Universal credit????

supernatural619 · 30 January 2013 at 12:03PM

Can anyone help me understand this universal credit thing? Who will be affected and what will it mean?

Thank you to anyone who can explain it

BigAunty · 30 January 2013 at 12:07PM

It's the biggest change to the benefit system since it was founded so can't really be summarised in a sentence. It will affect nearly everyone receiving benefits.

http://www.dwp.gov.uk/policy/welfare-reform/universal-credit/

HappyMJ · 30 January 2013 at 12:08PM

Eventually anybody claiming jobseekers allowance, housing benefit, working and child tax credits.

It's just all the benefits rolled into one...paid monthly and one marginal deduction rate applying to all amounts rather than what it is currently which is 100% to JSA, 41% to tax credits, 65% to housing benefits....etc...

Basically if you are unemployed now and want to work for 10 hours a week you are no beter off as your JSA is reduced by the exact amount you earn...but you have to pay to get to/from work so it's a disincentive to work a small number of hours if available. When universal credits come in you will be able to keep some of what you earn so you "should" always be better off by working.

supernatural619 · 30 January 2013 at 12:21PM

Thank you, I've just had a quick read through and I understand it a bit better. I just wish I could find some sort of calculator to see if we would be worse off.

Blackpool_Saver · 30 January 2013 at 12:25PM

I am wondering how the change to monthly payment will work, I mean will it be phased...

sammyjammy · 30 January 2013 at 2:04PM

Blackpool_Saver wrote: »

I am wondering how the change to monthly payment will work, I mean will it be phased...

As soon as a new claim or an existing claim is moved over to UC it will mean monthly payments so in that sense no not phased.

MissMoneypenny · 30 January 2013 at 3:10PM

HappyMJ wrote: »

Eventually anybody claiming jobseekers allowance, housing benefit, working and child tax credits.

Isn't it all housing claims, including SMI (Support for Mortgage Interest)?

UC also includes income support and ESA. UC is for income based welfare claimants.

Blackpool_Saver · 30 January 2013 at 3:12PM

sorry to persist on another persons thread but how will people manage to wait a month for money, if it is at work you can get a sub, can't see DWP doing subs or will social fund come into play?

supernatural619 · 30 January 2013 at 4:23PM

You don't need to appologise for asking questions on a post that I put on, iy's better that you do so that others ask the questions I didn't.

My tax credits get paid monthly anyway so luckily this will not affect me.

GordonJBennett · 30 January 2013 at 5:17PM

Blackpool_Saver wrote: »

sorry to persist on another persons thread but how will people manage to wait a month for money, if it is at work you can get a sub, can't see DWP doing subs or will social fund come into play?

when I went back to work I waited 6 weeks before getting a wage, not sure what you mean about getting a sub, when I worked with DWP ESA New Claims I was constantly arranging payments or directing clients to Crisis Loans, no-one was left with no money, ever

richard9991 · 30 January 2013 at 5:54PM

When they moved people from weekly payments to fortnightly payments you could get a loan for the week you went without money they will probably do something similar.

Universal credit????

Comments

Confirm your email address to Create Threads and Reply

🚀 Getting Started

Categories

Is this how you want to be seen?

Get our FREE Weekly email full of deals & guides - and it’s spam-free