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Government “storing up problems with Universal Credit”, says Citizens Advice

20 Mehefin 2014

As the Government prepares to further roll-out its flagship benefit reform next week, the Chief Executive of national charity Citizens Advice, has said that support must be given to people moving on to the new Universal Credit system.

Citizens Advice Chief Executive, Gillian Guy, said:

"Universal Credit is a good idea being undermined by some poor design and delivery. Getting the reform right is not just a political challenge, but is crucial for millions of households. Since Universal Credit was introduced in April 2013, more than 80,000 people have gone to our website for advice about the reform. Simplifying the welfare system is important and welcome, but with nine in ten of our clients not ready for the new system, there is much work for ministers to do to get this right.

“Failure to line up Universal Credit and extra help with childcare and school meals, could end up leaving many low-income families unable to make work pay. Ministers should commit to giving parents on Universal Credit at least 90 per cent of their childcare costs and a Free School Meal for each child, to guarantee that every extra hour of work pays.

"Ministers risk storing up problems with their flagship reform if they don’t act. Claiming benefits online and receiving monthly payments is a huge change to the way many people manage their budgets. The new software is often unable to cope with everyday changes in people’s living arrangements and this issue will get worse as people in more complex personal circumstances move onto Universal Credit in the coming months. The close attention and extra resources which ministers have committed to pilot areas need to be repeated across the country as the roll-out picks up pace. ”

Notes to editors:

  1. The Citizens Advice service comprises a network of local bureaux, all of which are independent charities, the Citizens Advice consumer service and national charity Citizens Advice. Together we help people resolve their money, legal and other problems by providing information and advice and by influencing policymakers. For more see the Citizens Advice website.
  2. The advice provided by the Citizens Advice service is free, independent, confidential, and impartial, and available to everyone regardless of race, gender, disability, sexual orientation, religion, age or nationality.
  3. To find your local bureau in England and Wales, visit citizensadvice.org.uk. You can also get advice online at adviceguide.org.uk
  4. You can get consumer advice from the Citizens Advice consumer service on 03454 04 05 06 or 03454 04 05 05 for Welsh language speakers
  5. Citizens Advice Bureaux in England and Wales advised 2.3 million clients on 5.4 million problems from October 2013 to September 2014. For full 2013/2014  service statistics see our quarterly publication Advice trends
  6. Citizens Advice service staff are supported by more than 21,000 trained volunteers, working at over 3,000 service outlets across England and Wales.