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Sun, 5 April 2020

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IPSE welcomes proposal to tackle UC late payment problems

IPSE

1 min read Member content

The bungled roll-out of Universal Credit has caused dire problems for thousands of people across the UK, says IPSE.


IPSE (the Association of Independent Professionals and the Self-Employed) have welcomed the calls for a 25 per cent Universal Credit bonus to help with the switch-over to the scheme. However, it warns there are still underlying issues with Universal Credit that must be addressed: particularly how the system treats the self-employed.

IPSE’s Deputy Director of Policy Andy Chamberlain said: “The bungled roll-out of Universal Credit has caused dire problems for thousands of people across the UK – including many of the self-employed. This is a very welcome proposal to tackle those problems.

“There are still, however, structural flaws in Universal Credit that must be addressed. As it stands, the system unfairly punishes the self-employed by failing to account for their fluctuating incomes.

“Under the current system, a self-employed person can end up £3,000 worse-off than an employee on a similar income. That could be a disastrous financial loss for many people, and Universal Credit should not be rolled out any further until this serous flaw is fixed.”

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