Fourth Report - The Benefits System in Wales
Select Committee
Welsh Affairs Committee
HC 337
17 March 2022
Recommendations
2 results
4
Not Addressed
Para 76
The DWP should run a consultation with welfare rights advisors on Universal Credit’s explicit consent...
Recommendation
The DWP should run a consultation with welfare rights advisors on Universal Credit’s explicit consent model and examine whether any changes are necessary.
Government Response Summary
The government rejects the recommendation for a temporary increase to Universal Credit arguing that the £20 uplift was a temporary measure and has been replaced with over £15bn in support towards cost-of-living pressures and schemes to help people find employment.
Wales Office
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24
Para 132
While we note the positive comments regarding the Welsh Government’s response to the pandemic via...
Recommendation
While we note the positive comments regarding the Welsh Government’s response to the pandemic via the Discretionary Assistance Fund, we also heard concerns about the application process for various Welsh Government and local authority grants and allowances. We welcome the …
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Wales Office
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Conclusions (8) Observations and findings — click to expand
1
Conclusion
Not Addressed
The demographic, economic and geographic challenges we have highlighted set the context for the benefits system in Wales. While it is a reserved competence, that does not mean the environment in which it operates is identical to that elsewhere in Great Britain. While the evidence shows that the key challenges …
Government Response Summary
The government response focuses on improving access to Universal Credit and data protection, without addressing the demographic, economic, and geographic challenges in Wales or acknowledging the need for welfare policy to be conscious of the Welsh context.
10
Conclusion
Para 86
It is clear that current benefit levels are inadequate. In the short term, the £20 uplift should be reintroduced at the Budget in March 2022 and extended to legacy benefits.
15
Conclusion
Not Addressed
We welcome the extent of support that the UK Government provided during the pandemic, but we note that not all self-employed people were eligible. We welcome 44 The Benefits System in Wales the UK Government’s acknowledgement that it has “learned more” about the issues with capital limits and we would …
Government Response Summary
The Department for Work and Pensions has advised the Welsh Government how Universal Credit would be affected by payments under the proposed basic income pilot and HMRC has similarly advised about the treatment of taxation, not providing more details about the lessons it has learned regarding capital limits and self-employed people.
17
Conclusion
Para 117
We welcome the establishment of an Interministerial Group on Welfare, as part of the recently published Review of Intergovernmental Relations. However, while this will provide an important forum for bringing together the four UK governments to discuss welfare and social security issues, we believe this should be underpinned by a …
28
Conclusion
Para 151
Care-leavers are a vulnerable group and there is a strong case for arguing that they should have enhanced support. While the Welsh Government supports a basic income pilot for this group, we note that the UK government opposes universal basic income.
29
Conclusion
We have received a range of concerns regarding the limitations of the pilot and there are also considerable issues concerning how the pilot will affect the benefits of the participants. It is crucial that those considering participating are aware of how it will affect the benefits they receive and the …
30
Conclusion
Para 153
In the interests of the young people considering taking part in the Welsh Government’s Basic Income pilot, the DWP and the Welsh Government should work together to conduct an impact assessment on the benefits received and the amount of taxes paid by the average potential participant.
31
Conclusion
Not Addressed
Para 160
The evidence collected during the inquiry showed that attitudes to the idea of devolving welfare vary significantly. Some were concerned about the financial implications and many felt that they did not have enough information. However, during the course of the inquiry many experts noted the potential merits of being able …
Government Response Summary
The government restates its position that it has no intention to devolve social security to the Welsh Government and notes the advantages of the current system without addressing the conclusion about varying attitudes.