Monday, December 9, 2013

Universal Credit: £301m computer system to be scrapped?

Reblogged from brianwernham:

Minister to explain to Parliamentary committee on TV on Monday 4:30pm when DWP finally publishes its financial accounts... 

shhhhh_man


Iain Duncan Smith, as Minister of State for Work and Pensions has been summoned to testify to the Parliamentary Work and Pensions committee (Chair: Anne Begg MP) at 4:30pm on Monday. The last week has seen a furious flurry of press releases to soften up the bad news he is expected to deliver at that hearing. In true DWP style, these press releases have either been released late on a Friday afternoon after most real journalists have left their desks for the weekend, or slipped out whilst the Chancellor gave the Autumn statement today. An example is today’s Ministerial Statment on Universal Credit that seems to presage the admission that the £300m spent on IT development by DWP up to now could be junked (at least partially). In today’s statement the Minister for State said:

“As part of the wider transformation in the development of digital services, the Department will further develop the work started by the Government Digital Services (part of Cabinet Office) to test and implement an enhanced online digital service. This will be capable of delivering the full scope of Universal Credit and make provision for all claimant types.”

This means that the existing Pathfinder system will form the basis of the expansion further Universal Credit, with no plans to use the £300m system built by Accenture.

A source tells me that DWP’s accounts (that I pointed out in September are very late) will be published on Monday. These will state how much of the £300m will be written off. If there is a letter of Ministerial Direction from IDS taking responsibility for the rushed timescales then DWP will have to publish the letter at the same time.  More likely is that the Permanent Secretary (Robert Devereux) considered asking for a Ministerial Direction, but backed off, leaving himself fully responsible for any waste of public money on the project.

On Monday, at 4pm, Iain Duncan Smith (IDS) will testify to the Parliamentary Work and Pensions Committee. (Update: 6/12/2013 12:51  I notice that the DWP Permanent Secretary, Robert Devereaux, is testifying in another room on the related subject of “Using Payments By Results to help troubled families” to the Public Accounts Committee (Chair: Margaret Hodge MP) at around the same time!  Monday will be busy day for DWP pundits…).

In a flurry of activity in advance of IDS’s testimony, the DWP also published a press release and a memo explaining the rollout of the Pathfinder area to 3 more Job Centres and extended IT support for couples & families in the 10 Job Centres then supported from Apr ’14.

On a more positive note, DWP have announced that the current Pathfinder IT system which is in place will be incrementally developed in a more ‘Agile’ fashion rather than continue with the £425m ‘big-bang’ IT system project that has yet failed to deliver any functions at all. This is a step in the right direction, but there is much left to do with 730 Job Centres still to go, and a target of 17m claimants on Universal Credit by 2017.   IDS said today that the 700,000 most complex cases will not be on Universal Credit by then. 4% of the target being missed is not exactly a catastrophe, but perhaps the start of a climbdown from the previous statements that the timescale is still on track?

Lots of exciting Universal Credit action in the news predicted for Monday!