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Scottish Government calls for Universal Credit pause
The Scottish Government has called on its UK counterpart to pause the roll-out of Universal Credit in the upcoming Budget.
Chancellor Philip Hammond will deliver his Budget speech next Wednesday and has come under increasing pressure to pause the roll-out of the major welfare reform.
Charities, housing providers and MPs including Conservative backbenchers have called on the government to pause the roll-out of Universal Credit because of growing debt among claimants waiting six weeks or more for their first payment.
In a letter to the chancellor Derek Mackay, cabinet secretary for finance at the Scottish Government, said the UK government should also unfreeze Local Housing Allowance rates, something which housing charity Shelter is also calling for.
Mr Mackay said: “The Scottish Government remains steadfast in its opposition to the UK government’s austerity agenda which disproportionately hurts the poorest and most vulnerable in society.”
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Universal Credit claimants in Scotland can have their payments every two weeks, instead of once a month, and have the housing part of their payment sent directly to their landlord, after the Scottish Government used its new welfare flexibilities to make these changes.
A UK government spokesperson said: “The best way to help people improve their lives is through work, and Universal Credit claimants are moving into work faster and staying in work longer than the old system.
“The vast majority of people are paid their Universal Credit in full and on time and advance payments and budgeting support is available for anyone who needs extra help.
“Meanwhile, the Scottish government now has significant welfare powers including flexibility over Universal Credit payments.”
