Agenda item

Universal Credit and Welfare Reform - verbal update

Minutes:

The Chair asked Rose Doran to introduce the update.

 

Rose highlighted 3 key developments since the last Resources Board meeting:

1)    Following the resolutions at the last Board meeting, constructive conversations had taken place with the DWP around Universal Credit data sharing and they had shown a willingness to support the proposal if the LGA could demonstrate the benefits of it. Rose thanked members for their support on this.

2)    The LGA had submitted evidence to the House of Lords Select Committee Inquiry on Universal Credit. This submission highlighted the LGA’s work and in particular, how Universal Credit had affected housing outcomes.

3)    The LGA’s research on the Local Housing Allowance had been published which highlighted the increase in temporary accommodation costs for councils resulting from the LHA freeze. The research showed that the LHA was now effectively at the 13th percentile. The LGA was continuing to campaign for it to be restored to the 30th percentile or higher.

Following Rose’s introduction, members raised the following comments and questions:

·         Errors by the DWP over Universal Credit were causing great hardship.

·         The current 6 week waiting time to receive the first payment of Universal Credit was considered to be unacceptable. Funding was available from the DWP to cover the gap but this was in the form of a loan which in itself was causing more problems for people.

·         Two out of three Universal Credit recipients in Brighton & Hove were in debt and often these were households who had had little or no experience of managing budgets before. Could the LGA take this up with the DWP?

·         Rose said that the Reshaping Financial Support work currently being undertaken by the LGA was looking into all these issues and a report would be brought back to the next Resources Board meeting.

Decision

 

Board members noted the update.