Agenda item

Helen Paine, Corporate Resources

The Forum received a report on the roll out of Universal Credit in Gateshead and the possible impact on free school meals (FSM).

Universal Credit is a national benefit which will replace existing benefits such as Housing Benefit, Job Seekers Allowance, Child Tax Credits and Working Tax Credits.  It was reported that although Universal Credit has been implemented in small numbers in Gateshead, this will be rolled out fully from October 2017 and include families.

It is anticipated that this will impact on FSM and financial inclusion, as there are concerns due to the benefit being paid in arrears with a likely 6-8 week wait before payment. It was noted that this could lead to significant rent arrears and schools should therefore be aware that more families could experience financial hardship.

It was reported that anyone in receipt of Universal Credit will be entitled to FSM, this is a change to the current position, where being in receipt of Working Tax Credits does not necessarily entitle a child to FSM. Therefore, schools could see an increase in FSM.

Newcastle has been operating full Universal Credit for eight months, Gateshead officers have spoken to Newcastle’s FSM service which has reported that FSM take up is currently low despite an increase in FSM entitlement. The Forum was advised that further discussions would be ongoing to gain more information on the position in Newcastle so that this can be passed on to Gateshead schools.

The Forum was advised that eligibility for FSM will not be confirmed until the Universal Credit award is made, which could be 6-8 weeks, however schools could make the decision to give a FSM before the entitlement is officially confirmed.

It was questioned who would pay the schools back which cover FSM for the period prior to Universal Credit being awarded. It was noted that at this stage it is not clear who would pick up the cost and it would be the decision of individual schools as to whether it provides FSM from the date parents make an application for Universal Credit.

It was queried why there is a 6-8 week delay in awarded the benefit. It was clarified that there is a one month assessment period when a case is looked at to see if any income has been received during that period, then an assessment of the amount of Universal Credit will be made. Payment will then be made within 3-5 days from the date of award.

The Forum agreed that a consistent message, in terms of whether to pay for FSM prior to confirmation of eligibility, is required from the local authority.

It was agreed that regular updates should be made to cluster school managers, business managers and Headteachers, and information should also be included in the Governors Directory. It was also agreed that an update will be brought back to the Schools Forum at the end of the year. Universal Credit guidance when available will also be circulated to schools.

RESOLVED    -           (i)         That Schools Forum noted the contents of the report,

the possible increase in children eligible for FSM and the possible impact on new claimant families.

                                    (ii)        That further updates be provided to schools on a

regular basis and an update report be brought back to Schools Forum at the end of the year.