Halt UC roll out say social housing managers

25 Jul 17

Council housing managers have urged the government to halt the rolling introduction of Universal Credit, which they said is causing “considerable hardship” to tenants.

The National Federation of ALMOs (NFA) and the Association of Retained Council Housing (ARCH) also called on ministers to scrap the seven-day waiting period for new claims. 

They said that almost four years on from the initial introduction of Universal Credit “our research shows that delays in the assessment process, poor communications between DWP and landlords, and the seven-day wait period continue to cause significant problems to both landlords and their tenants”.

Rent arrears among Universal Credit claimants remained “stubbornly high” at 73% – equivalent to £6.68m – and 40% of households had accumulated arrears as a consequence of claiming.

Meanwhile, households faced mounting debts, as the average arrears for Universal Credit claimants had increased from £611.73 in March 2016 to £772.21 a year later.

NFA managing director Eamon McGoldrick said: “We are strongly urging government/DWP to halt the roll out of UC and ‘pause for thought’ until the system works properly for both claimants and landlords.”

The NFA and ARCH said their members generally supported the principles of Universal Credit and had launched initiatives to support tenants into work.

But they warned: “It is clear that support provided to tenants by landlords alone is not sufficient to resolve the problems being experienced and is not scalable as the roll out accelerates across the country and many more families and children become a part of the Universal Credit system.” 

ARCH chief executive John Bibby said: “If the level of intensive support needed to vulnerable tenants is to be sustained during the planned rollout additional resources are essential.”

He also called for provision of a transition fund to enable landlords to support vulnerable tenants. 

The DWP defines Universal Credit as support for people on low incomes or out of work, intended to ensure they are better off in work than on benefits.

It replaces: income-based Jobseeker’s Allowance; income-related employment and support allowance; income support; working tax credit; child tax credit; housing benefit.

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