CREDIT CRUNCH
Boris Johnson vows to keep hated Universal Credit but Jeremy Hunt hints he could scrap five week wait
BORIS Johnson and Jeremy Hunt both last night vowed they would keep hated Universal Credit if they became PM - but the underdog hinted he would cut the five-week wait for cash.
The two men fighting to become Tory leader went up against each other in a head-to-head clash over Brexit, benefits and Donald Trump.
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Both of them committed to keeping the flagship welfare policy in place if they made it into Downing Street in just two weeks time.
However, Mr Hunt, the underdog in the contest, admitted it had "teething problems" and said: "We need to deal with the five-week wait which has caused a lot of distress".
The Department for Work and Pensions insists that no Brit has to wait five weeks for their first payment as they can get an advance of up to 100 per cent as soon as they apply.
But The Sun has told how hundreds of Brits have been forced into debts over the wait for financial help, and struggle to then pay it back again.
Our Make Universal Credit Work campaign is urging the Government to slash the five-week wait, help Brits keep more of they money upfront, and give parents their childcare payments upfront to get more back into work.
The advance payments system lets them get a payment upfront but they get their other benefits package cut in future months.
Boris said of the six-in-one welfare system: "I would keep Universal Credit.
"Speaking as a constituency MP I do find people who have problems with it, but they are being addressed and I do think it's the right way forward and helps people into work."
And Mr Hunt said: "It's the right system. It's got teething problems - we need to deal with the five-week wait which has caused a lot of distress.
"But the principle is right and it's got a lot of people back into work."
His comments will come as a surprise to Mr Hunt's main Cabinet backer Amber Rudd, who is in charge of the DWP.
The Sun also revealed last week how taxpayers are being saddled with a £115million bill because of the five-week wait for cash.
MPs demanded that they look again at whether to cut it in order to stop extra benefits having to paid out to people in the meantime.
The Sun wants to Make Universal Credit Work
UNIVERSAL Credit replaces six benefits with a single monthly payment.
One million people are already receiving it and by the time the system is fully rolled out in 2023, nearly 7 million will be on it.
But there are big problems with the flagship new system - it takes 5 weeks to get the first payment and it could leave some families worse off by thousands of pounds a year.
And while working families can claim back up to 85 per cent of their childcare costs, they must find the money to pay for childcare upfront - we’ve heard of families waiting up to 6 months for the money.
Working parents across the country told us they’ve been unable to take on more hours - or have even turned down better paid jobs or more hours because of the amount they get their benefits cut.
It’s time to Make Universal Credit work. We want the government to:
- Get paid faster: The Government must slash the time Brits wait for their first Universal Credit payments from five to two weeks, helping stop 7 million from being pushed into debt.
- Keep more of what you earn: The work allowance should be increased and the taper rate should be slashed from from 63p to 50p, helping at least 4 million families.
- Don’t get punished for having a family: Parents should get the 85 per cent of the money they can claim for childcare upfront instead of being paid in arrears.
Together, these changes will help Make Universal Credit Work.
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In February, DWP Secretary Amber Rudd admitted that Universal Credit has pushed people to food banks since being rolled out in 2013.
In November last year, she hinted that the wait-time could be cut down but the policy hasn't yet changed.
What to do if you have problems claiming Universal Credit
IF you're experiencing trouble applying for your Universal Credit, or the payments just don't cover costs, here are your options:
Apply for an advance - Claimants are able to get some cash within five days rather than waiting weeks for their first payment. But it's a loan which means the repayments will be automatically deducted from your future Universal Credit pay out.
Alternative Payment Arrangements- If you're falling behind on rent, you or your landlord may be able to apply for an APA which will get your payment sent directly to your landlord. You might also be able to change your payments to get them more frequently, or you can split the payments if you're part of a couple.
Budgeting Advance - You may be able to get help from the government to help with emergency household costs of up to £348 if you're single, £464 if you're part of a couple or £812 if you have children. These are only in cases like your cooker breaking down or for help getting a job. You'll have to repay the advance through your regular Universal Credit payments. You'll still have to repay the loan, even if you stop claiming for Universal Credit.
Cut your Council Tax - You might be able to get a discount on your Council Tax or be entitled to Discretionary Housing Payments if your payments aren't enough to cover your rent.
Foodbanks - If you're really hard up and struggling to buy food and toiletries, you can find your local foodbank who will provide you with help for free. You can find your nearest one on the
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