Holyrood’s Social Security Committee has raised deep concerns with Universal Credit in its latest report into in-work poverty. The report warns that people due to move from Tax Credits to Universal Credit face significant issues and a dramatic culture change. Continue reading Holyrood’s Social Security Committee expresses ‘deep concerns’ over Universal Credit
Tag: DWP
Changes ahead to benefits for mixed age couples
The UK government has announced changes to benefits for mixed age couples that will be introduced from 15 May 2019. Continue reading Changes ahead to benefits for mixed age couples
“Pointlessly cruel”: Commons committee publishes damning report on benefits sanctions
No evidence the Committee received was “more compelling than that against the imposition of conditionality and sanctions on people with a disability or health condition. It does not work. Worse, it is harmful and counterproductive.” Continue reading “Pointlessly cruel”: Commons committee publishes damning report on benefits sanctions
Almost half of Scots claimants take up Universal Credit options
Edinburgh braced for roll out of Universal Credit this month
Nearly one in two people in receipt of Universal Credit in Scotland has chosen for their payments to be paid in a different way when offered the choice by the Scottish Government.
While Universal Credit is reserved to the UK Government, Scottish Ministers have used their limited powers in this area to enable people to receive payments more frequently and/or for the housing cost in their payment to be made directly to their landlords, which should help reduce rent arrears and evictions.
Newly published figures show that, by the end of August this year, 66,700 people had been offered one or both Scottish choices since October 2017, with around 32,000 – almost 50% – taking up the offer.
Speaking on a visit to Prospect Community Housing in Wester Hailes, Edinburgh, Social Security Secretary Shirley-Anne Somerville said: “Universal Credit is causing undeniable hardship and misery to people and families across the country and the roll out of Universal Credit full service comes to Edinburgh from next month.
“The UK Government missed an opportunity to use the budget to address the fundamental flaws with Universal Credit including delays to payments, the minimum five week delay in getting first payment and the appalling two-child cap.
“The Scottish Government will continue to call for a halt to Universal Credit until it is made fit for purpose. We cannot be expected to fill the £3.7 billion gap in welfare spending caused by UK Government cuts, particularly on a continuing real terms cut in fiscal budget of 5.9% between 2010-11 and 2019-20.
“We have done what we can with our limited powers, providing people who receive Universal Credit with choices on the frequency of their payments and paying housing costs directly to their landlord. We have also committed to introduce split payments of the Universal Credit award in Scotland to ensure everyone has access to an independent income.
“The high take-up rate of our Universal Credit Scottish choices is evidence people want more flexibility and adaptability in how they receive the support that they are entitled to.”
Of the 31,960 people who chose one or both of the Universal Credit (UC) Scottish choices, 26,910 chose to implement more frequent payments. 11,430 chose to have the housing element of UC paid direct to their landlords, and 6,380 chose both. An additional 4,000 also requested and took up one or both of the choices.
The full publication is available here.
UC Scottish choices give recipients of UC in Scotland a choice to have their UC award paid either monthly or twice monthly, and have the housing costs in their award of UC paid direct to their landlord. A person can make just one or both choices, depending on their circumstances. It was introduced on 4 October 2017 for people accessing UC for new claims in full service areas. On 31 January 2018 it was extended to everyone receiving UC in full service areas.
As UC is reserved to the UK Government, the Department for Work and Pensions (DWP) deliver the choices on behalf of the Scottish Government and charge the Scottish Government for that.
Rowntree Foundation urges Universal Credit reform
The Joseph Rowntree Foundation is urging the government to reform Universal Credit (UC) so families with children can keep more of what they earn. The respected social policy charity is the latest organisation to urge the Westminster Government to rethink the controversial benefit.
Continue reading Rowntree Foundation urges Universal Credit reform
Citizens Advice to provide support to Universal Credit claimants
The Department for Work and Pensions (DWP) will fund Citizens Advice to provide Universal Support from April 2019, the UK government has announced. Continue reading Citizens Advice to provide support to Universal Credit claimants
Shocking impact of welfare cuts revealed
UK Government urged to end benefits freeze
Social Security Secretary Shirley-Anne Somerville has called on the UK Government to use this month’s autumn statement to announce an end to the benefits freeze that has brought misery to families and communities.
In a letter to Esther McVey, the Work and Pensions Secretary, Ms Somerville has highlighted the findings of the annual Welfare Reform Report, which estimates that the UK Government’s welfare cuts will lead to a £3.7 billion fall in social security spending by 2021 in Scotland.
The report estimates the benefit freeze has the biggest impact, reducing spending by around £190 million in the current year, rising to around £370 million by 2020/21.
