Select committee: Work and Pensions Committee
Conclusion 4
Second Report - The Cost of Living
Published 27 Jul 2022
Paragraph 23
Addressed to Department for Work and Pensions
Work and Pensions Committee The cost of living All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
The systems that legacy benefits run on are not fit for purpose. It is disappointing that the Department has not adapted its IT systems to allow for flexibility in uprating these benefits to respond to national events. The Department has scheduled and then delayed the migration of claimants from legacy benefits onto Universal Credit several times and the current date to complete this process for many is the end of 2024, leaving legacy benefits still in use for a considerable period. The Department must be able to uprate legacy benefits swiftly in times of high inflation. The Department should also publish (or at least provide to the Committee) for each benefit the details of the process, complexities and time required for the uprating exercise. We repeat our recommendation that the DWP work to increase the speed with which changes can be made to legacy benefit and state pension rates.
From: Work and Pensions Committee, Second Report - The Cost of Living (HC 129), paragraph 23, 27 July 2022
Government response
The government responded to the whole report on 8 September 2022 (deadline 27 September 2022).
Summary written by Accountability Index from the government's response. It is not the government's own words.The Department for Work and Pensions (DWP) sets out its position on the Committee's recommendations on the cost of living, declining several (including a review of benefit adequacy and a written Pension Credit strategy) while describing existing communications work and support measures.
- On benefit uprating, DWP says it "will not be making any IT changes" to legacy benefits as they close, and that there are "no plans to change the up-rating period", because a consistent period means peaks and troughs "even out over time".
- The Government says it does not intend to conduct a specific review of benefit adequacy; in the autumn the Secretary of State will undertake her statutory annual up-rating review and may increase benefits "if she considers it appropriate".
- On the benefit cap, the Government says the cost-of-living payment is exempt from it, and that the Secretary of State "is reviewing further advice on this". It gives no date.
- On Pension Credit, DWP "does not consider that a written strategy or targets for take-up" are required, citing existing work with organisations; it is "looking at processes" that might be simplified but says automatic awards are not possible.