Last year, the Work and Pensions Committee met to discuss the five-week waiting period for Universal Credit (UC). This was the first meeting following the National Audit Office’s report which looked to assess and scrutinise the system.
Professionals from various financial organisations came together to debate the time in which a person has to wait until they receive their first payment. And it got us thinking.
Here to help
We talk to hundreds of people a week who are claiming Universal Credit. Some have been depending on these benefits for a long time, while others are new to the system following the knock-on effects of COVID-19. The number of calls we’ve been taking as an Income department has doubled this year. So it’s clear to us that the national need for financial support is at a high.
Our team has a responsibility to help our customers understand what they are entitled to. And we’re here to help them navigate through the Universal Credit system which can, at times, be tricky.
Tailored support
Before a customer submits a claim, our benefits teams help them to find the ‘right’ time to do so. A lot of people assume claiming as soon as possible is the best approach, but this doesn’t always result in the right outcome for customers.
By learning about a resident’s personal situation and financial outlook we can suggest when might be best to apply. It’s this bespoke advice that we – as employees of a housing provider – can offer that makes the most difference to a customer navigating the benefits system.
We also proactively contact customers who are new to UC and talk them through the process. And we provide debt and budgeting advice early on to help them manage their money while they receive benefits.
We’re also keen to highlight the other avenues that are available to customers, which includes our employment and training support. We aim to refer willing UC claimants to our in-house team who will work with them to find work opportunities.
Invested in improving the system
Universal Credit is a life-line for many, and the positive impact is undeniable. Like most systems, there are ways that it could better help the people it was designed for and it’s mostly to do with the repayment of advance loans, taken out to bridge the five week wait for their first payment.
Lots of people have a right to receive advance payments when they first claim Universal Credit, which helps keep them afloat while waiting for their full benefit. But re-paying this, as a deduction from their UC award, can result in ongoing debt issues for some customers. Delaying this repayment would give people more time to tackle any debts they’ve accrued while not adding any additional financial burden.
It would also be useful to consider adapting the advance payment into a non-repayable grant if the claimant finds work within a certain period. This wouldn’t only help the person in question but inspire people to seek employment.
Universal Credit Officer
