Post Office launches new cash delivery option to help the most vulnerable

Cash delivery payments are now available for the most vulnerable individuals thanks to the Post Office in partnership with the Department for Work and Pensions (DWP).

The cash payments are available to the DWP to use to support their most vulnerable customers, initially in England, who are shielding because of the risk of infection should they leave their home.

The National Shielding Service is a working partnership with DWP that enables contact to be made with specific customers to determine if they need to receive a cash payment to be delivered.

When notified by DWP of those individuals who require a cash delivery, the Post Office will ensure cash is sent to their home using Royal Mail Special Delivery and that it arrives by 9pm the following day. This means that those individuals who must avoid leaving the home because of the risk of infection receive the cash that they need.

The Post Office has repurposed part of its foreign exchange cash delivery business to enable the overnight delivery of sterling cash and meet demand.

Guy Opperman, the Minister for Pensions and Financial Inclusion, said: “We’re doing whatever it takes to ensure people are supported through these unprecedented times. This joint initiative enables us to reach out directly to those most likely to need support, and get cash delivered to their door where necessary.

“Thanks to the hard work of DWP and Post Office staff, vulnerable customers can rest assured there is help available if they need it.”

Nick Read, Chief Executive at the Post Office, said: “I am delighted that Post Office has been able to switch its travel money delivery business to get cash directly to those that need it most.

“Working with the DWP we are able to help some of the most vulnerable in our society, including those who have been asked to shield themselves at home, with the ability to deliver cash directly to their door.”

Postal Affairs Minister, Paul Scully, said: “Vulnerable people may be self-isolating but they are not alone.

“This vital service will ensure the Government can get cash to people that need it, without them having to leave their homes. I want to thank postmasters and their teams for their continued hard work to support our communities across the UK.”

This new cash delivery option has initially been made available to those POCA customers who are shielding at home and are the most at risk from the virus.

There are around 27,000 Post Office Card Account (POCA) customers to whom this could applyand they are being actively contacted to ensure they are able to regularly access their payments.

This service adds to the range of measures the DWP can use to support these individuals shielding at home, providing a last-option mechanism for customers to receive cash who cannot visit their normal payment location.

Gareth Shaw, Head of Money at Which?, said: “This is an important move that recognises vulnerable people need help to access the cash they rely on to pay for essentials during the coronavirus lockdown.

“The difficulties many people are facing without easy access to cash demonstrates why the government must act swiftly on its promise to legislate to protect the availability of cash for consumers for as long as they need it.”

Earlier this week, the Post Office announced details of two its access to cash products – ‘Fast PACE’ and ‘Payout Now’ had been made available to the UK’s banks, building societies and credit unions.

These products can be offered to their customers who are self-isolating and require cash. The Post Office is considering how to make its new cash delivery service available to the UK’s financial institutions and who can offer it to their customers.

Post Office customers can see how coronavirus may affect Post Office services on its website and can find the latest information on the Post Office Card Account and branch opening hours on its Branch Finder.

Over 110,000 Universal Credit claims since coronavirus outbreak

Claims for Universal Credit in Scotland have increased from an average of 20,000 per month in 2019 to over 110,000 between 1 March and 7 April, highlighting the impact the pandemic is having on people’s finances.

That’s why the Scottish Government, in partnership with the Citizens Advice network, is launching a new campaign to raise awareness of the financial support available to people.

The campaign will provide information and advice on issues including rent and mortgage payments, energy bills, council tax, and benefits people may be entitled to.

People will be able to access this advice online, by phone or by contacting their local Citizens Advice Bureau.

Cabinet Secretary for Social Security and Older People Shirley-Anne Somerville said: “This huge increase in claims for Universal Credit demonstrates just how many people across the country are struggling financially due to the coronavirus pandemic.

“These are difficult and worrying times for everyone, with many people requiring financial support for the first time and even more pressure on those who were already struggling to make ends meet.

“It is welcome that people are claiming the support that they are entitled to from the DWP, and I would encourage people to look into what additional help is available. Even if you are not entitled to Universal Credit, there could be other assistance that you can access so it is worth checking.

“That’s why we’ve been working with the Citizens Advice network in Scotland to create this central source of information – with everything from guidance on benefits, right through to what you can do if you are worried about paying your mortgage or rent.”

DWP entered into a new partnership with Citizens Advice in March last year, providing £39 million of funding to Citizens Advice and Citizens Advice Scotland to provide this service. DWP also funded Citizens Advice and Citizens Advice Scotland a further £12 million to set up delivery to ensure a smooth transition to the new delivery model. 

Citizens Advice Scotland Chief Executive Derek Mitchell said: “The Citizens Advice network in Scotland is known for always being there to help and the support we give will be more important than ever to help people avoid getting into crisis.

