What is Universal Credit?
Well this is new benefit that will replace others, so up to date information is a bit sketchy, but here is want is known so far, we know that it is to simplify the current benefit system.
It will replace
- Child tax credit
- Housing benefit
- Income related employment and support allowance
- Income based jobseekers allowance
- Income support
- Social fund budgeting loans
- Working tax credit
It is also said that universal credit system aims are:
- To improve the work incentives through a combination of improved earnings
disregards and lower benefit withdrawal rates
- To make the transitions into and out of work more smoother than it is now
- To make it easier for people to understand
- And to cut back on fraud and Error
How will universal credit work?
People on low income should be able to claim it, this will mean that you may be able to claim it if you are unemployed and looking for work or working in a low paid job or are sick or Disabled and unable to work.
How much will it be?
Like the current system it will depend on your level of income and family circumstances, but there will be a basic personal amount like there is now for some current benefits with added credits for
When will universal credit be introduced?
Well so far they are saying that the migration from the current benefit system to the new system will be brought in around October 2013 but how long it will take is still unclear but there is a suggestion that it will be at around the end of 2015/16.
You can read more by clicking the link below.