Should universal credit claimants be made to wait? committee asks
The Social Security Advisory Committee has begun a consultation on proposals that certain universal credit claimants must wait seven days before they are entitled to benefit.
The committee has previously made plain its concerns about the extension of waiting days for anyone making a claim to employment and support allowance (ESA) or Jobseeker’s Allowance (JSA).
Paul Gray, the committee’s chair, commented: "While these proposals may seem to mirror those on which we have already commented, there are important differences which have the potential to cause significant financial difficulties for some claimants. These warrant closer scrutiny. For example, larger sums of money could be lost as universal credit includes an element for housing costs and children whereas ESA and JSA do not. This is further compounded by the fact that universal credit is paid monthly, so claimants are generally waiting longer for their first benefit payment. We are keen to learn more about the impact of this proposal."
The Government has stated that the savings generated (estimated to be over £200m each year from 2016-17 onwards) will fund other initiatives designed to help people find work, for example by improving English language skills and providing support to lone parents.
It is intended that the change will come into force in April 2015.
The evidence received by SSAC will help inform its report which will be submitted to the Secretary of State for Work and Pensions in the autumn.