Universal Credit: Update Kyle Murray External Relations & Orientation Universal Credit Programme

Universal Credit Rollout Update Universal Credit is now live in the entire national jobcentre network for single unemployed claimants across Great Britain. It is also available for couples and families in nearly 100 of these areas The transition of live service sites to the full service will begin from May 16 at around 5 jobcentres per month. From February 2017 we will accelerate the transition to around 50 jobcentres per month The full Universal Credit service will be open to all new claims from all claimant types, this will also include anyone who is currently on existing benefits or Tax Credits and has a change of circumstance that would naturally trigger a new claim to Universal Credit. After the transition process has completed in mid 2018 we will then begin migrating all remaining existing benefit claimants to the full Universal Credit service, this part of the process will complete in 2021. The full service will be in 43 Jobcentres by December 16, running alongside the national service. The Full Service rollout plan for May - Dec 2016 is available here: https://www.gov.uk/government/publications/universal-credit-transition-to-full-service Other key announcement dates: around July 16 - sites going live with the Full Service between Jan and April 17 around Sept 2016 - sites for the rest of the Full service rollout

Rollout of the full service Live UC service in all 714 jobcentres areas in GB April 2016 Expansion to the full-service begins Around 5 jobcentres per month May 2016 Acceleration of the full service begins Around 50 jobcentres per month Feb 2017 Transition to the full UC service will rollout in phases between May 2016 - June 2018 Transition Testing migrations will begin in 2017 Start of national migration will start 2018 Migration

Universal Credit Full Service It’s a whole service – work and benefit in one integrated proposition It’s built from user needs (claimants or agents) It’s empowering to users, putting their data and the responsibility for it in their hands It’s built by a multi disciplined team all focused on the outcomes and purpose of UC It’s delivery is reprioritised all the time based on evidence of efficiency and effectiveness

Claimant opens account to claim UC online Claimant opens account to claim UC online. It’s the claimants account to manage and interact with the DWP. Support continues digitally until claimant is on a zero payment. However if their situation changes, they can report this online. Claimant may attend claimant commitment interview dependant on workgroup. Here they will receive tailored support from a work coach. As the claimant finds work they can report this online and still receive support as their UC entitlement decreases. The service adapts to claimants circumstances and the coaching channel shifts with it. The more self sufficient – the more digital the interaction A relationship is built with a mixture of face to face and digital / remote coaching using To Do’s and Journal entries. Payments are shown too.

Questions you asked at the last CA event in January 2016 Q: How long does it take the claimant to receive payment for Universal Credit? A: It takes approximately 6 weeks for a new claimant to Universal Credit to receive their payment Q: Are there any pay day loans available to support claimants? A: Universal Credit does offer Budgeting Advances to claimants which are designed to help claimants pay for intermittent household expenses and to help towards the costs of obtaining or retaining employment – including help with childcare costs. A claimant's need for a Budget Advance is discussed with their Work Coach or Service Centre Agent. In addition claimant may be able to access the Flexible Support Fund (FSF). The FSF was introduced in April 2011 to support the delivery of the Jobcentre Plus offer.

Questions you asked at the last CA event in January 2016 Q: Is there a transition payment to cover utilities bills and supplies for claimants?     A: Universal Credit (UC) deliberately fosters independence and personal responsibility. The claimant is responsible for paying their day to day household expenses. When someone naturally migrates to Universal Credit from another benefit, their previous Third Party Deductions are stopped. The claimant will have an initial interview at the jobcentre to discuss and agree a claimant commitment. Budgeting and their financial circumstances are discussed at this point. A claimant may be eligible for a budgeting advance pending their first Universal Credit payment to help with immediate living expenses. The claimant will need to discuss any utility arrears that exist with their supplier and agree how these will be covered in the future. If there are arrears then the supplier can apply for a third party deduction for their customer’s UC award.

