Nobody knows exactly how much it will cost to introduce
the Universal Credit, but figures like £2 billion have been circulated.
Again, nobody is quite sure if this is the cost of introducing new procedures
and systems, or the extra amount the new benefit itself will cost, in order to
“make work pay.” Either way, the cost of introducing the new
benefit is likely to be colossal. So....

....is there a cheaper way to
introduce the Universal Credit?

We think there is......

....if Universal Credit could be given
to local authorities to run.

Local authorities could simply add the “applicable
amount” on to the rent in the Housing Benefit calculation. And there you
have it, job done: a Universal Credit at almost zero cost.

It would use existing IT systems and regulations.

But it wouldn’t be exactly what the Government
wants.....

....on the other hand, it might deliver on most of the
objectives...

For a more detailed
discussion of this idea, please click here.