Universal Credit 'Switchback' Details Published

The government has responded to a CLG Select Committee report with details about how it intends to 'switchback' direct payment to landlords when tenants have been in arrears for two months. The government's response confirms that the "DWP can make rent payments direct to the landlord if a claimant reaches a certain level of rent arrears". Currently this "will assume a two month arrears trigger point, subject to review pending the outcome of the [Direct Payment] projects". To pay back the arrears built up before the switchback, "Deductions of up to 5 per cent of the standard allowance....can be made ....under current regulations. The Government is considering whether this level is appropriate for Universal Credit, or if it should be increased in future." The report also states that the six month extension of the Direct Payment projects will "monitor persistent under payment by tenants and triggers, and will help further inform the structure/design of the support network being developed for Universal Credit claimants."  Download a copy of the response from the Gov.uk website.