The Department for Work and Pensions (DWP) has confirmed a set of new guidelines that will impact those claiming Universal Credit. The guidelines establish when a claimant’s payments can be sanctioned, meaning reduced, if they fail to meet agreed work-related requirements.
Universal Credit, a key part of the UK’s social security system, is designed to help individuals seeking work or those transitioning from six legacy benefits. The new rules provide further clarity on the circumstances under which a claimant could face sanctions, as the DWP seeks to ensure claimants are meeting their work-related obligations.
A Tougher Approach to Work-Related Requirements
According to the DWP, claimants must adhere to a “claimant commitment” that outlines their work-related activities. These can include attending appointments with a work coach, updating a CV, and searching for suitable job vacancies. If a claimant fails to complete any of these activities without a good reason, their Universal Credit payments may be reduced.
The sanctions system has been in place for some time, but the new guidelines make it clear when the DWP will take action. A failure to meet one’s commitment—whether due to missed appointments, not applying for enough jobs, or neglecting to take part in training—will now result in a reduction in benefits. The DWP stressed that claimants must understand these requirements fully, as the consequences can be severe.
Financial Impact of Sanctions on Claimants
Sanctions can be financially devastating for claimants, especially those who rely on Universal Credit as their primary source of income. The guidelines specify how much a claimant’s payments will be reduced, depending on their age and relationship status.
For example, a single person under 25 can see a reduction of £10.20 per day, while a single claimant over 25 could lose £12.90 daily. Joint claimants, depending on their age, will also face reductions ranging from £8.00 to £10.10 per day per person.
In cases where a claimant feels they cannot fulfil their obligations, such as due to illness or a conflicting appointment, they are encouraged to inform the DWP immediately. If the department finds a good reason for the failure to meet requirements, the sanction will not be imposed. However, failure to provide a valid reason could result in a sustained reduction in Universal Credit payments.
The DWP has reiterated that claimants must ensure they understand all the obligations tied to their Universal Credit payments and the potential consequences of non-compliance.
