The Welfare Reform Act 2012 started the biggest shake-up of welfare benefits in 60 years. The act introduced a raft of new measures. These include under-occupation penalties for social landlord tenants, commonly known as the bedroom tax, a benefits cap that applies to around 40,000 households and the flagship, Universal Credit system. UC will apply to all tenants who receive some or part of their rent through benefits by 2017.
It is expected that over the coming years, landlords will face some confusion as the system is rolled out. With all benefit payments being rolled into one, tenants are expected to manage their monthly budget across household bills and living expenses with little support or guidance.
With a juvenile system in place, the DWP will be under increased amounts of pressure to deliver fast solutions to time sensitive issues within an entirely new framework of compliance. Universal Credit administration is much more complex than it's predecessor for both tenants and landlords and problems are already being reported in areas where it has come into effect.
Our team have extensive experience in helping tenants and landlords who have UC related issues. We can resolve even the most complex situations that arise from this new system.
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Universal Credit will completely replace:
- Income-based Jobseeker's Allowance
- Income-related Employment and Support Allowance
- Income Support
- Child Tax Credit
- Working Tax Credit
- Housing Benefit
Which benefits are not affected by Universal Credit?
- Contributory based Jobseeker's Allowance
- Contributory based Employment and Support Allowance
- Disability Living Allowance (DLA)/Personal Independence Payments (PIP)
- Attendance Allowance
- Carer's Allowance
- Child Benefit
- Maternity Allowance
- Statutory Sick/Maternity Pay
- Industrial Injuries Benefit/Pension
- Many others