Before people in Liverpool are exposed to these poorly-conceived and badly implemented changes, I am asking Esther McVey to pause and #RethinkUC.

 

Written by Andrew Coates

September 18, 2018 at 9:23 am