Universal Credit Policy Analysis

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Universal Credit (UC) was one of the biggest welfare reform policies since the Beveridge reforms of the 1940s (Royson, 2012) and it promised to revolutionise and simplify the welfare system as we know it.
This paper will examine the policy making process of the UC and will apply theoretical perspectives in order to further explain the policy making process by providing a well-informed discussion of the UC in relation to research. Towards the end, the paper will try to isolate the causes of success or failure for this particular policy.
UC has caused a mass of controversy over the past 18 months having had implementation and considerable delays that have resulted in difficulties to fully extend the policy by 2017 (Roantree and Shaw, 2014).
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As a reiteration, the primarily design of the UC was to simplify the current benefits system and ease the transition into work. However, findings suggest that the entitlement of the UC is as complicated as the current system in place (IRVV, 2013). Similar concerns have been raised by the Institute of Chartered Accountants in England and Wales (2012) who believe the calculations of earnings both generally and particularly for self-employed are far too complex and could raise uncertainty over what income will be earned upon entering work. Based on the aforementioned findings, it could be argued that administrative complications are an implementation issue and it affects both the efficient delivery of services and the beneficiary’s …show more content…
There is a growing concern that although the monthly direct payments are going to facilitate the finance management of a household; those from low income households might see the new cash influx disruptive as their previous budget preferences might have been weekly or fortnightly (Hartfree, 2014). In addition, some households might experience having to pay their rent for the first time and struggle with it creating consequences such as rent arrears, etc. (Keohane and Shorthouse, 2012). The implications of the Universal Credit policy according to a JRF report (Power et al., 2014) are also in regards to the relationship between tenants and social landlords. The impact of the policy pertains to ways in which housing associations have addressed the challenge of managing the risks of direct

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