Local MPs, Amber Rudd and Huw Merriman, have welcomed the £1.5billion package of measures to help benefits claimants on Universal Credit. Speaking after the Chancellor of the Exchequer had unveiled the annual Budget, the MPs hailed the reformed Universal Credit scheme as 'crucial' in helping the remaining job seekers in their constituencies find work and move off benefits.
The reforms to Universal Credit will reduce the length of time claimants have to wait for their benefit payment, increase the size of the advance payment for those who may find it difficult to wait and doubles the period to twelve months by when this advance must be repaid. The changes will also see an additional lump sum payment, worth an average of £233, for those on housing benefit to help them manage rent whilst moving on to the new benefit. This amount can be paid directly to a landlord and is equal to two week's housing benefit payment.
In welcoming the changes Ms Rudd, MP for Hastings and Rye, said “Since 2010 there are 895 fewer people in Hastings and Rye receiving out of work benefits, however, there is still more to do to support people to work. This is what Universal Credit is delivering.
“During my recent visit to Citizens Advice 1066 I heard the concerns of residents who needed additional help at the start of their Universal Credit claim. This week’s Budget acts on these concerns with changes which will make a real difference to local claimants who are most in need.”
The introduction of Universal Credit sees six existing benefits, for people on low incomes or out of work, replaced by a single Universal Credit payment. The programme is being rolled out across the UK in stages and is designed to help jobseekers with particular challenges to receive tailored help in order to secure one of the 780,000 vacancies which exist in the jobs market.
In praising the more generous Universal Credit system, Mr Merriman, MP for Bexhill and Battle, said "Having spent a good deal of time with the Jobcentre team in my constituency, I know that Universal Credit really does help people in work or wanting to get back to work. I am therefore pleased that these Budget changes have improved the system and will deliver more money to constituents in need. A claimant over the age of 25 years old, receiving housing support in the private rented sector, will now receive over £1200, including their advance, in the first payment period. By contrast, the equivalent claimant in the previous Job Seekers Allowance system would receive just £700."