Darren Bird, DWP 9 November 2011

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Presentation transcript:

Darren Bird, DWP 9 November 2011 Universal Credit Darren Bird, DWP 9 November 2011 UNCLASSIFIED

Universal Credit: Scope Universal Credit means the following benefits will no longer be needed… Income related Jobseeker’s Allowance Income related Employment and Support Allowance Income Support (including SMI) Child Tax Credits Working Tax Credits Housing Benefit Social Fund (budgeting loan elements) But the following benefits will still be available… Disability Living Allowance (will be replaced by PIP in 2013) Contributory Benefits (although earnings rules aligned) Child Benefit Pension Credit (that will include a Housing Credit to support those who rent, the intention is it will broadly replicate Housing Benefit rules & a new additional amount for children in the Guarantee Credit) Carers Allowance Council Tax Benefit replacement

Universal Credit: Conditionality framework The Welfare Reform Bill sets out: four types of work-related requirement four conditionality groups No “partners” - each adult in a household will be placed into a group according to their individual capability and circumstances. Recorded in a claimant commitment No work-related requirements Work-focused interviews Work preparation All work-related requirements

When will we deliver Universal Credit? Feb ‘11 Apr ‘13 Oct ‘13 Apr ‘14 Oct ‘14 Oct ‘15 Oct ‘16 Oct ‘17 Design & build Test New claims from out of work customers New claims from in work customers “Natural” migrations as a result of changes of circumstances Managed migrations 2.5m 4.5m 6m 8m Legacy load JSA, ESA, IS, HB, WTC, CTC UC load 4

Payment approach Single payment for whole household Monthly payment All to claimant (rather than direct to landlord) A significant change for some claimants Support What support will claimants need to manage this change? Who should deliver the support? Which claimants will need support? Exceptions In what circumstances should we make an exception to the payment approach?