1. Money Advice Scotland Annual Conference & Exhibition 2016 Crieff Hydro, 2 nd & 3 rd June 2016

2. Social Security in Scotland & Universal Credit Stephanie Criddle (Better Homes Division) and Olive Hill (Social Security Policy and Delivery Division)

3. Smith Commission  Powers over benefits for carers, disabled people, and those who are ill (currently Attendance Allowance, Carer’s Allowance, Disability Living Allowance and a range of others)  Devolution of the Regulated Social Fund (Winter Fuel Payments, Cold Weather Payments, Sure Start Maternity Grants, and Funeral Payments)  Powers to vary housing cost elements of Universal Credit  Administrative powers to change payment arrangements for Universal Credit  Power to create new benefits and to top up benefits in reserved areas  Powers over Discretionary Housing Payments.

6. A NEW FUTURE for Social Security in Scotland What happens now: Summer 2016: Launch consultation on the future of social security in Scotland - engage stakeholders in development of devolved powers and how they might be framed in legislation. Post-publication: Stakeholder engagement, to add further insights and detail to the information we will gather through our consultation End 2016: Scottish Government response to the consultation to be published End 2016: Scottish Government report on Stage 2 of our appraisal of the options for delivery of social security 2017: Scottish Government will introduce its first, devolved social security Bill

7. A NEW FUTURE for Social Security in Scotland Our consultation: Over-arching consultation - sections that can be ‘spun-off’ for closer engagement with specific interest/representative groups Use of devolved competence - e.g. whether powers need to be widened to provide flexibility for changes to individual benefits How to provide a statutory basis for our principles - e.g. whether to have a ‘claimants’ charter’. How to build an over-arching legal framework for social security - cross-cutting rules for multiple benefits (e.g. on residency, mandatory reviews, uprating, overpayments etc.) Requirements for impact assessments - e.g. consultation on equality impacts etc.

8. A NEW FUTURE for Social Security in Scotland Principles of Dignity and Respect Options for delivery Residency Cross-Border Issues Payments Fraud Non-cash payments ‘Benefit specific policy changes’ (e.g. Scottish Government announcements) Some potential consultation headings: Independent Advice and Scrutiny Exportability Passporting and Provision Overpayments and Debt Error Complaints Equality impact assessment Administrative Justice Other Miscellaneous

9. A NEW FUTURE for Social Security in Scotland Keeping in touch: Extensive engagement through this year’s consultation and a range of social security specific engagement events Establishing stakeholder reference groups to discuss the current benefits and scope to make changes – either short term or longer term. Opportunities for YOU to use your networks to help support the conversations/events/themes etc. that matter most to you and your clients.

10. Universal Credit – Scottish Flexibilities  The Scottish Government has made clear its priorities with implementing UC flexibilities are:  payment of the housing costs element directly to social landlords  more frequent payments to the claimant (twice monthly as opposed to monthly)  We are discussing with stakeholders other potential changes e.g. managed payments of rent in the private sector and split payments of UC

11. Scottish Flexibilities – Why? The flexibilities will provide Scottish claimants with more choice about how they manage their UC account  To make the changeover to the UC regime easier for claimants in Scotland  To protect tenancies and prevent an increase in homelessness  To help with budgeting and reduce build- up of rent arrears and other debts Where someone already has arrears and DWP would set up an Alternative Payment Arrangement that will continue and the claimant will not have a choice.

12. Universal Credit - Housing Element  Power to vary the housing element of UC (including varying the under occupancy charge) is being devolved to the Scottish Parliament through the Scotland Act 2016  Scottish Ministers are committed to using the new powers to “abolish the bedroom tax”  Currently covering all losses in Scotland by providing funding to local authorities for Discretionary Housing Payments (DHPs)  £125 million since 2013 to help over 70,000 households  DHPs will still be needed for people on Housing Benefit

13. Discretionary Housing Payments  Scottish Ministers will also have powers over DHPs as part of Scotland Act 2016  DHPs are currently used for a variety of purposes as well as bedroom tax mitigation, including LHA and Benefit Cap  There are some restrictions to what is being devolved:  Claimants must be entitled to Housing Benefit or UC  Cannot claim if sanctioned, unless specific criteria are met  Looking for feedback on the current system and what changes people would like to see in Scotland

14. Scottish Flexibilities – Where are we now?  We are working closely with the UK Government to ensure smooth transfer and implementation of the new powers  We are working with DWP to assess the operational, technical and financial impacts of implementing these flexibilities  Have held a series of DWP/SG workshops where we discussed the policy specification of what we want the UC flexibilities to deliver - are continuing to work with DWP on this  We are awaiting cost estimates from DWP for the flexibilities.

15. Scottish Flexibilities – Future Challenges  Developing processes which add minimal complexity – to make them as simple as possible for claimants, staff and to help keep the costs to Scottish Government as low as possible  How to capture data on Scottish flexibilities – given DWP’s own APAs  How best to manage migration of existing Scottish UC claimants onto Scottish flexibilities?  And in the future the migration of those currently on legacy benefits

16. Workshop Session Some possible topics? Will the UC changes proposed help people budget and keep debt levels down? Are there other initiatives you can suggest? How do you feel about extending managed payments of rent to the private sector and splitting payments of UC? What are the main problem areas that your clients experiencing?