The new DWP trial will take place in the West Midlands
Young people who are stuck on Universal Credit and forced to choose between losing their jobs and losing their homes, could soon benefit from a 'new and simpler' system - if a Department for Work and Pensions trial succeeds.
The £4.5m pilot scheme, which is being trialed in the West Midlands, would have young people who live in supported accommodation paying all of their upfront rent and service charges out of their employment income - which the government would then simply top back up with a cash grant.The aim of the trial is to find out if making the benefits system simpler for young people encourages them to continue working and feel a greater benefit from their income.
“It’s heartbreaking that nearly 24,000 young people across our region are either not earning their own money or even on the way to doing so. Evidence shows this can have a life-long scarring effect so we must continue to take urgent action to tackle it. “By incentivising work in this way and combined with everything we are doing to ensure local people have the right skills, we can better tackle youth unemployment and improve the lives of young people right now and in the months and years ahead.”
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