CALLS TO HALT UNIVERSAL CREDIT ROLLOUT
MP calls for halt to rollout of universal benefits system after whistleblower claims it’s ‘so fundamentally broken and poorly designed that it guarantees severe problems’
CALLS have been made for the rollout of universal credit across Glasgow this year to be halted.
It came after it was revealed the computer system running the controversial new benefit is broken and penalises claimants needlessly.
MP Chris Stephens said the rollout of the online benefits system should be paused until problems are fixed.
Whistleblowers working in benefit centres revealed the “cobbled-together” IT system for universal credit commonly leads to claimants’ benefit payments being delayed for weeks or wrongly reduced by hundreds of pounds.
At least £1.3billion has been spent since 2010 developing universal credit, which folds six separate social security benefits into one online claim.
The benefit – implemented by Work and Pensions Secretary Esther McVey – encourages people to form-fill online only and has been mired in controversy since it was rolled out in test areas.
But it is claimed that glitches in the system add on average an extra three weeks to the formal 35-day wait for an initial benefit payment – pushing claimants into debt, rent arrears and reliance on food banks.
A Commons committee warned the DWP have repeatedly ignored warnings of basic process errors that led to 70,000 disabled benefit claimants being underpaid an estimated £500million over six years.
Campaigners warn that the problems could get worse next year when more than three million claimants start to be “migrated” to the new system.
Now, an insider at a universal credit service centre has revealed the IT system on which universal credit is built is “so fundamentally broken and poorly designed it guarantees severe problems
with claims”. The whistleblower added: “In practical terms, it is not working the way it was intended and is having an actively harmful effect on a huge number of claimants.”
Stephens, who sits on the Commons committee monitoring the DWP, said: “These are sensational allegations from individuals who are at the coalface and have tried every day to fix our broken social security system.
“They mirror written evidence regularly submitted to the Work and Pensions Select Committee and through the PCS Parliamentary Group, where staff face mounting cuts and increased workloads.”
The Glasgow South West SNP MP has prioritised constituency work in preparation for the rollout of the benefit on the south side of the city this autumn.
He has arranged a series of summer events to highlight the changes after being shocked by the DWP’s own statistics on how benefit cuts are affecting the area.
Stephens said: “It is clear the rollout of universal credit to Glasgow and elsewhere should be paused and problems fixed.”
Question to the DWP have revealed that in the Glasgow South West constituency, bedroom tax cuts hit 2120 households who had a deduction made from their housing benefit.
Of these, there were 1580 where the claimant or partner
was receiving disability living allowance (DLA), personal independence payment (PIP) or employment and support allowance (ESA).
Stephens said: “While the Scottish Government mitigate this tax, the full effects of the Tories’ attack on the poor, vulnerable and those with disabilities continue. The bedroom tax should be scrapped.”
The controversy over universal benefit comes as a Citizens Advice study revealed a “significant” number of people are struggling to navigate the system.
They found that more than a third of those they helped found it difficult to provide evidence to complete their claim on issues such as health, housing and childcare.
It was also revealed people who received their first full payment late stood a higher chance of falling into debt.
Citizens Advice chief xecutive Gillian Guy said: “Top of the Government’s list should be simplifying the process and making sure adequate support is in place so claims can be completed as quickly as possible.”
The DWP would not comment on the whistleblowers’ claims but insisted the system was being constantly improved.
They said: “Universal credit is a flexible and responsive benefit and we continue to listen to feedback and make any necessary improvements during the rollout with our test-and-learn approach.”
It is not working the way it was intended MP CHRIS STEPHENS ON UNIVERSAL CREDIT