Christmas black hole for Universal Credit claimants

THE introduction of Universal Credit could leave people in West Wales out of pocket over Christmas.

Timing of the Waleswide roll-out of Universal Credit could lead to delays in people getting their first payments, meaning claimants could be left with a financial black hole at one of the most expensive times of year.

Jobcentres in Carmarthen, Ammanford, Llanelli, Cardigan and Aberystwyth are among 20 in Wales where Universal Credit is due to be introduced over the next two months.

But as there is a five- week wait until a first Universal Credit payment is made, many people are unlikely to get their cash before Christmas.

Politicians have raised concerns the roll-out could affect individuals and families already under strain to meet expensive bills over the winter period.

Carmarthen East and Dinefwr MP Jonathan Edwards said: “Plaid Cymru has consistently opposed the Tory Government’s Universal Credit programme. The way in which this social security stitch-up has been implemented has made matters worse for those most vulnerable in our society.

“In this week’s Budget we heard the Chancellor confirm that the complete roll out of this shambolic exercise will be delayed until 2023. I and my colleagues will be putting pressure on the Chancellor to avoid any changes to the benefits system ahead of the Christmas period.

“The UK Government must get to grips with the problems and recognise the hardship and hurt it is causing.

“Rather than have our people suffer the incompetence and callousness of the Tories, Plaid Cymru supports the devolution of welfare administration. Taking control for our- selves is one way we can better protect the people of Wales.”

Llanelli MP Nia Griffith said: “I am very concerned that the UK Government is pressing ahead with the roll-out of Universal Credit just before Christmas. Given the scheme’s five-week wait and appalling record of delayed payments, early December is the worst possible time to introduce this.

“It is shocking that so many people moving over to Universal Credit will be left out of pocket and forced into debt over the Christmas period through no fault of their own.”

Universal Credit, which is a six-in-one benefit meant to simplify the welfare system, has already been widely criticised for increasing food bank use after leaving claimants waiting weeks for payments.

New benefits claimants and existing claimants whose circumstances change are currently being placed on the new benefit in the first phase of the roll-out.

The first Jobcentre launched Universal Credit in November 2015. Now it’s in almost every Jobcentre, and the final 107 will launch it in November and December 2018.

Up to four million existing claimants will move onto Universal Credit later through a process called “managed migration”.

Campaigners’ fears are greatest when Universal Credit is new to an area.

It means Jobcentre staff are dealing with their first cases under the new ben- efit, which it’s claimed could lead to teething problems and delays.

So while anyone who claims from late November faces a wait over Christmas, it’s those in new Universal Credit areas who are being highlighted.

The Department of Work and Pensions has an advanced payment system to ensure that money is not cut off.

As soon as claimants apply for Universal Credit, they can apply for 100% of the first month’s payment – but this advance has to be paid back.

Repayments can be spread over 12 months and there is no interest.

Housing benefit will also keep being paid for the first two weeks of a Universal Credit claim to help bridge the gap.