Universal Credit

Universal Credit Katy Pearson, Monica Bryce and Rob Harrod Priority Families Employment Advisors Clare Boyce Universal Credit Work Coach

Universal Credit (UC) • Introduced in Nottingham City in February 2016 • Initially for new single claimants, but will migrate existing benefit claims from July 2019 and complete by 2020 • Support in place for vulnerable claimants

Full Service Roll Out and Digital Service • Being rolled out in phases across the country and the plan is to have it fully implemented within Jobcentres by the end of 2018 • Benefits will be maintained digitally online

Universal Credit – overview Housing Benefit Income related Employment and Support Allowance Income based Jobseekers Allowance Universal Credit Child Tax Credit Working Tax Credits Income Support • One simple payment • Paid monthly • For people in and out of work • Use PAYE in real time information (RTI)

All Work Related Requirements (AWRR) Group 2 regimes Intensive – Earning £0 - £338 per month Light Touch – Earnings £338 and above per month No Work Related Requirements (NWRR) Group 2 regimes Working enough – Earning over a certain threshold No Work related – Assessed as having Limited Capability for work and work related activity or a carer. Conditionality Groups

Benefits? Easier Transition from Benefits to Work Easier Control of Benefit for Zero Hour Contracts Benefits of Universal Credit Multi-Agency Working Reduces Fraud and Error Gives responsibility to manage own finances, preparing them for the world of work

Support for those that need it to manage the changes Universal Credit brings: DWP want to help people to manage their own finances successfully, whether they are in or out of work…… Single payment to household Monthly Payment Housing costs direct to tenant Personal Budgeting Support – Why?

What are Alternative Payment Arrangements (APAs)? • The move to a single monthly household payment will be a significant change to the way most benefits are currently paid. • Claimants who are identified as needing additional support may be eligible for: • Paying the housing costs from Universal Credit as a Managed Payment direct to the landlord • More frequent than monthly payments • A split payment of an award between partners

Tier One Factors – Highly likely/ probable need for Alternative Payment Arrangements • 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

Tier Two Factors – Less Likely / possible need for Alternative Payment Arrangements • 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

DWP have introduced rent arrears triggers to help protect landlords and tenants alike DWP have taken steps to improve the take up of budgeting support Dedicated teams to manage housing and Alternative Payment Arrangement cases Provision of single point of contact details to LAs and social landlords DWP have established a dedicated network of single points of contacts Ongoing Developments…

An example claim +7 days Regular Universal Credit Assessment Period 7 waiting day Period 30/11 31/10 2nd Universal Credit Payment Calculation: 01/12 1st Universal Credit Payment Calculation / notification to claimant: 01/11 01/10 End of waiting days 24/09 Date of Claim 1st Universal Credit Payment Received by Claimant: 07/11 2nd Universal Credit Payment Received by Claimant: 07/12

Payment Advances: New Claims Based on an indicative claim of £1000 pcm (3 days) (35 days) +7 days 28/02 31/01 Regular UC Assessment Period Standard Monthly Payment 2nd payment: £1000 1st payment: £1000 Payment minus repayment of UC advance (new claim) UC Advance (up to 50%) £500 £926.67 £926.67

Domestic Abuse

Support for Survivors of Domestic Abuse • Support through Jobcentre plus work coaches with domestic abuse easements:- • If they have experienced domestic abuse within last 26 weeks • Initially 4 weeks excused from any conditionality • Once confirmation received from support worker, a further 9 weeks break from conditionality with a Jobcentre without affecting benefit payments • Only 1 x 13wk easement in a 12 month period, but there are other processes in place if further support is required

Homelessness

Support for Homeless • Support through Jobcentre plus work coaches with homeless easements:- • If they are ‘recently’ homeless, they can be excused from Jobseekers conditionality • They must be taking steps to find accommodation • Reviewed by the work coach fortnightly • Although initially a 4 week easement, work coaches can extend if they feel it is appropriate to do so

Support with debts • Specialist debt management support such as Nottingham City Council Welfare Rights, Framework, Foothold, Money Sorted in D2N2, etc. • In Work Benefit Calculations • Tax Credits and Childcare Support

Universal Credit pages on GOV.UK https://www.gov.uk/universal-credit Budgeting help and support https://www.gov.uk/government/publications/budgeting-your-universal-credit-quick-guide Money Advice Service support for Universal Credit https://www.moneyadviceservice.org.uk/en/categories/universal-credit Priority Families Employment Advisors http://www.nottinghamcity.gov.uk/ics/index.aspx?articleid=30536 Useful Links

Priority Families Employment Advisor Contact Details Nottingham North: Katy Pearson - 07771 837588 Katy.pearson@nottinghamcity.gov.uk Nottingham Central: Monica Bryce – 07920 155014 Monica.bryce@nottinghamcity.gov.uk Nottingham South: Rob Harrod – 07920 181547 Rob.harrod@nottinghamcity.gov.uk

Any questions?

Universal Credit