Hard times for equality

Hard times for equality
EDF Research Network seminar series
Note of seminar 2: Welfare reform – issues and impacts, Tuesday 12 February 2013,
King’s College London
1. Welcome and introductions
Fiona Glen, Director of Research and Information, Equality and Human Rights
Commission.
2. Professor John Hills, Centre for Analysis of Social Exclusion, LSE
‘The distribution of economic outcomes in the UK and the context for welfare reform
changes’
John gave an overview of the research currently being carried out by the Centre for
Analysis of Social Exclusion, under the programme ‘Social Policy in a Cold Climate’. This
project follows on from work completed as part of the National Equality Panel (NEP) which
examined the relationships between economic outcomes (e.g. education, employment,
hourly wages) and people’s characteristics and circumstances. All data is available here
and continues to be a useful resource.
The aim of this new research is to update the findings from the NEP report by giving an
overall assessment of equality during the Labour administration and looking at changes
over the first two years of the recession. John presented some early, approximate findings
of the new research, covering areas such as employment and hourly wage differences
between age groups, gender and ethnicity.
The EDF Research Network will circulate details when the findings are released this
summer.
3. Fran Bennett, Senior Research Fellow, University of Oxford and the Women’s
Budget Group (speaking in a personal capacity) and Professor Susan
Himmelweit, Open University and the Women’s Budget Group
‘Universal Credit: The Gender Impact’
Fran and Susan argued that contrary to the government’s stance, the Universal Credit
(UC) policy is not gender neutral. The government says that ‘where men and women are in
EDF Research Network c/o Equality and Diversity Forum, Tavis House, 1-6 Tavistock Square, London WC1H 9NA,
Tel + 44 (0) 20 303 31454, email [email protected], website www.edfresearch.org.uk/
the same circumstances they are treated equally under Universal Credit’ (UC IA para.80).
However, the Women’s Budget Group argues that:
- Most second earners are in practice women and UC will not operate in any way to
challenge this and will severely disincentivise some from entering employment and
thus potentially make their access to joint UC income more difficult.
- It is unfair to impose conditionality on many women (as potential second earners)
but give them no earnings disregard.
- Difficulties for women, as managers of household budget and shock absorbers of
poverty, will be likely to be worsened due to monthly payments.
- Within household inequalities may be reinforced or exacerbated by paying UC into
a single account for couples.
Click here to be redirected to the Women’s Budget Group website. Submissions and
evidence on Universal Credit can be found in the briefings section of the site.
4. Stephen Glover, Universal Credit Policy Division, Department for Work and
Pensions (DWP)
Stephen explained that the coalition government has a bold vision and that his job is to
examine new policies and present ministers with both sides of the argument, to make them
aware of the implications and help them to (hopefully) make an informed decision.
In developing the UC policy, the DWP has carried out a lot of engagement with
stakeholders (academics, LA, charities, pressure groups) and has established a working
group. Stephen told us he is very keen to learn from those who understand the reality on
the ground. For example, Jigsaw did a lot of work with likely claimants of UC to try to
understand the impacts as individuals and groups.
Ministers have a firm view about how they want UC to be delivered. However, Stephen
believes it is important to draw on as much relevant evidence as possible in designing this
delivery.
5. Mike Daly, Analysis Directorate, DWP
Mike assured delegates that UC will be a major part of their work in the next few years.
He encouraged the audience to look at the DWP’s recently published Evaluation
Framework for UC (available here). The DWP are serious in their request for comments
and constructive feedback, and are committed to learning from the practical implications of
UC. The framework is the first step in the development of the full evaluation programme of
UC. It sets out the Department’s broad intentions for the evaluation, highlights the key
aims and objectives and considers possible analytical approaches to areas including the
development of a theory of change, impact measurement and the use of existing data
sources and evidence bases to add up to a long-term, comprehensive narrative for UC.
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6. Deiedre McGrath, Head of Civic Engagement, London Voluntary Service Council
(LVSC)
Unfortunately, Deiedre was unable to join us for this seminar. Instead Dr Moira Dustin
(Coordinator of the EDF Research Network) explained that although this seminar has
focussed mainly on facts and figures, the LVSC is working on more qualitative research on
the impact of welfare reforms. Click here to be redirected to their website. Moira reiterated
that the purpose of this event was to bring together researchers with policy people and
NGOs, so she was very pleased that representatives of the DWP could be there.
Moira drew the audience’s attention to the Research Network’s new ‘Hard Times for
Equality’ Information Hub (currently in development) on the website (click here). It lists lots
of relevant information, including publications, websites and blogs, on the equality impacts
of austerity and recent government policy. Moira asked the audience to email the
Research Network any items for publication in the Information Hub.
7. Plenary Discussion
This discussion focussed primarily on the implementation of Universal Credit. As the
majority of questions were directed to the DWP speakers, unless otherwise stated, it
should be assumed that the responses are those of Mike and Stephen.

What will be the impacts on disabled people? Particularly, how will they be
supported in the claims process?
The DWP have just published a claims framework. Accessibility for disabled people is
priority for us, e.g. we will be keeping telephone channel and face to face support for those
claimants unable to use online claiming.

Concern that payment will not be split 50:50 between partners. It could leave some
families vulnerable. Will this be the Council’s responsibility? Is there scope during
policy development to change this?
Both partners have joint responsibility. There will be the ability to look at payment
exceptions. Payment of the element for housing costs will be to claimants, not landlords.
Research is currently looking into the implications of this in the demonstration projects
organised by the government.
The Government wants to support committed couple relationships and thinks it is up to the
household to manage their own money. Split payment exceptions could also lead to
greater intervention by authorities – ‘a social response’ e.g. the police, social services,
marriage counselling. The hope is that there will be more linkages between different
services because couples are asking for an exception to be made.
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An audience member pointed out that the DWP is considering concessions for Northern
Ireland, re: timetable for payment, splitting of payments, etc. It has already made a
concession in that the element for housing costs will be paid to the landlord rather than the
claimant in social housing, unlike the rest of the UK.

The change from weekly to monthly payments may be difficult for those not used to
managing their money on a monthly basis. Consequently, will any adjustments be
made for certain groups, e.g. disabled people?
UC will be implemented gradually. As the policy is rolled out we will have data on how
people are coping and will learn from our experience. We will also explore the possibility of
providing training on budgeting.
Recipients have access to an advance payment to tide them over when moving from their
old benefit system to UC. The government feels monthly payment will encourage better
personal financial management. According to the Women’s Budget Group, this is not
necessarily the case.

Support for unrecognised refugees? What data sharing, if any, have you explored
with the UKBA? Would they be able to access interim support payments?
For all UC claimants, if we think they will be entitled at the end of the month we can pay
them up to 50% in advance. A new fund will be available for local authorities, instead of
crisis loans, to support people, including potentially this group, in times of need. Each LA
can use the money as they wish, and are therefore able to support particular groups most
in need in their areas.
An audience member pointed out that UC has the potential to improve the situation for
new refugees.

There is not enough information available about UC
In the areas in which UC is being introduced, a lot of awareness-raising has taken place. It
is vital that people understand how, when and where to make their claim.
The Equality and Diversity Forum Research Network thanks King’s College London for
providing the venue and catering for the seminar. We also thank the Joseph Rowntree
Foundation for supporting the Network.
Freya Lyte, EDF Research Network, March 2013
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