According to a new DWP report, Universal Credit claimants who are part of the Department for Work and Pensions' Intensive Work Search scheme can increase their earnings by almost £100 more over a year than those who do not.
DWP Report Reveals Universal Credit Claimants Can Boost Earnings by Nearly £100
Benefit claimants with single contracts whose earnings fall below the administrative threshold are enrolled in the Intensive Work Search regime. They must engage in additional job search activities compared to those whose incomes exceed the threshold. These higher earners are placed in the Light Touch regime, which does not require them to meet specific work search obligations.
Claimants under the Intensive Work Search scheme, notably those who have presented evidence of a health condition that does not impair their capacity to work, are typically compelled to attend mandatory face-to-face work search reviews. These reviews occur weekly for the first 13 weeks, unless an exception is made, reports Birmingham Live.
The Effectiveness of Intensive Work Search in Boosting Earnings
DWP's findings reveal crucial differences between the Intensive Work Search and Light Touch regimes. Its report included: “The headline results show that claimants who began Universal Credit just below the threshold in the Intensive Work Search regime experienced higher earnings progression in the months afterwards, compared to those who joined just above in the Light Touch regime.
“After 12 months, the former group experienced approximately £100 higher earnings progression per month compared to the latter group, on average.” It also added: “Those who are below the AET are almost all in the Intensive Work Search regime,while those above are almost all in the Light Touch regime.
“Therefore, these results suggest that the Intensive regime can have positive impacts on the earnings progression of claimants who are in employment, but with low earnings. Although the effects take some time to emerge, they don’t appear to fall to zero in the timeframe observed.”
Applicants' commitments are adapted to their individual circumstances, taking into consideration care responsibilities and health issues, according to earlier explanations the DWP provided to claimants and benefit recipients.