Other findings include:
- Over the first year of its implementation around 3,800 Scottish families have seen their incomes reduced due to the Two Child Limit – each year more children will lose out on up to £2,780 per year because they were born after the arbitrary April 2017 cut-off date
- Around 3,500 Scottish households have been capped each month since the Benefit Cap was lowered in 2016 – 89% of families with capped legacy benefits have children, while 64% are lone parent households. 45% of these households lose out by £2,600 per year or more
- Because of the decision to reduce Universal Credit (UC) work allowances, each year sees more and more working people lose out as they move onto UC. By 2021 working UC claimants in Scotland are expected to lose around £250 million per year in total
Social Security Secretary Shirley-Anne Somerville said: “This detailed report paints a stark picture of the reality of life for many people in Scotland. It represents damning evidence against the DWP’s current programme of welfare cuts which are only set to get worse.
“These cruel cuts are forcing more people into poverty at the very time the Scottish Government is focussed on getting children and families out of poverty.
“More and more families are finding it hard to make ends meet as prices of essentials go up and the levels of their income and benefits go down. The increased reliance on food banks is a damning indictment.
“Esther McVey cannot ignore this report. That is why I am sending her a copy and urging her to immediately end the freeze on benefits. I will also be sending a copy to the UN Special Rapporteur on extreme poverty and human rights in advance of his visit to the UK later this year.
“Scotland’s social security system is being built upon principles of dignity and respect. Today’s report – published at the start of Challenge Poverty Week – shows that the current UK system is built upon the complete opposite.”
Director of the Poverty Alliance, Peter Kelly said: “Scotland is a compassionate country where we all believe everyone should have a decent standard of living. The help that people receive through social security is important in helping to make that happen. This report shows that more needs to be done.
“In order to ensure everyone has a decent standard of living we need to see an end to the freeze in benefit levels. The cost of living hasn’t been frozen, so it’s right that social security payments should keep up with those costs.”
Challenge Poverty Week runs from Monday 1 until Sunday 7 October. More than 100 groups and organisations are expected to take part in the annual event to highlight the problem of poverty in Scotland, to show its impact on the whole of society and showcase solutions.
A full list of activities can be found at www.challengepoverty.net/events/
The Benefit Cap refers to the UK Government’s policy to limit the total benefit entitlement for working age households, with some exemptions. From November 2016, couples with or without children (living outside London) cannot receive more that £20,000 in benefit entitlement per year. The cap is lower for single people without children (£13,400 per year).
The Benefit Freeze refers to the UK Government’s policy to not uprate with inflation the main working-age rates of Income Support, Jobseeker’s Allowance, Employment and Support Allowance (excluding the support component) and Housing Benefit, as well as most elements of Working Tax Credits and Child Tax Credit (and the corresponding element of Universal Credit) and Child Benefit. The policy is in place for four years from 2016/17 until 2019/20 inclusive.
The Two-Child Limit refers to the UK Government’s policy to restrict the Child Tax Credits (CTC) and child element of UC to two children per household. The rule applies to new births after 5 April 2017 for Child Tax Credits and new claims to Universal Credit. A number of exceptions apply, in the cases of multiple births and non-consensual conceptions.
Audit Office report condemns Universal Credit roll-out
“The Department has kept pushing the Universal Credit rollout forward through a series of problems. We recognise both its determination and commitment, and that there is really no practical choice but to keep on keeping on with the rollout.
“We don’t think DWP has shown the same commitment to listening and responding to the hardship faced by claimants. Maybe a change of mind set will follow the publication of the claimant survey on 8 June. We think the larger claims for Universal Credit, such as boosted employment, are unlikely to be demonstrable at any point in future. Nor for that matter will value for money.”
Amyas Morse, head of the National Audit Office, 15 June 2018 Continue reading Audit Office report condemns Universal Credit roll-out
Edinburgh loses £4.1 MILLION because of “toxic Tory” welfare cuts
SNP MSP GORDON MACDONALD DEMANDS DEVOLUTION OF SOCIAL SECURITY POWERS
Freedom of Information figures supplied by the Department for Work and Pensions have shown that Edinburgh has lost out on £4.1M because of Tory cuts to disability benefit. Continue reading Edinburgh loses £4.1 MILLION because of “toxic Tory” welfare cuts
McVey urges city councillors to attend two-child limit demo
“This treatment is cruel and it is inexcusable” – City of Edinburgh Council Leader Adam McVey
SNP Council leader, Adam McVey, has called on all City of Edinburgh councillors to attend a demonstration, on Thursday and show their opposition to the UK Government’s Two Child Cap and associated “Rape Clause”. Continue reading McVey urges city councillors to attend two-child limit demo