JEREMY Corbyn will today announce radical plans to scrap Universal Credit – but admitted he doesn’t have a plan to replace it.
The Labour leader will vow to make major changes to the Government’s troubled flagship welfare programme within the first 100 days of his Government and ditch it totally within five years– costing taxpayers billions of pounds.
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The two child policy and benefit cap would be immediately ditched, he will say, and Labour will ditch sanctions for those who don’t look for work or miss crucial appointments.
And he will cut the five-week wait for those going onto the new six in one benefits scheme – a key part of The Sun’s Make Universal Credit Work campaign.
We have called on ministers to slash the long wait for benefits, make childcare costs available upfront, and demanded Brits get to keep more of their hard-earned cash.
Mr Corbyn will say today (Saturday): “When a Labour government takes office we will introduce an emergency package of reforms to end the worst aspects of Universal Credit.
“And we will introduce a new system that will be based on the principles of dignity and respect and it will alleviate and end poverty, not drive people into it.”
Housing benefits will be paid automatically to landlords, and Brits will be paid automatically every two weeks instead.
The Sun wants to Make Universal Credit Work
UNIVERSAL Credit replaces six benefits with a single monthly payment.
One million people are already receiving it and by the time the system is fully rolled out in 2023, nearly 7 million will be on it.
But there are big problems with the flagship new system – it takes 5 weeks to get the first payment and it could leave some families worse off by thousands of pounds a year.
And while working families can claim back up to 85 per cent of their childcare costs, they must find the money to pay for childcare upfront – we’ve heard of families waiting up to 6 months for the money.
Working parents across the country told us they’ve been unable to take on more hours – or have even turned down better paid jobs or more hours because of the amount they get their benefits cut.
It’s time to Make Universal Credit work. We want the Government to:
- Get paid faster: The Government must slash the time Brits wait for their first Universal Credit payments from five to two weeks, helping stop 7 million from being pushed into debt.
- Keep more of what you earn: The work allowance should be increased and the taper rate should be slashed from 63p to 50p, helping at least 4 million families.
- Don’t get punished for having a family: Parents should get the 85 per cent of the money they can claim for childcare upfront instead of being paid in arrears.
Together, these changes will help Make Universal Credit Work.
Join our Universal Credit Facebook group or email UniversalCredit@the-sun.co.uk to share your story.
He will rename the Department for Work and Pensions the Department for Social Security too.
The plans will cost £3billion to start with – but the future reforms could total up to far more.
Despite claiming that Universal Credit is beyond repair, some policies could be kept in the new system – including the taper rate system which reduces cash as claimants work more hours.
Labour refused to give any detail on when the current programme would close down completely.
Thousands of Brits will be immediately stopped from being moved over onto the new system automatically.
However, new claimants will apply for what the party calls a “reformed” version of the benefits system until they sort out a long-term plan.
Mr Corbyn will announce the plans in a rally in the former Tory leader Iain Duncan Smith’s constituency.
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Mr Duncan Smith, the architect of Universal Credit insisted that ditching the policy altogether would cause absolute chaos – and cause stress to millions of worried Brits.
He stormed: “This is a shallow and cynical attempt to distract from all of Labour’s Brexit mess, the failure to support an election, and the cost of their open doors migration policy.
“Universal Credit is working. They will trash it for the sake of a dog whistle.”
New Work and Pensions boss Thérèse Coffey blasted Labour’s completely reckless ideas to rip up the current welfare policies.
She said: “This is totally irresponsible from Jeremy Corbyn – who now admits he would happily scrap financial support for vulnerable people with no plan as to what Labour would replace it with.
“It’s reckless, political point scoring from a Party that spent years trapping people on benefits and holding them back from the opportunities that would help them build a better future for them and their families.
“It is because of policies like Universal Credit that we have supported over 3.7m people into work since 2010, incomes are rising at their fastest pace in over a decade and income inequality is close to a 30-year low.
“But we know there is more to do to make the system work better for those who need it most, and this why we have recently increased the amount people can earn before their benefits are reduced by £1,000 a year.”
What to do if you have problems claiming Universal Credit
IF you’re experiencing trouble applying for your Universal Credit, or the payments just don’t cover costs, here are your options:
Apply for an advance – Claimants are able to get some cash within five days rather than waiting weeks for their first payment. But it’s a loan which means the repayments will be automatically deducted from your future Universal Credit pay out.
Alternative Payment Arrangements– If you’re falling behind on rent, you or your landlord may be able to apply for an APA which will get your payment sent directly to your landlord. You might also be able to change your payments to get them more frequently, or you can split the payments if you’re part of a couple.
Budgeting Advance – You may be able to get help from the government to help with emergency household costs of up to £348 if you’re single, £464 if you’re part of a couple or £812 if you have children. These are only in cases like your cooker breaking down or for help getting a job. You’ll have to repay the advance through your regular Universal Credit payments. You’ll still have to repay the loan, even if you stop claiming for Universal Credit.
Cut your Council Tax – You might be able to get a discount on your Council Tax or be entitled to Discretionary Housing Payments if your payments aren’t enough to cover your rent.
Foodbanks – If you’re really hard up and struggling to buy food and toiletries, you can find your local foodbank who will provide you with help for free. You can find your nearest one on the Trussel Trust website.
