Universal Credit: Advance payments offered as rollout continues

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Better claimants struggling to pay their bills will be able to get cash advances upfront, Plan and Pensions Secretary David Gauke has said.

He said he recognised things that people moving on to Universal Credit had to wait six weeks to be yield a returned.

He told the Conservative conference those needing a cash advance would get one within five days — or on the unvarying day in emergency cases.

But he said he was committed to the system and its rollout would go onwards.

A dozen or so Conservative MPs have called for the rollout of Universal Credit, which amalgamates six existing benefits into one, to be put on hold because of the financial difficulties skin people arising from the transition from weekly or fortnightly to monthly payments.

Verified figures show 24% of new Universal Credit claimants wait lengthier than six weeks to be paid in full — causing many to fall behind on charter out.

The government has insisted the vast majority of claimants were paid in detailed and on time, and are comfortable managing their money.


Analysis by Michael Buchanan, public affairs correspondent

Claimants will now be able to get some money on the day they command a claim and ministers want more people to apply for an advance — sooner than waiting at least six weeks for their first Universal Acknowledgement payment

Advance Payments are a loan. Claimants for Universal Credit can dedicate for a proportion of their expected award to be paid to them before their essential full payment.

They have always been a part of the All-encompassing Credit system but many people have claimed they weren’t up aware of them.

The advance payment is automatically taken out of any subsequent Prevalent Credit payment over a number of months until the total amount is took off.


Mr Gauke told party conference in Manchester that the shake-up of the forward system was «working», giving people more incentives to seek retaining and helping people in work secure better-paid jobs.

He insisted that its rollout to assorted JobCentres across the UK would continue on the present timetable, with the aim of it being fully instrumented by 2022.

But he said the rollout would not be «rushed» and he had listened to concerns about how some new claimants were verdict it hard to make ends meet.

‘Proactive help’

«I am determined to assure that those who need support earlier in the month will get it,» he bruit about.

«I can announce today that we are refreshing the guidance to DWP staff to ensure that anyone who needs an loan a beforehand payment will be offered it up-front.

«Claimants who want an advance payment leave not have to wait six weeks. They will receive this move onward within five working days. And if someone is in immediate need, then we abstain track the payment, meaning they will receive it on the same day.»

The Toddler Poverty Action Group welcomed cash support for families with children but affirmed wider concerns over the design, implementation and funding of Universal Upon were not being addressed.

«It does not make sense to pretend that arranging no income for six weeks won’t harm them,» said its chief executive Alison Garnham.

And shelter associations said they still had real concerns about how orders on low incomes would cope.

«DWP must help people make and direct claims effectively and swiftly,» said Sue Ramsden, from the National Accommodation Federation.

«The money should be made available on request rather than be dependent on claimants including to demonstrate need.»

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