There may also be lots of people who have never used our services before and it’s crucial that they know our information and advice is there for them too.

“Our national network of Citizens Advice Bureaux is still operating for those who need it – if you have been financially impacted by the coronavirus outbreak your local Citizens Advice Bureau can help make sure you have access to all the income you are entitled to, as well as giving tailored advice about what’s on offer within local communities across Scotland.

“There’s increased demand for our advice on financial services, that’s why we’ve created dedicated COVID-19 content online so people get the information they need 24/7 and from the comfort of their own homes.

“We’ve also got a dedicated helpline for people who might not be able to access our services online. If you have been financially impacted by the coronavirus outbreak and require free, confidential, financial support, please visit cas.org.uk or call 0800 028 1456.

“Local Citizens Advice Bureaux are situated around the country. To find your local service, simply enter your postcode at cas.org.uk/bureaux

Universal Credit claimants can verify identity through Government Gateway

People applying for Universal Credit will now be able to use their existing Government Gateway account to confirm their identity, helping to speed up their claim, says the Department of Work and Pensions.

The move is expected to help thousands of claimants applying for the benefit and will be available to those who have used the Government Gateway in the last 12 months to access their Personal Tax Accounts, including to check their tax credits, send a personal tax return, or check their state pension.

Others applying for the benefit can continue to confirm their identity using GOV.UK Verify.

The DWP is acting to streamline processes where possible after receiving more than 1.4 million claims since 16 March 2020, as well as urgently redeploying 10,000 staff with a further 5,000 being recruited to aid efforts.

As people apply for Universal Credit, they will have the option to submit their

Government Gateway credentials which the department will use to progress their claim.

The department has already introduced a package of measures in response to COVID-19 providing urgent financial support, including increasing the standard allowance of Universal Credit and basic element of Working Tax Credit and suspending the Minimum Income Floor for the self-employed.

You can find out more about how to apply for Universal Credit here.

Universal credit: Emergency boost needed

The last few weeks have seen an unprecedented change in the economic situation of the UK (writes the TUC’s KATE BELL). Since the Prime Minister announced a full ‘lockdown’ on the 23rd March, economic activity in the UK has been rightly restricted in the service of protecting public health.

The TUC has clear priorities throughout this crisis. First, to ensure that public health is protected. Second, to protect workers’ jobs and livelihoods.

Following calls from the TUC and unions the government has announced welcome schemes to try to keep people in work. Protecting jobs must be the first step to protecting incomes and ensuring the country can get back on its feet when the crisis subsides.

But there is still more to do to ensure everyone who is sick gets the income support they need and support the livelihoods of those who do lose their jobs.

Our safety net has been dramatically undermined after years of underinvestment. The UK has avoided mass unemployment since the recession of the early 1990s, and the devastating unemployment of the early 1980s. Those experiences left deep scars, which we are still seeing the legacy of today. It is vital the government does everything it can to keep people in work now.

But even in the 1990s, our safety net was stronger. In 1993, the last time the unemployment rate went over 10 per cent, the basic rate of unemployment benefit was worth around a fifth of average wages. In 1984, when unemployment was over 11 per cent, the benefit was worth a quarter of the average wage. And in 1979, it was worth 30 per cent of the average wage. Today – even after the welcome recent increase by £20 a week – the basic rate of universal credit is worth around a sixth of average weekly pay (17 per cent).

UC

The UK system also compares poorly to the support provided internationally. In most European countries, unemployment benefits are related (at least in the initial period of unemployment) to previous wages to cushion income shocks, ranging from 60 per cent of previous wages in Germany to 90 per cent in Denmark.

In a new report we call for a new plan to fix the social safety net, building on our previous reports on sick paya job retention scheme, and support for the self-employed. We call on the government to urgently raise the basic level of universal credit. Restoring ‘replacement rates’ to the level seen before the long dismantling of the safety net began in the 1980s, would mean increasing the payment of universal credit to £165 a week – around 30 per cent of average wages.

But we think the government should be more ambitious to protect against this income drop. We recommend raising the basic rate of universal credit for this period to the value of 80 per cent of weekly earnings at the national living wage – or £260 a week.

In addition government should:

  • Suspend any conditionality requirements with universal credit, as well as parts of the application process. Applications for universal credit are being delayed by the need to carry out a telephone appointment with a work coach. The requirement to hold a phone interview should be suspended, in addition to any work-related conditionality within the Universal Credit system.
  • Remove the savings rules in universal credit to allow more people to access it.
  • End the five week wait by converting emergency payment loans to grants.
  • Significantly increase Child Benefit payments. Child Benefit is the simplest, quickest and most effective way to get money to households with children. The level has long been too low. This payment would also recognise the additional costs many parents will face with having children at home because schools are closed.
  • Ensure nobody loses out as a result of these changes. The benefits cap should be lifted so that these increases do not just mean a change in the composition of the benefits someone receives. As well as this, no one on legacy benefits should lose the protection of the managed transition to UC as part of this change.
  • Remove the minimum hours requirements in working tax credits. Families still claiming tax credits must work a minimum number of hours to be eligible. This rule should be removed with immediate effect.

