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Ministers need to open their eyes to the impact of Universal Credit
Ministers have been quick to round on social landlords’ role but have remained silent on the concerns raised about Universal Credit, writes Emma Maier
The government’s 2010 promise to simplify the web of welfare support into a single Universal Credit payment was disarmingly simple – and it garnered rare cross-party support. It turns out that making the biggest overhaul of the benefit system in six decades was easier said than done.
The embattled policy has managed the feat of both costing billions more than the system it replaces (according to the Office for Budget Responsibility), while also making some of the most vulnerable people worse off.
An Inside Housing investigation has looked at homelessness and evictions in local authority areas where Universal Credit has been rolled out and those where it has not. We found that households on Universal Credit may be more than twice as likely to suffer homelessness or eviction (one in 34 households) than those on housing benefit (one in 79). The findings compare outcomes in different authorities, but the figures from 72 councils speak for themselves.
Many of the issues experienced by tenants are well documented, from waiting times to receive monthly payments in arrears, to the sharp rises in the number tenants in arrears.
With the roll-out to new claimants and those with changed circumstances complete, the next stage is the ‘managed migration’ of existing claimants. If ever there was a need for joined-up government, this is it.
What started as a Department for Work and Pensions policy to simplify the system was hijacked by Treasury, as then-chancellor George Osborne spied an opportunity to make spending cuts. Meanwhile, the connection with the Ministry of Housing, Communities and Local Government’s objective to reduce homelessness and rough sleeping was completely overlooked.
Under-investment in social rented homes and lack of temporary accommodation is increasing the reliance on the private rented sector, which is most likely to evict Universal Credit claimants in rent arrears.
Consultation with tenants before the Social Housing Green Paper revealed concerns about the way tenants are perceived and treated.
"It is time for ministers to take their fingers out of their ears - that means acknowledging the role of Universal Credit in exacerbating homelessness"
Ministers have been quick to round on social landlords’ role but have remained silent on the concerns raised about Universal Credit.
It is time for ministers to take their fingers out of their ears.
That means acknowledging the role of Universal Credit in exacerbating homelessness – and working across government to improve the policy.
Landlords need clear communication before tenants switch so they can provide practical support.
They must do more to shorten the time claimants must wait for their first payment. For social landlords, there are some difficult questions to answer about evictions arising from rent arrears.
Emma Maier, editor, Inside Housing
More on Universal Credit
A rock and a hard place: the Universal Credit frontline Universal Credit was meant to simplify the welfare system and give people control over their finances. But in one London borough,Gavriel Hollander finds the reality is very different.
Universal Credit: how we got here Inside Housing's Pete Apps traces the history of the government's flagship welfare reform
Starting to bite: how Universal Credit is making people homeless For the first time, Inside Housing has uncovered figures which suggest Universal Credit is making people homeless
Universal Credit needs universal co-operation As cracks in the consensus that Universal Credit is beneficial to claimants appear, the Department for Work and Pensions must co-operate with all partners to ensure the policy is a success, writes Eamon McGoldrick
Ministers need to open their eyes to the impact of Universal Credit Inside Housing editor Emma Maier calls for ministers to take notice of the problems affecting the government's key welfare reform
Universal Credit problems are much wider than just administrative issues As the full Universal Credit service rolls out to all postcode areas, Sam Lister outlines ways the policy could be improved
