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Former Conservative welfare minister urges caution over universal credit Former Conservative welfare minister urges caution over universal credit
(6 months later)
The government should approach the biggest welfare changes in modern history with "trepidation", a former Conservative welfare minister has warned.The government should approach the biggest welfare changes in modern history with "trepidation", a former Conservative welfare minister has warned.
Peter Lilley, who was social security secretary under John Major, said it was wise to pilot universal credit (UC), which will overhaul the delivery of an array of benefits. His comments came after the Department for Work and Pensions (DWP) announced on Thursday that one jobcentre, instead of the intended four, will test the system at the end of April.Peter Lilley, who was social security secretary under John Major, said it was wise to pilot universal credit (UC), which will overhaul the delivery of an array of benefits. His comments came after the Department for Work and Pensions (DWP) announced on Thursday that one jobcentre, instead of the intended four, will test the system at the end of April.
The massive proje c t, which aims to synchronise earnings and tax credit data with welfare payments in order to fine-tune benefit levels with people's employment circumstances, has already faced allegations that it is in disarray.The massive proje c t, which aims to synchronise earnings and tax credit data with welfare payments in order to fine-tune benefit levels with people's employment circumstances, has already faced allegations that it is in disarray.
At the start of March, Liam Byrne, the shadow work and pensions secretary, said the project was in meltdown and had descended into "universal chaos", putting the incomes of millions of people at risk.At the start of March, Liam Byrne, the shadow work and pensions secretary, said the project was in meltdown and had descended into "universal chaos", putting the incomes of millions of people at risk.
The attack followed the appointment of Whitehall troubleshooter David Pitchford to head the project and reports that UC had been placed on a Treasury watchlist of projects in crisis.The attack followed the appointment of Whitehall troubleshooter David Pitchford to head the project and reports that UC had been placed on a Treasury watchlist of projects in crisis.
On Thursday the DWP announced that of the four pilot areas, Ashton-under-Lyne in Greater Manchester, would now be the only one to begin handing out six key benefits and tax credits as one combined universal credit payment next month.On Thursday the DWP announced that of the four pilot areas, Ashton-under-Lyne in Greater Manchester, would now be the only one to begin handing out six key benefits and tax credits as one combined universal credit payment next month.
The other three - in Warrington, Oldham and Wigan - would now pilot the new system from July. A national rollout is expected in October.The other three - in Warrington, Oldham and Wigan - would now pilot the new system from July. A national rollout is expected in October.
Speaking on the Today programme yesterday, Lilley said: "I think Iain Duncan Smith [the work and pensions secretary] was very wise to pilot this first. The point of pilots is to find mistakes and problems and issues and deal with them. If he wasn't doing so, we ought to be worried. His job is to get this right. One has to approach any of these major things with some trepidation because the track record of government is not very good in these areas."Speaking on the Today programme yesterday, Lilley said: "I think Iain Duncan Smith [the work and pensions secretary] was very wise to pilot this first. The point of pilots is to find mistakes and problems and issues and deal with them. If he wasn't doing so, we ought to be worried. His job is to get this right. One has to approach any of these major things with some trepidation because the track record of government is not very good in these areas."
The DWP denied that the pilot scheme had been delayed and said its plan was consistent with announced timetables. A DWP spokesman said: "There is no delay. Our plan has always been to test universal credit in a safe and controlled way ... to ensure we get it right for the start of the national rollout in October."The DWP denied that the pilot scheme had been delayed and said its plan was consistent with announced timetables. A DWP spokesman said: "There is no delay. Our plan has always been to test universal credit in a safe and controlled way ... to ensure we get it right for the start of the national rollout in October."
In a press statement, the DWP added: "This controlled approach will mean that jobcentres intensively test the new system as it rolls out, ensuring that claimants are protected throughout."In a press statement, the DWP added: "This controlled approach will mean that jobcentres intensively test the new system as it rolls out, ensuring that claimants are protected throughout."
In a move that might cause tension in the coalition, Duncan Smith said that the government is no longer looking to cut Britain's benefit bill and is simply managing the increase.In a move that might cause tension in the coalition, Duncan Smith said that the government is no longer looking to cut Britain's benefit bill and is simply managing the increase.
Giving a speech in Scotland, he said: "If you listen to what I am saying, you will understand the reality is that this country is not cutting welfare. It is managing the growth at a lower level.Giving a speech in Scotland, he said: "If you listen to what I am saying, you will understand the reality is that this country is not cutting welfare. It is managing the growth at a lower level.
"Across the UK - contrary to headlines - all those on benefits will still see cash increases in every year of this parliament.""Across the UK - contrary to headlines - all those on benefits will still see cash increases in every year of this parliament."
The admission may not go down well with other ministers, who have argued vigorously that welfare costs should be reduced before cuts are made in other departments, including the armed forces and the police.The admission may not go down well with other ministers, who have argued vigorously that welfare costs should be reduced before cuts are made in other departments, including the armed forces and the police.
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