Universal Credit wait for cash should be slashed to ONE week, MPs demand
THE wait to get paid Universal Credit should be slashed from five weeks to ONE, MPs have demanded.
The government should also be more flexible when it comes to calculating and paying the benefit to avoid households being thrown into chaos due to fluctuating payments, Frank Field and Heidi Allen said in a new report.
It comes as The Sun’s campaign “Make Universal Credit Work” calls on the government to reduce the wait to two weeks in order to prevent seven million people being pushed into debt.
The waiting period means single mum Amanda Bailey may lose her home, The Sun has previously reported.
We’ve also spoken to Daniel Knowles, who quit his job to care for his dying mum but the wait forced him into debt.
The so-called “The other Britain and the failure of the welfare state” report by Mr Field and Mrs Allen found that for most people who are switching to Universal Credit, the waiting period equates to “a massive loss in income”.
The Sun wants to Make Universal Credit Work
UNIVERSAL Credit replaces six benefits with a single monthly payment.
One million people are already receiving it and by the time the system is fully rolled out in 2023, nearly 7 million will be on it.
But there are big problems with the flagship new system – it takes 5 weeks to get the first payment and it could leave some families worse off by thousands of pounds a year.
And while working families can claim back up to 85 per cent of their childcare costs, they must find the money to pay for childcare upfront – we’ve heard of families waiting up to 6 months for the money.
Working parents across the country told us they’ve been unable to take on more hours – or have even turned down better paid jobs or more hours because of the amount they get their benefits cut.
It’s time to Make Universal Credit work. We want the Government to:
- Get paid faster: The Government must slash the time Brits wait for their first Universal Credit payments from five to two weeks, helping stop 7 million from being pushed into debt.
- Keep more of what you earn: The work allowance should be increased and the taper rate should be slashed from 63p to 50p, helping at least 4 million families.
- Don’t get punished for having a family: Parents should get the 85 per cent of the money they can claim for childcare upfront instead of being paid in arrears.
Together, these changes will help Make Universal Credit Work.
Join our Universal Credit Facebook group or email UniversalCredit@the-sun.co.uk to share your story.
For people with low or non-existent savings, it also made budgeting near to impossible, the report said.
It quoted an advice worker in Chester who said: “I don’t meet a single person now who isn’t cold and hungry.”
The two MPs demanded that the government, at the very least, should leave people with enough money to cover essential items – and to address these issues immediately.
Mrs Allen said: “For the most vulnerable people in our society, any reduction, delay, or loss of income from work or benefits brings into play food banks, rising debt, high risk loans and the risk of destitution.
“Voluntary organisations are at risk of sinking under the sheer weight of responsibility vacated by the state without the necessary funds.
“A new balance must be struck between the state and the charitable sector to ensure that all people can access basic essentials and good quality, nutritious food in a way that is dignified.”
Mr Field added: “Hunger was described to us as an injustice which extends well beyond the individual and has lasting impacts on children, extended families, entire communities and across generations.
“Families on low incomes must be at the front of the queue for any new monies being made available in the spending review.”
A spokesperson for the Department for Work and Pensions (DWP) said: “Tackling poverty will always be a priority for this government and we have already said the benefit freeze is coming to an end.
“But we know some families need more support which is why we spend £95billion a year on working-age benefits and have made 100 per cent Universal Credit advances available from day one.”
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Fraudsters making bogus Universal Credit claims have stolen millions of pounds of taxpayer cash.
Meanwhile, ads designed by the government to publicise the scheme are to be investigated over claiming the botched benefit “works”.
Last night, Boris Johnson and Jeremy Hunt both vowed to keep the benefit if they became prime minister – but the latter hinted he would cut the five-week wait for cash.
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