Trusted partners

Since the introduction of Universal Credit we have worked with local authorities, housing associations and volunteer organisations to ensure that our welfare revolution was successful.

With more than a quarter of a million people now having started a Universal Credit claim and with over 70% of all Jobcentres offering the new benefit, I’d like to talk to you about the next stage in our reforms – Universal Support and our Trusted Partner Pilot.

The Trusted Partner Pilot is an example of how we’re creating a more holistic approach to welfare in this country.

A system that doesn’t just alleviate poverty, but looks at solving the problems that cause it, one that offers additional help to vulnerable benefit claimants to support them back to work.

We are committed to working closely with all our partners to achieve this goal.

The Trusted Partner Pilot is key to achieving that.

“The Trusted Partner Pilot is an example of how we’re creating a more holistic approach to welfare in this country.”

We know that social landlords had concerns about the impact of welfare reforms on their finances, but through lessons learned during these pilots, we will be able to implement robust national safeguards to protect both claimants and landlords and create an early warning system to flag vulnerable claimants in need. In the pilots, eligible landlords are awarded ‘Trusted Partner’ status.

This status affords them extra responsibilities and duties towards their claimants, but crucially allows them to identify vulnerable tenants that may struggle with monthly budgeting or rent payments.

Landlords can then alert Jobcentres and local authorities which of their claimants may be in need of additional support.

This early warning system means vulnerable individuals are flagged to the department at an early stage so the Jobcentre can provide more targeted help.

Budgeting advice, referral to volunteer organisations such as mental health charities, or simply requesting direct payment of rent to a landlord through an Alternative Payment Arrangement (APA) are all options available to provide a claimant with the extra support they need.

Particularly important for landlords, Trusted Partner status allows them to speed up the process of applying for an APA, avoiding costly rental arrears for both tenants and landlords when a person struggles to manage their rental payments.

Safeguards are in place to protect claimants and smooth their journey towards financial independence. However, throughout the pilots, requests for APAs have always been appropriate and the scheme itself has been welcomed by landlords and tenants, with landlords praising the speed and flexibility of the new system.

By empowering landlords, tenants equally benefit, getting more targeted one-to-one help at an earlier stage. Many landlords have written to me expressing interest in becoming a Trusted Partner and I know that you are all keen to learn more about this new system.

Expanding the scheme

The deadline for the second phase of the Trusted Partner Pilot has now passed, but in the coming months we will look at how we can expand the scheme based on what we learn from the pilots.

Trusted Partner status is just one aspect of the broader revolution Universal Credit is bringing to welfare in this country - simplifying the benefit system, making work pay and enabling people to get back to work and off benefits, while at the same time maintaining a strong safety net for the most vulnerable claimants.

Universal Credit will be in three-quarters of all Jobcentres by Christmas and everywhere by spring next year.

Already almost a third of Universal Credit claimants are in work. Universal Credit is a once in a lifetime reform that is transforming tens of thousands of people’s lives every single day. Landlords are a big part of making these changes a success.

Only by working together will we deliver the economic security and bright future that Britain deserves.

I look forward to working with housing providers throughout this pilot and beyond as we continue to revolutionise our welfare system.

Lord Freud is minister for welfare reform