THE NEW welfare system Universal Credit is now available from Job Centres in Stroud.

Universal Credit is a new type of benefit designed by The Department for Work and Pensions to support people who are on a low income or out of work.

On Tuesday, June 2 Stroud became one of the 15 new areas around the UK where the service is now available, including Cheltenham and Tewkesbury.

Universal Credit will replace six existing benefits and is currently being rolled out across the UK. The new system is based on a single monthly payment, transferred directly into a bank account.

This is supposed to reduce the amount of fraud and error that hits the benefits system amounting to billions of pounds a year.

The existing benefits it will replace are Jobseeker’s Allowance, Income Support, Employment and Support Allowance, Working Tax Credit, Child Tax Credits and Housing Benefit.

Minister for Welfare Reform, Lord Freud, said: “It is good news that Universal Credit is coming to Stroud, Cheltenham and Tewkesbury.

“We know that Universal Credit claimants are moving into work faster and staying in work longer.”

“Universal Credit allows greater flexibility for workers and employers and gives claimants financial security by making sure work always pays more – more hours means more money in your pocket.”

He said that the latest research into the impact of Universal Credit demonstrates that the new system is getting people back to work faster and helps them to earn more.

The government estimates 3.1 million households will be entitled to more benefits as a result of universal credit, while 2.8 million households will be entitled to less.

In general Universal Credit has received cross-party support, though it has received some criticism for the slow speed at which it is being rolled out across the country.

Chair of Stroud constituency Labour Party, Dick Greenslade, said: "The Labour Party has not opposed the idea of Universal Benefit in principle but has been concerned about both the practical problems of introducing such a massive change and, more importantly, about the potential difficulties for those in receipt of benefit, particularly those without easy access to or knowledge of computers.

“The party’s caution has been justified by the continuing delays in the roll out of the pilots. It will be important to look at the problems thrown up by all the pilots and, hopefully, an independent report on the effectiveness and fairness of the system."

The reform began in April 2013, and is now available at 40 per cent of Job Centres in the UK.

Judy Dauncey, welfare benefits manager at the Citizens Advice Bureau in Stroud, said: “Universal Credit is a positive in that it gives flexibility, so people can return to work but retain some of their benefits, as well as simplifying the system greatly.

“But there are concerns about the way in which it’s being paid monthly, which requires people whose rent is covered by Universal Credit to take more management over their finances. We’ve seen evidence that some people are falling further into debt.

“There are positives and negatives, but the full effects have yet to be seen.”

The government is aiming to see universal credit available in all job centres in Britain by the Spring of 2016.