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Reposted by Jagna Olejniczak

Craig Berry @craigpberry.bsky.social · 9d

📢 Benefit cuts don’t have widespread support

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Reposted by Jagna Olejniczak

Becca Stacey @beccastacey.bsky.social · 13d

The govt wants to get more disabled people into work, but isn't making full use of the tools at its disposal

In my new report for @citizensadvice.bsky.social I've looked at how our social security system could do more to make sure that when disabled people want to work, work really does pay /1

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Victoria Anns @victoria-anns.bsky.social · Sep 4

Cutting the UC health element is unlikely to incentivise disabled people to work.

But, there are other ways the government could improve work incentives within the benefits system and reduce barriers to work. My colleague @jagnaolejniczak.bsky.social has written a great report on that here:

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Victoria Anns @victoria-anns.bsky.social · Sep 2

The government argues that cutting UC health will incentivise people to work. But this unlikely...

♿ People on UC health have work-limiting conditions
🏢 There are limited accessible jobs
🎫 Being on UC health gives access to one of the most work-supporting benefits (the work allowance)

Two line charts showing net income, earnings from work and UC total for somebody age 25 or over working at the National Living Wage, with or without a UC health award.
The graphs show that a disabled person who is paid the National Living Wage and gets housing support on Universal Credit, could work for 4 hours per week without seeing their UC payments reduced. This means that if they work 16 hours per week, they’re £649.32 better off than somebody who doesn’t get UC health.

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Victoria Anns @victoria-anns.bsky.social · Sep 2

Cuts to disability benefits weren’t totally averted!

🚨New report out today explaining why the Universal Credit Bill will harm disabled people and exploring who will be impacted by the cuts.

www.citizensadvice.org.uk/policy/publi...

Not so Universal: the two-tiered health element. How the Universal Credit Bill will create a two-tiered system for disabled people.

Briefing by Victoria Anns on how the Universal Credit Bill will create a two-tiered system for disabled people.

www.citizensadvice.org.uk

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Reposted by Jagna Olejniczak

Craig Berry @craigpberry.bsky.social · Aug 12

ICYMI We published 2 excellent briefs on Universal Credit recently, feeding into the government's review of how well Universal Credit is (not) working 🧵

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Aug 7

A thorough analysis by @julia-rt.bsky.social and @drsarahhadfield.bsky.social of how Universal Credit reacts to fluctuating incomes and pay cycles that do not align with UC assessment periods.

www.citizensadvice.org.uk/policy/publi...

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Dr Hayley Bennett @haylesben.bsky.social · Aug 4

www.citizensadvice.org.uk/policy/publi...

Work incentives aren't working: is the Universal Credit review asking the right questions?

www.citizensadvice.org.uk

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Annie Irvine @annieirvine.bsky.social · Aug 1

Crucial message from Citizen's Advice: "When both working full-time and claiming maximum benefit entitlement leaves one in a low-income limbo, focusing on making the former slightly more financially beneficial than the latter is only ever going to have a limited impact on outcomes..." (1/2)

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Kate Harrison @kslharrison.bsky.social · Jul 30

Great report from Jagna showing that UC incentives to work are often misguided and overly complex. Instead what we need is more investment in supporting people to find and stay in suitable work 👇

Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The narrative around Universal Credit has long centred around work incentives.

This new briefing examines how effective UC is at encouraging employment – and how that focus may have overshadowed the deeper complexities of getting into work. 🧵

🔗 www.citizensadvice.org.uk/policy/publi...

Work incentives aren't working: is the Universal Credit review asking the right questions?

www.citizensadvice.org.uk

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Reposted by Jagna Olejniczak

Craig Berry @craigpberry.bsky.social · Jul 30

Excellent briefing and thread from @jagnaolejniczak.bsky.social 👇

We looked into how our clients really experience the transition to work from the Universal Credit system, suggesting work incentives are helpful but not adequate, and wider barriers to employment are being overlooked

Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The narrative around Universal Credit has long centred around work incentives.

This new briefing examines how effective UC is at encouraging employment – and how that focus may have overshadowed the deeper complexities of getting into work. 🧵

🔗 www.citizensadvice.org.uk/policy/publi...

Work incentives aren't working: is the Universal Credit review asking the right questions?

www.citizensadvice.org.uk

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The full briefing can be found on @citizensadvice.bsky.social website under those links:

▶️ Summary: www.citizensadvice.org.uk/policy/publi...

▶️ PDF version: assets.ctfassets.net/mfz4nbgura3g...

assets.ctfassets.net

Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The UC review needs to focus on empowering claimants, not only by improving incentives to work (such as work allowance and the taper rate), but by reducing systemic barriers to work, providing specialist support based on mutual respect, and offering a genuine safety net.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

While making work pay is vital, the language of 'incentives' can oversimplify the realities of entering the labour market. It assumes people choose not to work - but for many UC claimants, stable employment with opportunities to progress has been out of reach for months or even years.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

5. Living on empty is not a good starting point when looking for work: it shifts the focus from securing a job to everyday subsistence.There are also many costs associated with working, especially childcare and travel, which could be key factors preventing people from working.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

4. In general, experiences of poor UC administration can make people skeptical about entering employment. People fear that if they try work, they will not be able to return to benefits and can accumulate debts. Some are worried that if a job does not work out, they would be sanctioned for leaving.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

UC payment fluctuations are often unexpected. They can be stressful, make budgeting difficult, and can push claimants into debt. When this happens repeatedly, it can affect people’s ability - and willingness - to stay in work at all.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

3. Pay cycles do not always align with UC assessment periods. This can skew UC payments, because the system ‘thinks’ claimants earned significantly more or less than usual, even though their actual earnings stay the same. This often results in a reduced UC award.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

▶️ WA is limited to those receiving health/child element of UC. Although these groups do face complex barriers to work, other claimants could hugely benefit from WA (they already receive less UC).

▶️ Second earners in couples are excluded from WA, which means their work is effectively valued less.

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

2. Some claimants are eligible for work allowance (WA), which means their UC does not taper off straight away after receiving earnings. This is an important measure, with a potential to relieve the pressure of the additional costs of employment. However, the eligibility for it is too narrow. ⬇️

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The second graph shows the actual value of each pound claimed for the same client, depending on hours worked weekly, with and without travel costs. These are compared to the intended 'value' of £1, i.e. the taper rate (45p).

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

This is on top of other costs, such as travel to work or childcare. The graph below shows the additional in-work deductions for one of Citizens Advice clients. In this case, full-time employment would mean that they could only keep 30p from every £1 earned (due triggering CT and other taxes).

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

1. The taper rate means that for every pound earned, UC is reduced by 55p. This allows claimants to keep some of their entitlement. But, the actual reduction is often higher than 55p as earnings can trigger NI and income tax liability, as well as termination of Council Tax Support (CTS).

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The elements of UC designed to encourage work range from ensuring people are financially better off (e.g., taper rate and the work allowance) to penalising people for failing to take active steps towards work (conditionality and sanctions). Those, however, not always work as intended⬇️

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Jagna Olejniczak @jagnaolejniczak.bsky.social · Jul 30

The narrative around Universal Credit has long centred around work incentives.

This new briefing examines how effective UC is at encouraging employment – and how that focus may have overshadowed the deeper complexities of getting into work. 🧵

🔗 www.citizensadvice.org.uk/policy/publi...

Work incentives aren't working: is the Universal Credit review asking the right questions?

www.citizensadvice.org.uk

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