Lord Freud confirms 'transitional payment system' to support Universal Credit claimants

Published by 24publishing for 24dash.com in Housing and also in Central Government, Communities, Local Government, Universal Credit

The Department for Work and Pensions (DWP) has confirmed it's looking at transitional support for claimants moving on to Universal Credit - which will see tenants paid their benefit four weekly in arrears.

Welfare reform minister Lord Freud confirmed the move today during his address at the Chartered Institute of Housing (CIH) conference in Manchester.

From next October Universal Credit will see claimants paid their benefit directly with it being received monthly in arrears.

One delegate asked the minister: "Tenants have asked me how to manage the first four weeks when they're used to receiving their benefit two-weekly in arrears. How are they going to be supported to get ready to cope with a four weeks arrears system?

Lord Freud confirmed: "We're developing a transitional payment system to help people through that."

24dash first revealed the Government was looking at a transitional system to help claimants cope with longer arrears payments last year.

Speaking at a 24housing magazine-organised roundtable event, Felicity Ridgway, part of the DWP's Universal Credit Programme, said the Government was considering whether to financially support tenants with transitional payments – either via loans or grants – in the first month of their claim.