Universal Credit
Debate between Catherine McKinnell and Andrew Rosindell(7 years, 8 months ago)
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Catherine McKinnell
The hon. Gentleman raises an important point and one that I will go on to make in some detail. The Government were warned that it would not be straightforward.
I mentioned the timetable because it is very complicated. Everyone would like confirmation from the Minister when he responds to the debate about how it now fits alongside the proposals that the Department for Work and Pensions published in January to close an estimated one in 10 jobcentres and to merge or co-locate others. It is clear that the roll-out of universal credit is a hugely complex task and that hard-working jobcentre staff are being placed in an incredibly challenging situation. The Library briefing note states that it involves
“not simply the creation of a new benefit but development of entirely new administrative systems to support it. This includes development of the Digital Service, the online IT system via which claimants and DWP will manage awards, and training staff to administer a new conditionality and sanctions regime that imposes requirements on in-work as well as out-of-work claimants.”
Because universal credit requires a broader span of people to look for work than is the case with legacy benefits, for example by including those in receipt of housing benefit or child tax credit and the partners of universal credit claimants, there has been a marked effect on the claimant count in areas that have full service universal credit. There was a 25.5% increase in the claimant count in full service areas in the year to January 2017, compared with an increase of 0.1% across the UK as a whole.
There are numerous concerns about the impact of universal credit on existing claimants, particularly families with disabled children whose caring responsibilities prevent them from working. The charity Contact a Family estimates that such families could be up to £1,600 a year worse off after being transferred to universal credit.
Andrew Rosindell (in the Chair)
There is a Division, so we will return in 15 minutes.