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Will we see real reform?. Tom MacInnes , New Policy Institute. Did the changes have to happen? . Previous system far from perfect Very complex -would not be anyone’s design Very high “tax” rates for some Universal credit aimed to deal with these flaws Introduces its own complexity

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Will we see real reform

Will we see real reform?

Tom MacInnes, New Policy Institute


Did the changes have to happen
Did the changes have to happen?

  • Previous system far from perfect

  • Very complex -would not be anyone’s design

  • Very high “tax” rates for some

  • Universal credit aimed to deal with these flaws

  • Introduces its own complexity

  • Not clear what problems other changes are solving


Will changes make work pay
Will changes “make work pay”?

  • The point of UC is to do so

  • £ for £ addresses some of these problems

  • Mainly for workless families to move into work

  • Less so for single earners becoming two earners


Who has been most affected
Who has been most affected?

  • Disabled people, by both disability related cuts and cuts in general

  • Last year, 300,000 families were affected by three cuts

  • 1.5m people were affected by two cuts, around 900,000 by one cut

  • These changes have happened before UC has even started


Will uc really happen
Will UC really happen?

  • Some of it is already happening - “culture change” around conditions, sanctions

  • Change in payment of HB could happened regardless

  • Entirely new system needs designing, will be very expensive

  • This is a loss and a shame – a good opportunity wasted

  • Could see local variants, along the lines of CTS in England, shift risks to local level

  • Scotland and Wales may be different, depends on decisions of government


Will the changes be a success
Will the changes be a success?

  • Very much depends on your definition

  • So far we have not seen any reform – only cuts

  • But the losses are huge – holes in the safety net, arbitrary local differences, a sanctions system in disrepute


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