The Department for Work and Pensions (DWP) has confirmed plans for a comprehensive review of Universal Credit, which could lead to significant changes for millions of claimants across the UK.
Why is Universal Credit being reviewed?
The review comes amid growing concerns about the effectiveness of the current system, particularly in light of the ongoing cost-of-living crisis. The DWP has stated the evaluation will assess whether Universal Credit is meeting its original objectives of simplifying the benefits system and encouraging employment.
What areas will the review cover?
- Assessment of the five-week wait for first payments
- Evaluation of the sanctions regime
- Review of work allowance thresholds
- Examination of housing cost support
- Analysis of support for disabled claimants
When will changes take effect?
While the review is expected to begin shortly, any substantive changes to Universal Credit rules would likely require parliamentary approval, meaning alterations probably wouldn't take effect before 2025.
What does this mean for claimants?
Current claimants shouldn't see immediate changes to their payments, but should stay informed about potential modifications that could affect their entitlements in the future.
The DWP has emphasised that the review aims to create a fairer system that better supports those in genuine need while maintaining incentives to work where possible.
