Universal Credit query

mrnorman

Universal Credit is due to set out in my area very soon

Ive been searching for a job in which I would be able to undertake without damaging my health and I think I've found one! Hooray!

I used a benefits checker and my entitlement to TC was approx 110pw - and partial housing benefit of £60 - they couldn't be 100% due to certain information.

Although under UC, with the exact information, the amount is about half. I've never heard much of UC but is it basically cutting back all benefit payments or am I misinterperating the information?

Either way I'm a bit disappointment but not that fussed due to be back into work (if successful)

allen35

mrnorman wrote: »

is it basically cutting back all benefit payments or am I misinterperating the information?

This seems like your only question and the probable answer is yes you have misinterpretated the information because the Government says so.

rogerblack

To expand on the above - 'work will always pay' - on UC was the initial stated policy - but in many cases, in reality it won't.
As one stark example - if you're getting help with UC for your mortgage of say 100/week, and get a part time job earning 20 pounds a week - the entirety of the help for your mortgage goes away, leaving you 80 pounds down. Similarly - people in work - say saving for a house, with tax credits coming in, when they go onto UC - if those savings exceed 16K - they will not be entitled to UC.

To be clear- everyone does not lose.
http://www.mirror.co.uk/news/ampp3d/universal-credit-who-winners-losers-5171493
Is not entirely accurate, but is a good general summation.

NYM

If someone is saving for a house and has over £16,000 in savings they wouldn't be entitled to means tested benefits anyhow would they ?

rogerblack

NYM wrote: »

If someone is saving for a house and has over £16,000 in savings they wouldn't be entitled to means tested benefits anyhow would they ?

They may currently be entitled to tax credits.

Icequeen99

rogerblack wrote: »

To expand on the above - 'work will always pay' - on UC was the initial stated policy - but in many cases, in reality it won't.
As one stark example - if you're getting help with UC for your mortgage of say 100/week, and get a part time job earning 20 pounds a week - the entirety of the help for your mortgage goes away, leaving you 80 pounds down. Similarly - people in work - say saving for a house, with tax credits coming in, when they go onto UC - if those savings exceed 16K - they will not be entitled to UC.

To be clear- everyone does not lose.
http://www.mirror.co.uk/news/ampp3d/universal-credit-who-winners-losers-5171493
Is not entirely accurate, but is a good general summation.

But current TC recipients with £16k plus may get transitional protection if they are managed migrated across.

IQ

rogerblack

Icequeen99 wrote: »

But current TC recipients with £16k plus may get transitional protection if they are managed migrated across.

IQ

The transitional protection does indeed exist, but fairly small changes can remove this protection.

MissMoneypenny

rogerblack wrote: »

As one stark example - if you're getting help with UC for your mortgage of say 100/week, and get a part time job earning 20 pounds a week - the entirety of the help for your mortgage goes away, leaving you 80 pounds down.

I thought there was a 2 year limit for claiming JSA and that this would continue under UC to stop people living on benefits? Not working would make then make them worse off.

Plus while on benefits they face the job centre visits, work programmes ect.

MissMoneypenny

NYM wrote: »

If someone is saving for a house and has over £16,000 in savings they wouldn't be entitled to means tested benefits anyhow would they ?

Strangely, yes. Although Tax Credits is an income benefit and should have a 16k cut off just as other income based benefits do, under present rules that doesn't happen. That anomaly is being corrected under the welfare reforms.