THE roll-out of benefits changes must be stopped until problems with delays and arrears are solved, Scotland’s Social Security Secretary has said.
In an official letter, Angela Constance has told UK Work and Pensions Secretary Damian Green that the full introduction of Universal Credit must come to a “complete halt”.
Her call was backed by the Scottish Greens, Shelter Scotland and the Scottish Federation of Housing Associations (SFHA) as claimants struggle to make rent payments thanks to hold ups in the system.
However, the Department for Work and Pensions (DWP) insists the scheme is working and will get more people off benefits.
Earlier this week a joint meeting of Holyrood and Westminster committees heard average rent arrears in the Highlands, where Universal Credit is already live, have reached £900, with recipients facing six-week waits for cash.
Green said lessons were being learned and the time needed to validate applications was partly behind the delays. Universal Credit, which replaces several other benefits and is also currently used in East Lothian and East Dunbartonshire, will be introduced across Scotland in the coming months.
But Constance says the scheme “isn’t working” and a full roll-out is “no longer feasible”.
She said: “The six-week delay in receiving a payment – with longer hold-ups for some being experienced – is a completely unacceptable situation and one which has the potential to push low-income households into further hardship and homelessness.
“I was also shocked to hear reports that, in some areas, landlords are advertising properties as ‘No UC’ due to their experience with the system.
“It is simply not credible for the UK Government to continue with the further roll-out of full service Universal Credit until these problems are fully resolved.”
The DWP said: “The best way to support people is to help them into work, and under Universal Credit people are moving into work faster and staying in work longer than under the old system.
“Our research shows that the majority of UC claimants are comfortable managing their budgets, and we’re working with local authorities and landlords to get extra support to those people who may find themselves in arrears. We’ve been rolling universal credit out gradually so that we have time to ensure it works in the right way for everyone involved.”
However, Green social security spokeswoman Alison Johnstone backed Constance, with Alison Watson of Shelter Scotland saying vulnerable people were being put at risk of homelessness.
SFHA chief executive Mary Taylor said: “The DWP highlighted that further roll-out of the full service of Universal Credit would only be done if it was ‘safe’ to do so. With so many families and households falling into debt and forced to use food banks to get them through the initial period, it is clear the system is not safe.”
Taylor said arrears are far higher in Universal Credit areas than other parts of the country, adding: “The DWP is not engaging with organis-ations trying to help claimants who are having problems with their Universal Credit applications.
“An increasing amount of time and money is being spent by housing associations, and others, to help and support their tenants. This cannot be maintained if the volume of cases grows, as it will do if the DWP increases the rate of roll-out from five to 50 Jobcentres a month.”
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