Universal Credit 

From 17 October in the Droitwich area and 14 November 2018 in the Evesham and Pershore area anyone who would have made a claim for the first time for Jobseeker's Allowance, Housing Benefit, Working Tax Credit, Child Tax Credit, Income-related Employment and Support Allowance or Income Support, will instead be asked to apply for Universal Credit.

People already claiming any of the six benefits who have a change in their circumstances will have to switch to Universal Credit instead.

• You change your address
• You become pregnant or have a child (but still have fewer than three children)
• You start work
• Your extended period of sickness ends and you are still unable to work
• You separate from your partner who was in a joint claim with you
• You are claiming Income Support and leave full-time education

If you want to see if you may be affected then you can use this eligibility checker (please note South Worcestershire Revenues and Benefits Service is not responsible for the content of external sites).

The Money Advice Service website also contains lots of information about what will change when you move from one of the six benefits to Universal Credit. The Government plans to move everyone claiming the six benefits on to Universal Credit between July 2019 and March 2023. You do not need to do anything until you hear from the Department of Work and Pensions (DWP), unless your circumstances change.

• People of Pension Credit age
• People living in supported or temporary accommodation will need to apply for Housing Benefit for help with their rent and Universal Credit for help with living costs.
• If you receive the Severe Disability Premium in the assessment of any of the benefits previously mentioned you will not be eligible to claim Universal Credit and will continue to claim any of these benefits.

You may also be entitled to free school meals if you claim Universal Credit, but you’ll need to apply for this separately.

Advice for landlords

Most private sector landlords won’t see any change with the introduction of Universal Credit.

This is because most working age claimants in the private rented sector are already used to receiving their Housing Benefit/Local Housing Allowance payments directly from us and are responsible for paying their own rent.

If a tenant cannot manage and gets into arrears then it’s important to note that private landlords no longer need explicit consent from their tenant to apply for rental payments to be made directly to them.

The Department for Work and Pensions should start making payments direct to landlords if:

• a claimant is in arrears with their rent for an amount equal to, or more than, two months of their rent.
• a claimant has continually underpaid their rent over a period of time, and they have accrued arrears of an amount equal to or more than one month’s rent.

If a managed payment is not set-up by the Department for Work and Pensions then landlords can request one by completing the form on the Government’s official website.

The Government has created a dedicated page on their website for Universal Credit and rented housing which contains detailed advice. The Residential Landlords Association has also produced this handy guide.

Advice for employers

Universal Credit can benefit employers as well as individuals by creating a more flexible workforce as there is no upper limit to the number of hours people can work before losing their benefits. Instead, benefits will gradually reduce as people earn more.

The Government has produced detailed information to help employers with staff claiming Universal Credit which you can find here.

As an employer there are some basic things you can do to help your staff make the move to Universal Credit.

• Report PAYE information accurately and on time to HMRC. Failure to do so can lead to your staff not receiving enough Universal Credit payment or none at all which could lead to financial hardship. If you do not use the Real Time Information (RTI) system then let your employee know as they will need to report their work details themselves.
• Be open and flexible to staff requesting additional hours or ad hoc overtime. Discuss with them how they could earn more by taking on additional responsibility or upskill themselves.
• Universal Credit claimants, particularly when waiting for their first payment, can struggle to meet housing and living costs. Be aware of the financial support on offer and direct staff towards it. Alternatively, you may wish to consider advancing payments or loans to your employees that they pay back over a set period of time in a way they can afford.
• Consider paying staff monthly instead of once every four weeks. Paying staff once every four weeks can mean at certain times of the year they will be assessed as having been paid twice within one Universal Credit period. This could mean their earnings are too high and they drop out of the Universal Credit system. They will then need to reapply to ensure payments continue in the next four-week cycle. This can lead to delays and financial hardship.

The money management service has developed a free online tool especially for people making a new claim or moving to Universal Credit from existing benefits.

Struggling with debt?

If you find yourself in financial difficulty you may want to consider asking for independent debt advice. If you are having trouble paying your Council Tax bill then please get in touch with us as soon as possible by emailing revenues@southworcestershirerevenues.gov.uk or call 0300 456 0560.

If you are in financial difficulties then there is a range of financial support on offer to help you.

Advanced Payments

If you have little or no money to see you through until your first Universal Credit payment then you can apply for an advance payment by calling the Universal Credit helpline or asking for advice from your local JobCentre Plus.

You can apply for up to one full month’s payment in advance. Please note though, this is a loan and not a grant, you will have to pay it back but will have 12 months to do so.

Budgeting Advance

You can borrow from £100 up to £812 (if you have children) to help with emergency household costs such as replacing a broken cooker or help getting a job or staying in work. This money will be repaid through your regular Universal Credit payments.

Eligibility criteria applies and how much you receive depends on your circumstances. Speak to your Jobcentre work coach for more information and to apply.

Help paying your Council Tax

Council Tax Support (previously Council Tax Benefit) is not including in Universal Credit so you will still need to apply to our Revenues and Benefits service separately for help paying your Council Tax bill. Find out about Council Tax Support.

Discretionary Welfare Assistance

The South Worcestershire Discretionary Welfare Assistance Scheme will provide assistance in the form of goods or vouchers to help individuals or families facing exceptionally difficult circumstances or an emergency.

Discretionary Housing Payments

Discretionary Housing Payments are paid on top of any Housing Benefit you may receive. They act as additional financial support for those who need extra help with housing costs. They are normally only paid for a short period of time. There is only a limited amount of money available so not everyone who applies will receive payment, it will depend on your circumstances. Find out more about Discretionary Housing Payments.

Other support

If you claim Universal Credit you may also be entitled to:

Are you claiming everything you are entitled to?

Use this free benefits calculator to check you are not missing out on any financial help you could be claiming.

If you disagree with a decision about your Universal Credit claim then the first thing you should do is contact your local job centre using the details on your decision letter and ask for an explanation of the reasons behind a decision. You should do this as soon as possible.

Further information is available through the Citizens Advice website, or speak to the South Worcestershire Citizens Adviceteam.

Please note that Wychavon District Council does not hold detailed information regarding Universal Credit claimants and will not be able to advise you as to why or why not a payment decision has been made.