At the latest Independent R&B Monday Discussion Group, chaired by Malcolm Gardner, members took a deep dive into the stubborn issue of unclaimed benefits, the challenges of Universal Credit, and the shifting dynamics of the local government workforce.
Billions Unclaimed
Malcolm opened with the headline finding from Policy in Practice: £24 billion in benefits goes unclaimed each year, affecting 7 million households.
Robert Fox reflected on past schemes, suggesting complexity was sometimes intentional: “It always felt as if extended payments were designed so as few people as possible could actually qualify.”
Rachael Walker, who authored last year’s report, argued stigma and fear are now the strongest barriers: “People assume Universal Credit is only for the work-shy, forgetting it’s an in-work benefit. The DWP talks more about fraud than access, leaving people scared to claim.”
Laura Bessell, drawing on her experience as a fraud officer, countered: “We are seeing huge overpayments from claims made during COVID when evidence wasn’t checked. Claimants need to do their part – supply evidence – if they want support.”
Kirsty Brooksmith shared a personal example: her parents refused pension credit until North Yorkshire Council staff intervened. Their income rose by almost £1,000 a month as a result, demonstrating the power of face-to-face engagement.
Others echoed the theme. Naomi Armstrong said tenancy officers were invaluable for council tenants, but owner-occupiers remained hard to reach. Tom Clark highlighted Liverpool’s £3m community support team, though he questioned how sustainable such generosity is. Julie Smethurs warned local authorities are increasingly expected to fill national gaps without the funding to do so.
Christina Ward pointed to hospitals and health hubs as among the most effective places for benefit take-up. Sean O’Sullivan reminded colleagues that the old financial incentives for councils to encourage claims have been removed, making it harder to prioritise.
Bob Wagstaff struck a sceptical note: “We’ve been discussing underclaiming for 30 years and never solved it. Frankly, government has little incentive to close the gap – £24 billion unclaimed is £24 billion they don’t need to raise in taxes.”
Laura agreed, noting that government strategies, such as universal winter fuel payments taxed back, show a preference for simplicity over targeted benefit delivery.
Universal Credit and Low Pay
Attention then turned to the Work and Pensions Committee’s report on Universal Credit. Malcolm noted its criticism of complexity and disincentives to claim, despite UC’s supposed aim of simplification.
Bob recalled how Osborne’s cuts made UC less generous, effectively pushing the costs of low pay onto the state. Kirsty agreed: “We are fundamentally based on an economy where we just don’t pay people enough.”
Robert described Swindon’s logistics hub, where automation has replaced many manual jobs, leaving sections of the workforce stranded. Laura reported more employers using zero-hours contracts or classifying staff as self-employed to dodge National Insurance costs. Naomi said Cambridge struggles with “employment convection” – residents stuck at the bottom while high-paid roles go to outsiders.
Tom highlighted regional divides: “Liverpool is marked by deprivation and low wages. Enforcement of business rates can backfire – one company lost its printers to bailiffs and laid off ten staff overnight.”
Skills and Apprenticeships
The discussion closed with a look at the public sector workforce. An IFS report showed entry into public service is now dominated by graduates, with fewer opportunities for school leavers.
Julie said Tameside is relaunching apprenticeships to fill skills gaps. Bob suggested this is the inevitable result of mass higher education: “We’re hiring the same people we used to, just three years later with a degree.”
Robert argued councils must support both graduate routes and practical apprenticeships, citing local schemes that teach school-leavers basic trade skills.
Laura was more cautious: “In revenues and benefits, apprenticeships often don’t work. We need staff who can hit the ground running, and too often we don’t have the capacity to train properly.” She warned of a looming “single point of failure” as experienced staff retire and their knowledge is lost.
Malcolm concluded that while technology and automation will reshape services, face-to-face contact and human expertise remain irreplaceable – especially in benefits administration.
Closing Thoughts
As the meeting wrapped up, Kirsty described “tough love” in her new HSF7 scheme, where applicants must complete the Inbest calculator before receiving household support payments. While she acknowledged it was “mean”, she saw it as the only way to drive up take-up.
The session ended, fittingly, with humour. Malcolm announced he was off to the cinema’s pensioner matinee – “with free coffee and cake” – while colleagues teased him about saving on heating by using the cinema’s warmth.
The Independent Revenues & Benefits Discussion Group continues to provide a vital forum for expert analysis, shared learning, and open debate at a time of significant policy flux.
For more information or to join future sessions, contact Malcolm Gardner at Visionary Network. info@visionarynetwork.co.uk