From minimath's link - VERY LONG POST WARNING
Welfare Reform Bill: Key changes
? 3 sets of provisions on conditionality and sanctions
- New provisions for Universal Credit
? to set work related requirements
? to impose sanctions
- Matching provisions for contributory benefits
- Introduction of key changes in advance of Universal Credit
? claimant commitment
? new sanctions system
Universal Credit: Recap
Universal Credit replaces:
? Income related Jobseeker?s Allowance
? Income related Employment and Support Allowance
? Income Support (including SMI)
? Child Tax Credits
? Working Tax Credits
? Housing Benefit
? Social Fund (budgeting loan elements)
But does not replace:
? Disability Living Allowance
? Contributory Benefits
? Child Benefit
? Carer?s Allowance
Start date: October 2013
Universal Credit: Conditionality framework
? The Welfare Reform Bill sets out:
- four types of work-related requirement
- four conditionality groups
~ > No work-related requirements
~ > Work-focused interviews
~ > Work preparation
~ > All work-related requirements
? No "partners" - each adult in a household will be placed into a group according to their individual capability and circumstances.
? Recorded in a claimant commitment
Universal Credit: in-work conditionality?
? Previously ? conditional out of work benefits, unconditional in-work benefits
? UC removes division ? when should conditionality stop?
? In current system at around £70 per week / £3500 per year
? Too low? Higher to support
- Sustainability of employment?
- Progression?
? And therefore help with
- Child poverty?
- Public expenditure?
? Live issue ? considering carefully the right level and approach
- extent to which in-work conditionality can be cost-effective
- extent to which (and when) we can support the delivery of greater in work conditionality
Universal Credit: Sanctions
Higher Level Sanction: e.g. leaving employment voluntarily
Applicable To: Claimants subject to all work-related requirements
1st failure: 3 months
2nd failure: 6 months
3rd failure: 3 years
Medium Level Sanction: e.g. failure to undertake all reasonable action to obtain work
Applicable To: Claimants subject to all work-related requirements
1st failure: 4 weeks
2nd failure: 3 months
3rd failure: 3 month
Lower Level Sanction: e.g. failure to undertake particular, specified work preparation action, failure to participate in a work-focused interview
Applicable To: Claimants subject to all work-related requirements
And: Claimants subject to work preparation and work-focused interview requirements
Sanction Open ended until re-engagement followed by
1st failure: 1 week
2nd failure: 2 week
3rd failure: 4 weeks
Lowest Level Sanction: Failure to participate in a work-focused interview
Applicable To: Claimants subject to work-focused interview requirements only
Sanction Open ended until re-engagement
Changes prior to Universal Credit
? Bill amends existing benefits (Income Support, JSA, ESA)
? Moving towards UC system, and to support current changes e.g.
- lone parents
- work related activity
? Introduction of claimant commitment
- Condition of entitlement for IS, JSA and ESA
- Builds on existing Jobseeker?s Agreement
- Allows all requirements & consequences to be recorded in one place
? Introduction of new sanctions system
- New system introduced to JSA
- Medium level sanctions, disentitlement but followed by fixed period
- Value of sanctions increased in ESA
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I'd suggest having a careful read of that. There are some stunners.
Basically, all benefits will be conditional on the claimant doing what the DWP says they must in order to become a worker.
This conditionality will apply to in-work claimants as well as non-working people.
If the claimant doesn't satisfy the conditions their benefits will be stopped for up to 3 years.
Conditionality will be set at 4 levels, depending on how 'able' a claimant is deemed. (The slide layout suggested an expected progression through the levels.)
The JC+ will have discretion to apply sanctions.
Sanctions will be introduced prior to Universal Credit.
Pre UC: sanctions will be harsher for ESA claimants.
I'm sure others will spot further important points.
Here's the link to that particular presentation.
Here again is the link to the conference.