Hardship fears over Universal Credit
Council bosses say rollout could hit poorest hard
Council bosses fear the rollout of Universal Credit ( UC) across Renfrewshire will trigger further hardship for the poorest families.
The new benefit will be introduced from September 19, and will affect thousands of people in the area.
The local authority has set up an £ 810,000 war chest to fund extra work in coping with the anticipated flood of complaints from claimants.
Councillor Kenny MacLaren, SNP member for Paisley North West, voiced concern at having to spend vital taxpayers’ cash on coping with the controversial benefit introduced by the UK Tory Government.
He said: “It is a disgrace the council has to spend nearly a million pounds just so it can help administer a policy introduced by the Westminster Government.
“This money could have gone on vital services such as fixing schools or social care, rather than shoring up a system the Tories are ramming down the throats of the people of Paisley.”
Universal Credit combines six working age benefits ( Jobseekers’ Allowance, Income Support, Housing Benefit, Employment and Support Allowance, Child Tax Credits and Tax Credits), into a single monthly payment, paid to one person in the household.
The authority said extra support will help claimants with the online application process, job searching and help them adapt to monthly payments, including rent arrears.
The worrying report to the Leadership Board reveals: “The UC full or digital service is now being rolled out across the UK, with the scope widened to include all customers of the six legacy benefits referred to above.
“This will be a significant undertaking, with over 20,000 people in Renfrewshire likely to be eligible once rollout is completed by 2022.
“The rollout will require this support to continue for an increased number of people as there is a risk that the scaling up of UC may exacerbate poverty for the most vulnerable individuals and families.”
The document adds that even with “additional support that will be required for customers, UC presents an increased risk to the council.”
The new benefit also impacts on Housing Benefit and Council Tax reduction for families and will cause a rush of welfare fund applications such as crisis loans and discretionary housing payments.
The authority said it has committed £810,000 of resources to assist in managing the impact of Universal Credit on Renfrewshire’s residents.
This money could have gone on vital services such as fixing schools or social care