1. Part of the Department for Work and Pensions INFORM – Update 4 Jan 2011 Welfare Reform in the South West Contents: Work Programme Get Britain Working Universal Credit Incapacity Benefit Reassessment Regional External Relations Manager’s Message Welcome to the fourth edition of INFORM. Firstly, may I wish you all a Happy New Year for 2011. Last year we saw the government set out a clear plan for welfare reform and this programme of changes will continue in 2011 and beyond. Work is well underway on the Get Britain Working initiatives and the formal Invitation to Tender for delivery of the Work Programme was issued on 22 December to DWP Framework Suppliers. The South West provider engagement event held on 10 December was a resounding success, with over 180 partners and stakeholders having the opportunity to network and meet the successful Framework Suppliers in the SW. This year also sees major changes for Jobcentre Plus as we merge with our colleagues in the South East to form the new Southern Group. Paul Williams ( previously Customer Service Director for South East region ) has been selected as the new Customer Service Director for the Southern Group, and will take up post from 1 st February 2011. Claire Mc Guckin will be moving on to take up post as Customer Service Director for the new Central Group. We will keep you updated of the challenges ahead as we move in to our new structure. Phil Harrison South West Regional External Relations Manager

2. What progress has been made on introducing the Work Programme ? DWP has announced the completion of the selection process for the Employment Related Support Services ( ERSS ) Framework and has made their Award Decision. A list of organisations who have been successful to become part of the Framework for the Provision of Employment Related Support Services has now been published on the DWP website. Framework for the Provision of Employment Related Support Services - DWP What are the transition arrangements from existing provision to the Work Programme? All current New Deal provision has been extended to the end of June 2011.The last referrals to New Deal will be made at the end of March 2011. What support will customers get? Eligibility for referral to the Work Programme has now been finalised ( see next page ). Customers will be offered help and support through Jobcentre Plus before referral to the Work Programme. The aim is to help people become better at looking for work and so move off benefit more quickly and find a sustainable job. We will also look to continue the drive to focus this support on those who really need it. What is the timetable for procurement of the Work Programme ? The formal Invitation to Tender for the Work Programme was issued to the successful Framework suppliers on 22 December 2010. The specification for the Work Programme is not prescriptive, thereby leaving maximum flexibility for the bidders to develop innovative tenders which meet the needs of specific localities. A copy of the specification can be found via : Supplying DWP websiteSupplying DWP website The deadline for Work Programme tenders to be returned is 14 February 2011. The Work Programme is on schedule to be implemented nationally by Summer 2011. Any queries from providers regarding the Work Programme should contact : THEWORKPROGRAMME.EXTERNAL@DWP.GSI.GOV.UK The Work Programme

3. Work Programme Eligibility Customer GroupTime of referralBasis for referral Jobseeker Allowance customers aged 25+ From 12 MonthsMandatory Jobseeker Allowance customers aged 18-24 From 9 MonthsMandatory Jobseeker Allowance customers who have recently moved from Incapacity Benefit From 3 monthsMandatory Jobseeker Allowance customers facing significant disadvantage From 3 monthsMandatory or Voluntary All Employment and Support Allowance customers At any time from Work capability assessmentVoluntary Employment and Support Allowance customers (income based) who are placed in “work related activity group” When customers are expected to be fit for work in 3 months Mandatory

