Agenda item

To consider a report by the Contracts and Performance Project Manager (copy attached) which provides the Committee with an update on the migration processes of Universal Credit (UC), the effectiveness of mitigation measures and how COVID - 19 has impacted on the number of people claiming Universal Credit in Denbighshire.

11.40am – 12.20pm

The Chair welcomed everyone to the meeting including Graham Kendall, from Citizen Advice Denbighshire (CAD) for the discussion on Universal Credit.

Councillor Julian Thompson- Hill, Lead Member for Finance and Efficiency introduced the Universal Credit report (previously circulated). It was highlighted that the Committee had originally requested the report (previously circulated) for the purpose of reporting on the final migration of recipients on to Universal Credit.  The Covid-19 pandemic had impacted on this process and consequently details had been included within the papers for members comments. Reference was made to the data figures having reflected the current pandemic. The number of claimants had increased due to factors out of individuals control.

The Head of Finance and Property (HFP) provided a brief introduction on how Denbighshire County Council was supporting residents in relation to UC and associated support. It was stated Universal Credit had increased during the year due mostly to the pandemic. The increase in numbers offered reassurance that residents of Denbighshire had received financial support. Due to the increase in applications for Universal Credit an impact on Denbighshire County Council (DCC) finances had been observed. The Department for Work and Pensions (DWP) administered the Universal Credit, other benefits such as Housing Benefit were administered by DCC. It was explained to members that the Housing Benefit administration grant had reduced in line with the migration to Universal Credit. It had been noted that although the funding had reduced the workload had remained the same.  It was highlighted that the Council Tax Reduction Scheme (CTRS) was offered to eligible residents, and uptake had increased over recent months. This had resulted from the Covid-19 pandemic; it was stressed the recovery would be slow. Members were informed that a cash grant to aid the financial impact due to an increase in the uptake of the CTRS had been secured for 2020/21, but it was as yet unclear whether any assistance would be available for the forthcoming financial year. The HFP wanted to thank officers and the CAD for all the hard work that had been put into the smooth transition to Universal Credit especially during the difficult few months.

The Business Support Manager addressed a number of concerns that members had raised before the meeting. It was explained to members the difficulty in providing accurate figures around the number of individuals that were still in receipt of legacy benefits. The data for those customers had to be sought from a wide range of different benefits that DCC did not have access to the information.

It was confirmed that the number of claimants for CTRS had increased by 2.8%, and that there had been a 10.95% increase in free school meal (FSM) applicants between March and November 2020. The Business Support Officer provided members with context for the data within appendix 1 and appendix 2. It was stressed that officers regularly monitored the statistics on a monthly basis to ensure that further investigation and intervention occurred as soon as needed.  Members were reminded that a number of benefits and emergency financial measures were in place at present that residents may be eligible to claim, all had different criteria requirements.

Graham Kendall - Citizen Advice Denbighshire (CAD) Business Development Manager echoed the thoughts and comments of the Lead Member and officers praising the approach to Universal Credit had been the correct method. It had provided individuals with the information and partnerships to contact for support. It was highlighted that 1235 new claims had been received during the lockdown for Universal Credit. The continued close working relationship with DCC had proved invaluable for both officers from CAD and claimants. The CAD representative thanked members for the invitation to the meeting and offered his thanks to officers for the continued partnership working.

During the debate the following points were raised:

·         The overall figures of individuals still on legacy benefits is difficult to obtain. It was explained that a number of different departments provided the data. The figures were very complex.

·         It was confirmed that an increase of about 600 claims from individuals unable to work had been observed during the Covid-19 Pandemic. Officers advised that the increase in claims could be for low level support and not the full Universal Credit allowance. It was noted that a number of individuals dipped in and out of Universal Credit claims as work had been intermittent during lockdowns.

·         An increase in cases had been noted by CAD. The entire workforce of CAD had been moved to online and remote working due to the pandemic. The use of a number of channels to engage with individuals had been adopted. Community outreach by a number of organisations had supported individuals being able to receive support if needed.

·         Transitional protection on free school meals had been introduced before the Covid-19 pandemic by WG. It was in place to protect a very small number of children who would be eligible for free school meals under legacy benefits but not under Universal Credit. Since April 2019 if individuals who qualified for free school meals or had been receiving free school meals prior, would still receive the free school meals if the household finances changed. Within the Welsh legislation the transitional protection stated, would be in place until December 2024. 

The Vice-Chair thanked all officers for the detailed response to members’ concerns. A special thanks for all the work CAD had done to date was also offered. It was therefore

RESOLVED that, members receive the contents and information within the Universal Credit report.