1. Benefit Update

2. Universal Credit Main issues seen by Citizens Advice locally to date
Difficulties with verification of identity leading to delays and additional costs
Delay between claim and initial verification interview at Job Centre meaning UC advance cannot be applied for
Difficulties organising home visits for vulnerable clients
Digital access; both making claim and managing claim online
Lengthy call times to set up initial appointment at JCP
What is happening locally
reports that research shows that while 35 per cent of universal credit claimants can use the Verify online service, 30 per cent are not yet able to, and 35 per cent could verify online but do not. Research at a jobcentre also showed that out of 91 users, 48 needed help with the process.

3. continued
Significant problems claiming contributory Employment & Support Allowance (ESA) and Job Seekers Allowance (JSA)
Lack of transitional protection for the most vulnerable claimants
Inaccurate information given by some call centre and Job Centre staff; clients being advised to claim UC when then will be disadvantaged by doing so
No implicit consent for third parties making it more difficult to resolve any issues
What is happening locally
reports that research shows that while 35 per cent of universal credit claimants can use the Verify online service, 30 per cent are not yet able to, and 35 per cent could verify online but do not. Research at a jobcentre also showed that out of 91 users, 48 needed help with the process.

4. Support for Mortgage Interest (SMI)
124,000 people currently get SMI payments – average £40 per week for those of working age
From 6th April 2018 this will become a loan
For many people this will mean a loan will be secured on their property
Before a loan can be offered claimant must receive “relevant information” about the scheme and its consequences
Those already receiving SMI will receive a ‘warm-up letter’ and leaflet and then a call. There is no compulsion to get a loan
All new claimants will be contacted at the end of the waiting period (immediately if of SRP age)
Information provision has been outsourced to a third party – SERCO
Transitional protection: removal of SMI where this would remove eligibility of benefit
New claimants they will potentially lose the passporting element

5. Continued
Loan payments will be made at the same rate as current support – currently 2.61%
Total amount to be repaid calculated using compound interest
Payments usually made to lender
Payments will continue indefinitely (no 2 year limit as with JSA) unless a change in circumstances e.g. benefit entitlement ends, on UC and any hours of work
Change of circumstances does not trigger repayment of loan
Maximum £1000,000 for LB / £2000,000 for UC
Repayment can be made voluntarily
Potential difficulties for recovery of loan in jointly owned properties but not joint claim

6. PIP
In March 2017 DWP amended the PIP regulations to exclude claimants from three of the ‘planning and following a journey’ descriptors on the basis of psychological distress.
This was challenged in the High Court which found the amendments were ‘blatantly discriminatory’ and ‘merely to save money’
Government have announced they will not challenge the judgement
DWP estimate 220,000 will be owed PIP mobility component as a result
It will review 1.6 million claims to identify anyone who may be entitled to more PIP
e.g. cannot follow the route of an unfamiliar journey

7. continued
This review will include claimants who are currently receiving the standard rate of the PIP mobility component and experience psychological distress.
DWP will directly contact anyone who is affected and additional payments will be backdated to date of claim. Claimants do not need to do anything
The effective date will be either the date of the claim or the date of the judgment (November 2016), whichever is the later date.
This will include those that scored zero points
There will be no repeat medical assessments
There is no timetable for reassessments

8. Free School Meals on UC
From 1st April 2018 there will be a new UC earnings threshold to receive FSM
Threshold is annual net earned income £7,400 at the point of claim (£ in one AP)
Applies to earnings over a relevant period which can be one, two or three assessment periods preceding the request for FSM
Transitional protection for those receiving FSMs on legacy benefits
It is not clear how this will work in practice
These are set at:
£ – one AP
£1, – 2 APs
£1,850 – 3 APs
Entitlement continues to the later of either 31 March 2022, or the date the child completes the stage of education the child was undertaking on 31 March 2022.