4. Get Britain Working is a range of initiatives that are currently in different stages of development. These initiatives will form part of the Jobcentre Plus flexible menu of support which will be available to customers before they are referred on to the Work Programme. Jobcentre Plus District Managers will be given the flexibility to respond to the needs of the local labour market and will have some choice over which elements to offer. Some types of support will be targeted at certain designated areas, but this does not preclude District Managers in other areas from using their Flexible Fund to introduce similar support ( see next page ). New Enterprise Allowance This will be trail-blazed in Merseyside in January 2011 with expected roll out from April 2011 in targeted areas, with National coverage in the autumn. NEA will offer a structured route for those wanting to start a business by providing access to a range of support,including access to a mentor and grants for those with viable plans to move in to self employment. Work Experience This will be available from 24 Jan 2011 and will be part of the JCP District Manager’s flexibilities. This support will initially help young people develop the skills needed to secure a sustainable job by offering 18-21 year olds a period of work experience. JCP will be working with a range of employers to help deliver these opportunities. Work Clubs National Coverage In SW we now have over 250 Work Clubs up and running across the region. Work Clubs will provide unemployed people with a place to meet and exchange skills, share experiences, find opportunities, and get support to help them in their return to work. These are available to all customers and are run by a range of private, voluntary and public organisations. Work Together National Coverage This is now available from day one to all customers And offers greater Opportunities for them to volunteer in their local communities whilst they are looking for work. JCP continue to work with a number of organisations across the region to ensure we promote all available placements to our customers. Service Academies Still in development - these are expected to be available from August 2011and is likely to be a six week programme which will consist of pre- employment training, work experience placements and a job interview guarantee. This will be delivered in partnership with training providers and employers with JCP sourcing placements and selecting appropriate customers. Mandatory Work Activity National Coverage This is still in development but will run in addition to the Get Britain Working Initiatives. This contracted provision will to help people move closer to the labour market by providing labour market disciplines around attendance, timekeeping and carrying out specific tasks. Placements may last for up to four weeks. Progress towards Get Britain Working

5. Part of the Department for Work and Pensions Advisers will have flexibility to respond to the needs of individual customers: There will be a fully diagnostic interview with a customer at first interview to determine the level and type of support the customer receives Advisers will agree a personalised ‘contract’ with the customer Advisers will be able to give each customer the support they think they need, using the ‘time bank’ approach to adviser interventions They will be able to refer customers to support based on their individual needs and barriers, including support through the Flexible Fund Different support will become available at different points of a claim for JSA customers There will be some flexibility to defer referral to the Work Programme based on activity undertaken via Jobcentre Plus JCP Flexible menu of support JCP District Managers will have flexibility to respond to the needs of the local labour market: The menu of support below will in principle be for all Jobcentre Plus customers, though some may be restricted through national policy District Managers will have some choice over which elements to offer and to what extent, based on customer and local labour market characteristics They will choose how and where to target the Flexible Fund, which is discretionary money available to increase/speed up off- flows Some types of support will be targeted at certain disadvantaged areas – this does not preclude District Managers in other areas from using the Flexible Fund to introduce similar support Flexible Fund Discretionary funds to help customers overcome specific barriers and move into work Skills Light Skills Screen by JCP Service Academies Apprenticeships Volunteering National Database Of Opportunities www.doit.org.uk JCP Engagement with Local Voluntary Sector Peer to Peer Work Clubs Work Experience Work Choice Enterprise Self Employment Mentoring New Enterprise Allowance Start up support (BIS) Jobsearch Advisor Support Jobsearch training (Support Contract) Job vacancies database On line support Careers Advice JCP Group Sessions ESF Funding to support disadvantaged customers through locally driven contracted provision

6. Which benefits will be included in the changes? The Government has announced that it will introduce Universal Credit, which will bring together many of the current benefits and credits. Universal Credit will provide a basic allowance with additional elements for children, disability, housing and caring, and Will be introduced through a phased approach starting from October 2013. Universal Credit will replace current working age means tested benefits - Working Tax Credit, Child Tax Credit, Housing Benefit, Income Support, and income based Jobseeker’s Allowance and income based Employment Support Allowance. How will Social Fund change as Universal Credit is introduced ? Social Fund will change as Universal Credit is introduced to tackle growing abuse of the system, whilst ensuring that it serves its purpose of protecting the most vulnerable in society. It is expected that some of the more straightforward elements of this to become part of Universal Credit. Other elements, including Community Care Grants and Crisis Loans that would benefit from more local contact and discretion may be devolved to Local Authorities. What about other benefits? Reformed versions of contributions based benefits, such as Jobseeker’s Allowance and the Employment and Support Allowance, will continue alongside Universal Credit. Universal Credit will be for working age customers, but some of the benefits and tax credits it will absorb currently provide support for pension age customers too. Support for older people with housing costs, and with dependant children, will be incorporated into Pension Credit so that older people will still get the help they need. Consideration is still been given whether changes to Carer’s Allowance are needed. Council Tax Benefit will not be part of Universal Credit. Disability Living Allowance (DLA) will remain as a separate non-means tested benefit. This benefit will be reformed and a consultation paper has been issued. The DLA consultation will be open until 14 February 2011: Link to consultationLink to consultation Universal Credit There is still much work to do on the detail of these proposals. However the basic principle will be that to receive Universal Credit, applicants will need to agree to conditions placed on them, based upon their personal circumstances.

