Universal Credit – Parliamentary Written Answer

Stephen Timms: To ask the Secretary of State for Work and Pensions with reference to his Department's publication, Direct Payment Demonstration Project: Learning and Payments figures-May 2013, what assessment he has made of the learning and payment figures published in that report.

Mr Hoban: The Direct Payment Demonstration projects have and continue to provide much valuable live learning about how best to design that aspect of universal credit for tenants and landlords.  To date, the learning has had a direct influence on the design for universal credit in the areas of personal budgeting support, the alternative payment arrangements and the rent arrears trigger. The figures contained in last month's release indicated that payment collection rates have increased and landlords have got better at managing rent arrears and the switchback process. The volume of tenants paid by direct payment has remained relatively constant but switchbacks have increased. These safeguards have helped contain arrears and lessons have been learnt about the support tenants who fall behind on their rent may need.

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