A major new study into the impact of Universal Credit on social housing tenants has revealed the ‘detrimental impact’ it is having on lives and how it is driving people into debt and poverty.
The ‘Existing Not Living’ report was commissioned by Wheatley – Scotland’s leading housing, care and property management group – and is supported by the Scottish Federation of Housing Association (SFHA) and the Chartered Institute of Scotland (CIH).
The findings revealed 65% of claimants believe the social security payment did not give them enough money to cover their basic needs, while 62% believed it did not help them back into work – despite that being the primary goal. A total of 86% of the social housing tenants surveyed said Universal Credit had had an adverse impact on their mental health.
Worryingly, the report revealed Universal Credit was driving tenants into debt, deeper poverty, destitution and mental ill-health, with many feeling the system is unfair, punitive and lacks compassion.
One tenant commented: “There were points when the system just completely defeated me. It’s too hard and it’s too humiliating for people. You have to completely justify everything that you’ve done”, while another said: “Trying to live on £243 per month, that's horrible…It’s physically impossible to pay for all that.”
A Wheatley Group Spokesperson said: “We first raised our concerns about Universal Credit with the UK Government back in 2013 and warned them the impact it would have on the most vulnerable in our communities.
“A decade on, this report makes clear it has left thousands of vulnerable people and families not just worse off, but confused and distressed as they struggle to cope with the every-day demands of life.
“Supporting our tenants through these difficult times is a priority for us. Whether it is advice with accessing benefits, providing food vouchers or advice on how to keep their homes warm, we are doing all we can to support our tenants.
“We would encourage any customer who is struggling to get in touch with us straight away. We are here to help.”
The ‘Existing Not Living’ report, which was carried out by UNITY Consulting Scotland, calls on the UK Government to introduce a series of measures to offset the damage caused by Universal Credit. These recommendations include:
Carolyn Lochhead, Director of External Affairs, Scottish Federation of Housing Associations (SFHA), said: “Housing associations will always do all they can to support tenants who are struggling financially, but this research reiterates just how difficult that is when the UK social security system isn’t meeting people’s basic needs. Universal Credit should, at the very least, be enough for people to live on – not drive them deeper into poverty.
“By giving tenants a voice to speak on these important issues, this research underlines the need for urgent change.”
