Jury Out On State-Sponsored Bank Accounts for Universal Credit

Housing associations have given a cautious welcome to Government plans to subsidise for a year bank accounts that would help claimants manage monthly payments under Universal Credit.  The DWP is set to appoint one or more payment suppliers to offer jam jar-style accounts – which allow people to split their benefit into separate pots for spending, saving and bill payments – that would be offered when claimants sign on to Universal Credit.  The theory being that from October next year, new Universal Credit claimants will have their circumstances assessed by the DWP and, if necessary, will be offered special “budgeting” accounts. Those offered the accounts will be those for example exposed to debt and who feel unable to manage monthly payments. Those without bank accounts but who feel confident to manage monthly payments could be sign-posted to a basic bank account.  Read more on 24dash.