Government has acted swiftly to protect jobs. But for those who do lose work it’s vital the safety net is strengthened – fast.

Claimants asked to apply online as Jobcentres limit access

People are being urged to use online services before turning to the telephone for help with their benefit claim

With a rise in new claims, and with demand for support over the phone increasing, the Department for Work and Pensions is taking unprecedented action to make sure people can get the support they need, including moving 10,000 existing staff to focus on processing new claims.

In line with recent Government guidance and to best serve those who need support, the Work and Pensions Secretary has taken the decision to limit access to jobcentres from tomorrow, with members of the public not admitted into jobcentres unless they are directed to do so with a booked appointment.

Only the most vulnerable claimants who cannot access DWP services by other channels will be invited to attend, with the public urged to use online services.

In addition, the Secretary of State has also today announced that reviews and reassessments for disability benefits are being suspended for the next three months. The suspension will be kept under regular review and extended if necessary.

These stronger measures come in response to the changing situation and mean more staff are being deployed to process new claims and make payments, with remote support a top priority for the department.

Around 10,000 existing staff will be moved to process new claims, with 1000 already in place. In addition, the Department is expecting to recruiting 1500 extra people to aid the effort.

The changes are part of the Government’s effort to stop the spread of the virus, supporting people to stay at home, protect the NHS and save lives.

The measures follow Government guidance last week that people were not expected to attend face to face jobcentre appointments, and the suspension of face-to-face assessments for all sickness and disability benefits for the next 3 months.

In the meantime, all services can be accessed online and over phone with the Work and Pensions Secretary Therese Coffey is urging people to use online services first, helping keep phone lines free for those who really need them.

Secretary of State for Work and Pensions Therese Coffey said: “Our jobcentres are fully committed to supporting people facing challenges during these extraordinary times.

“To help people most effectively and efficiently, we need people to claim online. If you cannot get online, phone us for help and we will only see people face to face in our jobcentres if invited.”

Those looking to put in a claim for Universal Credit or Employment and Support Allowance should apply online.

For more information visit Understanding Universal Credit

 

Face-to-face health assessments for benefits suspended

Face-to-face assessments for all sickness and disability benefits will be suspended for the next 3 months, the government announced yesterday.

The temporary move, effective today, is being taken as a precautionary measure to protect vulnerable people from unnecessary risk of exposure to coronavirus as the country’s response ramps up in the ‘delay’ phase. The DWP says they will ensure those who are entitled to a benefit continue to receive support, and that new claimants are able to access the safety net.

It affects claimants of Personal Independence Payment (PIP), those on Employment and Support Allowance (ESA) and some on Universal Credit, and recipients of Industrial Injuries Disablement Benefit.

The suspension of face-to-face assessments also covers new claims to those benefits.

Work and Pensions Secretary Thérèse Coffey said: “As we move into the next phase of our response to coronavirus, it is right we take steps to protect those with health problems.

“Temporarily suspending face-to-face assessments for sickness and disability benefits will allow us to ensure we continue to provide a safety net for those in need, while removing unnecessary risk of exposure to this disease.”

Anyone who has a face-to-face assessment appointment scheduled from today – Tuesday 17 March – onwards does not need to attend and will be contacted to discuss next steps and alternative arrangements, which could involve either telephone or paper-based assessments. DWP expect this measure will be in effect for the next 3 months but will regularly review the position in line with Public Health advice.

No further action is required by any claimant as a result of this change. They will be contacted with advice on next steps.

DWP continues to accept new claims for all benefits. Anyone already receiving PIPESA, Universal Credit or Industrial Injuries Disablement Benefit, will continue to receive their current payments as normal while alternative arrangements are put in place to review or reassess their claim.

Suspending face-to-face health assessments is a precautionary measure which reflects the Prime Minister’s decision to trigger the ‘delay’ phase. It is important to note that this change does not affect or change any existing public health advice.

Read the current NHS guidelines on coronavirus, including advice on those who should stay at home.

Benefits: break the barriers

The UK and Scottish Governments must work more closely together to ensure people get the benefits they are entitled to, a new report by the Scottish Parliament’s Social Security Committee has said.  It is estimated that currently billions of pounds in benefits go unclaimed every year.

The Committee welcomed the Scottish Government’s statutory duty to have a benefit uptake strategy and praised the Scottish Government for their attempts to increase the take-up of devolved benefits.

However they expressed express alarm at the DWP’s lack of benefit take-up strategy. The Committee suggested that Social Security Scotland could take the lead on driving forward uptake strategies for both devolved and reserved benefits.