7. Incapacity Benefits Reassessment How are the Incapacity Benefit Re-assessment trials progressing? The Trial areas ( Burnley and Aberdeen ) continue to progress well, with over 1000 Work Capability appointments now been scheduled and over 400 Reassessment decisions made. Early feedback indicates that customers are attending Work Capability Assessments, with very few failure to attends being recorded. The Project Team from the Trial have already presented to a Jobcentre Plus Customer Representative Forum on 14 December on trail progress to date and are currently planning for national stakeholder engagement prior to the start of the national roll out in Spring 2011. The Customer Journey for the whole process is illustrated on next page. Will Housing Benefit and Council Tax Benefit be affected ? Housing Benefit and Council Tax Benefit calculations may be affected by reassessment. -Customers moving to income-related benefits will receive maximum eligible help with rent and council tax. -Customers moving off benefits will be contacted by the Local Authority to review their entitlement to Housing Benefit and Council Tax Benefit. -For customers moving to contributory Employment & Support Allowance ( paid without income –related ESA ) from Incapacity Benefit (paid without Income Support ) any disability premium will be removed from the Housing Benefit / Council Tax Benefit calculation and replaced by either the work activity component or the support component. Work Capability Assessment ( WCA) Review Update Following the first report of five independent reviews of the assessment process, led by Professor Harrington, DWP was already planning amendments to the WCA in Spring 2011 which will include : - Ensure individuals awaiting or between courses of chemotherapy are treated in the same way as those already receiving it. - Improve recognition of how exhaustion can limit functional capability for work. - Simplify and clarify language of the descriptors. - Expand the ESA support group to cover people with certain communication problems and severe disability due to mental health conditions. - Ensure that appropriate account is taken of how an individual adapts to their condition or disability.

8. Someone calls me to give further information and advice, find out if I need extra help with the process Someone calls me to arrange a WCA WRAG Support Group I attend the WFI Appeals I write a letter / call to appeal* I receive a letter informing me that changes are about to commence and advising me on the next steps The Jobcentre contacts me to arrange a WFI I attend the WCA with Atos I receive a letter with my ESA award notification Atos call me to arrange & conduct a WFHRA~ ALLOWED Someone calls to gather any missing information and explain the next steps (this TP only applies to customers with missing information) I receive a medical questionnaire to fill out I become aware about forthcoming changes to my benefits I receive a letter informing me of benefit disallowance and the WCA outcome DISALLOWED 1 2 3 4 5 6 9 11 12 13 14 15 Someone calls to inform me of the entitlement decision and advises me of my options. If I wish to claim JSA I am transferred to someone who takes my claim details 7 I receive a letter with my JSA award notification 17 *if customer calls they will be told appeal needs to be in writing Someone calls to advise on ESA entitlement and next steps in the ESA regime Someone calls to confirm information for reconsideration^ 16 8 10 Customer Journey ~WFHRAs have been suspended for 2 years from 19/07/2010  Please note the process is still under trial and is still subject to change

9. Further information Produced by Jobcentre Plus, Regional External Relations Team South West Tell us what you think If you have any comments regarding this update or indeed would like to raise any issues please contact Gaynor Clarke on 01823 349514 or by e mail at : gaynor.clarke1@jobcentreplus.gsi.gov.ukgaynor.clarke1@jobcentreplus.gsi.gov.uk. Please note if you do not wish to receive this update or you would like it forwarded to an alternative address, please let me know. Useful websites : Right click on link and select “open hyperlink” The DWP website contains general information about the government’s welfare reform agenda. DWP website They have now added a link to What's newWhat's new  Direct Gov website Direct Gov website contains information about all JocentrePlus Services and the changes which will be happening with regards to customers claiming Incapacity Benefit ( IB/IS Reassessment ) Benefits if you are ill or disabledBenefits if you are ill or disabled  If you would like to keep up to date with the development of the Get Britain Working support then please use the following link. Get Britain Working Get Britain Working  For more information : Universal Credit: welfare that works - DWPUniversal Credit: welfare that works - DWP  The Disability Living Allowance (DLA) consultation will be open until 14 February 2011: Link to consultation