1. PLUS Project Strategic Forum
Universal Credit
PLUS Project Strategic Forum
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2. How much do you know about Universal Credit?
Nothing
A little
A lot
Expert
PLUS Project Strategic Forum
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3. Overview What is Universal Credit? What does it aim to achieve?
Which benefits does it include?
How do you make a claim?
How will claimants be paid?
When will full service be in my area?
What are the potential problems and solutions?
Universal Credit
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4. What is Universal Credit?
Universal Credit (UC) is a new model of administration and delivery of welfare benefits.
It is taking a number of current benefits and putting them into one single benefit. These will be administrated by DWP.
It changes the way that benefits are paid.
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5. What does it aim to achieve?
Simplify the benefit system
Incentivise work
Encourage people to manage money better
Redress effect of welfare cuts on lower incomes
Take people out of poverty
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6. Which benefits does it include?
ESA (LIMITED CAPABILITY FOR WORK ELEMENT)
ESA (LIMITED CAPABILITY FOR WORK RELATED ACTIVITY ELEMENT)
JSA OR INCOME SUPPORT
(STANDARD ALLOWANCE)
HOUSING BENEFIT
(HOUSING COST ELEMENTS)
WORKING TAX CREDITS
CHILD CARE CREDITS

7. How do you make a claim? Digital by Default Make a claim on-line
Everything through journal
Can make claim by phone
Not encouraged
Takes between 30 – 60 mins
Checklist:
Online tutorial:
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10. Conditionality and sanctions
Work-focused requirements where appropriate
Can be 100% of standard allowance for 3 months (refusing a job offer)
Can be 100% up to 3 years
Still subject if earning 35 hours National Minimum Wage
“Newly homeless" UC claimants can be given a period of "easement" from job search requirements
Basic actions to show addressing “accommodation aspect” of their homelessness
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11. How will claimants be paid?
No payment of first seven days for JSA type claimant
One monthly payment of entire benefit
5 weeks before first payment
Paid to one bank account in the household
Housing costs paid to tenant, not landlord
One month backdating
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12. When will full service be in my area?
In rollout areas
All new claims, all claimant types
Or change of circumstance
All areas are expected to have the full service for all new claims by mid-2018
Then migration of existent claimants
Completely rolled-out with full migration of existing claimants by 2021
Current timetable:
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14. Remember the lobster pot principle
Once a person has claimed Universal Credit they cannot go back to JSA or ESA.
They can only go back to Housing Benefit if they move into supported housing
This means you may find you have some people on UC and some people still on JSA or ESA in your client group at the same time
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15. Problems and solutions
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16. Problems… Difficult to make claim online Lack of IT facilities/support
Long passwords
Long wait for initial payment
Month delay
Waiting days
Opening bank accounts
No UC for short term stays
Falling into rent arrears
Payment direct to claimant
Large monthly sum
Lack of money management support
Difficult to advocate for people
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17. Specified Accommodation exempt
… Solutions?
Most people in hostels or supported housing will get Housing Benefit rather than the housing cost element of UC to pay their rent.
Currently consulting on changes, shadow year 2018
Problem: Sometimes money is being paid through UC. Leading to large-scale overpayments.
Definitions:
Specified Accommodation exempt
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18. Waiting days exceptions
… Solutions?
have been entitled to a jobseeker’s allowance or an employment and support allowance within the 3 months ending on the relevant date
making a new claim because their relationship status has changed (e.g. two single people making a claim as a couple)
terminally ill
have recently been victims of domestic violence
care leavers
aged 16 or 17 and without parental support
have been a prisoner within the month ending on the relevant date
Waiting days exceptions
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19. Short Term Benefit Advance
… Solutions?
Make a new claim
A change of circumstance
In cases where it is impractical for benefit to be paid on the due date
Repayment: For most people the maximum repayment will be 3 months. In special circumstances a 6 month period will be allowed
Short Term Benefit Advance
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20. Alternative Payment Arrangements
… Solutions?
If someone gets into 2 months arrears they should be switched back to direct payment to landlords
Also option for fortnightly payments
Can request “Split” payments within a “benefit unit” (so all the money does not go to one person)
DWP staff will assess who gets a payment exception and for how long.