The report raises concerns about the lack of accurate data on estimating eligibility and take-up, meaning the full extent of the problem is not known. The Committee recommended the UK and Scottish Government commission joint research to improve the data available.

The Committee also highlight the continuing barriers which can mean people do not claim benefits they are entitled to. These include the stigma of claiming, people being unaware of what they are entitled to, onerous application processes, and those living in rural Scotland facing geographical barriers.

The report also warns that the current ‘digital by default’ approach in Universal Credit is excluding people who are not IT literate or don’t have access to the internet. The Committee wants all benefits to be available through multiple application channels.

Bob Doris MSP, Convener of the Social Security Committee said: “It is simply not good enough that billions in benefits continue to go unclaimed every year. Given one of the DWP’s stated aims with Universal Credit was to increase take-up, the fact they have no strategy to achieve this is deeply alarming.

“It is absolutely vital we get more accurate data on the numbers entitled to benefits so that any communications strategies can be targeted at those in need who are missing out.

“Data sharing across Governments and agencies is a key factor in improving take-up rates and we are adamant that GDPR must not be used as an excuse to not share data. It’s also crucial that welfare agencies are adequately funded and we are seeking increased and sustained funding for these agencies going forward.

“Our evidence has made it clear that both governments must do more to work productively together to ensure people receive the benefits they are entitled to and remove any barriers which mean people miss out.”

The convener added: “We have also heard concerns over a possible policy spillover issue where if the Scottish Government increases the uptake of a reserved benefit, then they may have to financially compensate the UK Government.

“That’s unacceptable. We need urgent clarity on this issue and a far greater level of coordination for maximising benefit take-up, whether devolved or reserved, is required”.

benefit take-up report

Sixteen year old Scots won’t face PIP ordeal

The Scottish Government will use its new benefits powers to remove the need for children to take part in Department for Work and Pensions (DWP) Personal Independence Payment (PIP) assessments.

Under current DWP rules, children getting Disability Living Allowance for Children are asked to apply for PIP six months out from their 16 birthday, but under the Scottish Government changes, young people will continue to get DLA Child, as long as they remain eligible, up to the age of 18.

This means that they will not need to do a DWP PIP application or assessment – which many people say are stressful.

The change comes as the Scottish Government takes full responsibility for disability benefits from April this year.

Social Security Secretary Shirley Anne Somerville said: “We know from people like June Jamieson, a parent who has had direct experience of the current system, that making the transition from child to adult services can be a challenging time for their child and family.

“Adding to this, young people may be going through changes in a number of other areas of their life at the same time. We’ve also been told that the fact that this transition is to PIP, creates even more stress and anxiety.

“This is why we are using our new social security powers to extend the eligibility,  ease the pressure on families and make sure young people in Scotland have adequate time to move from children to adult social security support.

“Our priority for people already getting this support from the DWP is to move them over in a safe and secure way and make sure that people get the financial support they expect, when and where they expect it.”

Ms Jamieson, from Edinburgh, has recently applied for PIP for her son Alex, who turned 16 in January. She said: “So many things are happening in a child with additional needs life when they turn 16, for example they need to think if they are staying on at school, and parents may need to apply for guardianship.

“It will really take the pressure off lots of other families not to have to worry about this. Although Alex won’t benefit from the changes I am really pleased that other people will. I have the fear of the unknown waiting to hear the outcome of his PIP application.”

More ways to apply for new benefit

Applications for the new Child Disability Payment will be available online, face-to-face and by telephone – for the first time ever.

The Scottish Government is introducing the new benefit this summer, replacing the UK Government’s Child Disability Living Allowance.

By offering a variety of ways for people to apply, the Scottish Government wants to make it as easy as possible for those applying when this first disability benefit opens to new claimants. Paper-based applications are the only possible method under the current UK Government system.

Other improvements include:

  • local delivery staff across the country to provide pre-application support
  • rolling awards with a maximum review period of ten years when the condition of applicants is unlikely to change
  • the option of financial short-term assistance if a person challenges a decision to reduce or stop their disability payment
  • Child Winter Heating Assistance will provide a £200 payment to families with disabled children who receive the highest rate of payment

Social Security Secretary Shirley-Anne Somerville said: “We want to remove barriers to accessing the financial support people are eligible for and end the stress and anxiety felt by those using the current UK Government system.

“Offering different, convenient ways to apply, as well as consistent, considerate and sensitive support through the application process, will transform the experience for parents, guardians and carers applying for their loved ones.

“These are the improvements people have told us matter to them. By listening to those with experience of the social security system we can create a system from the ground up that meets the needs of the people of Scotland.

“It is a system that recognises that social security is a human right and will treat people with fairness, dignity and respect.”