Benefits Shake-Up: Universal Credit Begins

Written By Unknown on Senin, 29 April 2013 | 14.47

The Government's shake-up of the welfare system starts today with the launch of a new all-inclusive payout to replace a string of benefits including jobseeker's allowance and housing benefit.

Universal Credit will be introduced in four local Jobcentres in selected areas of Ashton-under-Lyne, Oldham, Warrington and Wigan.

Those living in Ashton-under-Lyne will claim the new benefit from today while in the other three areas other elements of Universal Credit will be trialled.

Work and Pensions Secretary Iain Duncan Smith described the new benefit as part of a "fundamental cultural shift" of the welfare system.

He said: "This will revolutionise the way people experience the welfare state.

"It will make it easier for people to claim what they are entitled to, but more importantly it will make it easier for people to move off benefits and into work.

"This is the first step on a long journey and the pathfinder is our opportunity to get Universal Credit right.

"We will bring in this radical and vital reform in a careful and controlled way."

But the launch is expected to be opposed by unions who say that the Government should rethink Universal Credit and prioritise creating jobs and supporting people into them instead of "demonising" those out of work and entitled to benefits.

Iain Duncan Smith Iain Duncan Smith says welfare system is undergoing a 'cultural shift'

Public and Commercial Services (PCS) union, which represents staff in Jobcentres, said it will stage a protest at Ashton-under-Lyne.

PCS general secretary Mark Serwotka said: "If Universal Credit was being introduced to genuinely make life easier for people entitled to benefits it would be commendable, but the Government's pernicious language exposes its real intent is to demonise and punish them.

"We have shown that ministers are prepared to mislead and misdirect to drive through their welfare cuts, so we are challenging Iain Duncan Smith and others to prove what they claim is true.

"The next time a minister says people are better off on benefits than in work, give them a pen and paper and ask them to show you how."

The Universal Credit system will be rolled out from October nationally, with completion due in 2017.

Around 7,000 people are expected to get the payout during the initial period.

Universal Credit will replace income-based jobseeker's allowance, income-related employment and support allowance, income support, working tax credit, child tax credit, and housing benefit.

Minister for Welfare Reform Lord Freud said: "The start of Universal Credit today is a big step forward.

"We are finally implementing a benefit system that is fairer, where claimants will be better off in work than on benefits.

"We are introducing Universal Credit in a slow and safe manner so that we get this important reform right and help more people move smoothly from benefits and into work."


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