Not available through choice and relies on honesty and disclosure
May be identified at the outset when personal budgeting support is decided
Alternative Payment Arrangements
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21. Alternative Payment Arrangements
Exceptions – Tier 1(highly likely/probable)
Drug / alcohol and / or other addiction problems e.g. gambling
Learning difficulties including problems with literacy and/or numeracy
Severe / multiple debt problems
In Temporary and / or Supported accommodation
Homeless
Domestic violence / abuse
Mental Health Condition
Currently in rent arrears / threat of eviction / repossession
Claimant is young either a 16/17 year old and / or a Care leaver
Families with multiple and complex needs
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22. Alternative Payment Arrangements
Exceptions – Tier 2(less likely/possible)
No bank account
Third party deductions in place (e.g. for fines, utility arrears etc)
Claimant is a Refugees / asylum seeker
History of rent arrears
Previously homeless and / or in supported accommodation
Other disability (e.g. physical disability, sensory impairment etc)
Claimant has just left prison
Claimant has just left hospital
Recently bereaved Language skills (e.g. English not spoken as the ‘first language’).
Ex Service personnel
NEETs - Not in Education, Employment or Training
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23. Any successes around… Supporting people to make claims online?
Fast-tracking payments?
Opening bank accounts?
Exception from waiting days?
Manageable repayment of Short Term Allowances?
Alternative Payment Arrangements?
Advocating?
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24. Case study
Mike is living in a homeless hostel. Because, legally this is Specified Accommodation (supported housing) he receives Housing Benefit to pay the rent. But UC for his Standard Allowance. As he is homeless he gets fortnightly payment of Standard Allowance
He gets offered a non-supported housing flat in a different local authority which has full UC service. His moving causes his HB claim to end. He now has to claim Universal Credit for all his benefits including his rent.
Because he has recently been homeless he should have a good chance of his UC rent component paid directly to her landlord. He should also be able to get his standard allowance (the JSA equivalent amount) still paid fortnightly
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25. PLUS Project Strategic Forum
Welfare reform update
PLUS Project Strategic Forum
Let’s end homelessness together

26. Welfare reform update (UC)
Universal Credit taper to be reduced from 65 per cent to 63 per cent
Universal Credit requirements for parents to look for work
Benefit Cap exemption for Universal Credit claimants changing
Tax Credits and Universal Credit two child limit
Tax Credit Family Element removed
Universal Credit Youth Obligation
Universal Credit Housing Costs Element removed for young people
From April 2017
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27. Housing costs (18-21s)
18 to 21 year olds will no longer be entitled to the housing cost element of Universal Credit, unless they can prove they meet an exemption
No immediate impact on funding of supported housing, because this is paid through Housing Benefit.
The removal of housing costs will only apply to people making new claims from April 1st 2017 in Universal Credit Full Service areas
Overview
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28. Housing costs (18-21s) Exceptions No work-related requirements
Victims of domestic violence
Care leavers
Temporary Accommodation
In work, subject to minimum earnings requirement
Left work up to six months previously, subject to minimum earnings requirement
Young parents
Those for whom ‘it is inappropriate to live with each of their parents.’
Source:
Exceptions
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29. Housing costs (18-21s) Inappropriate to live with parents
Owed the statutory homelessness duty
Helped under LA housing operations services, new prevention and relief duties of the Homelessness Reduction Bill (in England) / Housing (Wales) Act 2014
Moving on from temporary or supported accommodation
Supported by a 3rd party
Rough sleepers or those ‘sofa surfing
Source:
Inappropriate to live with parents
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30. Housing costs (18-21s) Proving exceptions
Standard claims process (e.g. if a parent).
‘Inappropriate for them to live with their parents’:
Conversation with a Job Centre Plus Work Coach.
Light touch: not expected to provide documentary evidence.
Supporting evidence may also come from appropriate third party. Flexible and determined at local level.
Source:
Proving exceptions
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31. Welfare reform update From April 2017
Tax Credits and Universal Credit two child limit
Personal Bereavement Support Payment
ESA permitted work limit removed
ESA sanctions reduced
ESA Work-Related Activity component abolished
Personal Independence Payment
From April 2017
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32. Funding of supported housing
Opposition to LHA as basis
Supported Housing Allowance
Banded
Sector develop bandings
Local top-up by exception
National standards
Registered for inspection
Funding ring fence
Pilot
No explicit view on short-term accommodation
Committee report
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33. Chris.brill@homelesslink.org.uk @ChrisB_HL
Thank you!
@ChrisB_HL
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34. What we do Homeless Link www.homeless.org.uk
Homeless Link is the national membership charity for organisations working directly with people who become homeless or who live with multiple and complex support needs. We work to improve services and campaign for policy change that will help end homelessness and secure a sustainable future for supported housing.
Homeless Link
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