The architect of the troubled common credit score (UC) system says it may take “many years” to get it working at its handiest degree.
Lord Freud defended the system to MPs holding an pressing session over contemporary issues many claimants have been being pushed into lease arrears and eviction.
UC collapses all advantages into one and is being rolled out in England.
Work and Pensions Committee chairman Frank Discipline mentioned some claimants have been having their lives wrecked by UC.
He challenged Lord Freud over his declare that many UC claimants who have been in lease arrears after being transferred from old-style advantages had introduced their arrears with them.
Mr Discipline mentioned: “Persons are ready an especially very long time to get their first funds, and actually dangerous issues are taking place to individuals.
“I do see individuals who have all the time been managers being diminished to tears.
“These are people who find themselves have by no means been on this scenario earlier than and have discovered common credit score is wrecking their lives.”
Lord Freud, who stepped down from his submit in December, mentioned the Division of Work and Pensions had spent the previous 9 months tackling these points with housing funds.
And he acknowledged that beforehand tight deadlines had already slipped by a number of years. Work started on the programme in 2010.
However Lord Freud mentioned the system needed to be launched with a view to deal with the truth that the profit system was an “over-comfortable security web” that saved households trapped on advantages and people who have been working “questioning why they have been bothering”.
He mentioned as soon as the “equipment” of UC was in place, it might be potential to “play with the parameters” and get extra individuals working.
However he added:: “I feel it is going to take some many years to optimise what we’re constructing.
“We’ve as soon as in a technology likelihood to do one thing like this, and in case you do, you need to attempt to do it, as a result of I feel now we have an inconceivable legacy system.”
A letter to Employment Minister Damian Hinds from the committee mentioned proof suggests “there stays a lot to be accomplished earlier than common credit score is working effectively for claimants and people organisations working with them”.
“We have been involved to listen to that common credit score claimants residing in rented lodging usually tend to be in lease arrears than different tenants,” it added.
“Croydon Council informed us that lease assortment for council tenants in receipt of common credit score has declined from 98% to 72%.
“Whereas underneath 10% of tenants are claiming common credit score, they account for 38% of Croydon’s complete lease arrears.
“Equally, Halton Housing Belief reported that 920 of its 1,058 tenants claiming common credit score have been in arrears.
“And whereas 9% of tenants claimed common credit score, they account for 37% of Halton’s lease arrears.”
The letter additionally expressed concern about delays in funds being made, with the typical wait in Croydon being 12 weeks.
The committee mentioned the gradual tempo of change was highlighted by the actual fact 430,000 individuals have been claiming UC as of December 2016, regardless of the federal government initially forecasting it might be six million.
Full rollout of the profit is now forecast in March 2022 – 11 years after it was first introduced.