Wednesday, November 27, 2013

Universal credit has already cost £450 million

Reblogged from Benefit tales:


Universal credit has already cost the taxpayer £425 million, with industry insiders predicting that much of this will have to be written off because the IT project has been so poorly administered and led. The entire scheme has been judged to be ‘in crisis’ by the treasury. The National Audit Office has recently reported  that millions of IT costs have ALREADY been written off.

The scheme was due to be implemented in October 2013, but so far has only been implemented in a handful of test areas. Early reports back from these say that the system is too complicated for over half of claimants to understand without additional support, and that because of inadequacies in the system everything has to be checked by hand. Users report that the system is not able to track any change in circumstances of the claimants, not much use for people in and out of short term work, or on variable or zero hours contracts.
Yet Department for Work and Pensions has reiterated that the system will be delivered ‘on time and within budget.’

Minister for Welfare Reform, Lord Freud, said: “We are introducing Universal Credit in a slow, safe and controlled way. This careful approach is working well and we’re in a strong position as we bring Universal Credit to Inverness and Rugby for the first time. Most people are claiming it online, the IT is working and comprehensive support is in place.”

In the first pilot area in which the scheme was rolled out, Ashton Under Lyme, it was reported that “78% of claimants needed help filling in the forms for relatively straightforward claims. The pilot schemes are not even attempting to deal with people with complex personal circumstances.”  And if Universal credit was on time, it would have been rolled out nationwide as scheduled in October 2013.

I’m not sure who the Government thinks it is fooling, except perhaps themselves.