Questions you asked at the last CA event in January 2016 Q: Who pays for Warm Home discounts? A: Affordable Warmth is levied on a customers utility bill in order to support other vulnerable customers. Eligibility Criteria: Claimants must own their property or rent it privately and have the owner’s permission to do the work, and be in receipt of any of the following: Pension Credit Child Tax Credit (and your income is £16,010 or less) Working Tax Credit (and your income is £16,010 or less) Income Support income-based Jobseeker’s Allowance income-related Employment and Support Allowance Universal Credit (and earned £1,250 or less net in any assessment period in the last 12 months) Verification : UC Claimants are asked to present a UC Award Notice that shows they have earned less than £1250 in an Assessment Period in the last 12 months

Questions you asked at the last CA event in January 2016 Q: What percentage of supplies payment is deducted from UC claimants and what is the maximum deduction and from how many suppliers? A: Where a number of deductions are needed, these are made according to priority. This is called the deductions priority order and only 3 Third Party Deductions can be made in any one assessment period. Deductions for utilities arrears are an amount equal to 5% of the Universal Credit standard allowance. Where we make a deduction for arrears of utilities we will also make a deduction for current consumption The maximum amount that can be deducted each month for the aggregate of all deductions is an amount equal to 40% of the Universal Credit Standard Allowance unless there are specific circumstances where it is in the claimant’s interest to exceed this limit. A single priority order for deductions lists all debt repayments that can be deducted from benefit. Where a number of deductions are required that would mean the 40% limit is exceeded, the priority order is applied to protect the claimant from excessive deductions. Last resort deductions are made first, then deductions that enforce social obligations, and lastly benefit debt is deducted.

Questions you asked at the last CA event in January 2016 Q: Will funding be provided to support claimants during transition – this could be secured through other organisation, eg LA? A: The expectations are that LAs will provide direct support for claimant and for Personal Budgeting Support, there’ll also be a digital assistance requirement. The Local Support Services Framework now Universal Support delivered locally (USdl) was developed to acknowledge that some people will need additional help in making and maintaining a claim to Universal Credit. It intends that claimants who are not yet ready to budget for themselves or to routinely self serve through the internet, are protected and assisted as we transition to the new UC system. Usdl sets out a framework for local partnership working to deliver end- to- end support to the claimants with multiple and complex needs and asks partnerships to ensure that suitable integrated pathways of support are available to meet those needs. We plan to refresh the US dl strategy in the summer to support the continued roll out of Universal Credit full service. This strategy will take into account the learning from the 11 USdl trials that will report in Spring.

Update since the Hammersmith DWP utility company event – Feb 16 UC Technical Guides We are producing a series of Technical Guides over the coming months to provide detailed information on the more complex areas of Universal Credit A number of debt streams will be moving over to Universal Credit as we progress with roll out – therefore Debt will feature as a key strand of the guides We have just completed a guide on Tax Credit debt – available on GOV.UK Supplier debt is a very complex area so we will also be producing a comprehensive Debt Technical Guide later this year (incl supplier debt) DWP working collaboratively with suppliers on this product

Update since the Hammersmith DWP utility company event – Feb 16 Utility company support packs We are currently developing a support pack for suppliers to be hosted on GOV.UK The support pack will cover: What is Universal Credit and who can claim Information on Universal Credit standard allowances, trigger levels, the priority order and the criteria for deductions Information on how to apply for a deduction in both the live and the full service. Aspects of supplier debt or references to the Technical Guide Information on our notifications, inc what to expect in terms of detail and why Scenarios of claimants with debt in different circumstances and how they are dealt with under Universal Credit

Update since the Hammersmith DWP utility company event – Feb 16 - Future Plans We are looking to hold a specific consultation event regarding the TPD process. We want to do this so that we have open dialogue regarding any current issues with the process but also to highlight any future asks from an automated service Continually working with Universal Credit Operations to improve the service suppliers receive and to ensure our agents continue to follow the process and the policy intent for deductions We will continue our engagement with national suppliers to ensure the transition to Universal Credit is a success

Any Questions?