The universal credit is the government's next big train wreck

Welfare reform could go so massively wrong, even the intelligence services are worried.

Even if the process for awarding the West Coast rail franchise was bungled by civil servants, it is politically disastrous for the government for a number of reasons. First, voters don’t want to hear politicians blaming their officials, even when the blame is deserved. Second, if ministers seize on the episode as an opportunity to accelerate civil service reform – as they surely will – the long-standing Cold War between Whitehall and the government will heat up, with inevitable leaks, briefings and other mischief that can destabilise an administration.

Third, David Cameron’s governing philosophy is famously obscure and coalition with the Lib Dems curtails his room for policy manoeuvre, so demonstrating the ability to competently implement existing policy is vital for the Prime Minister’s prospects at the next election.

When asked about the plan for recovering public support, senior figures in both coalition parties these days talk about “delivery” – showing that the government is actually getting on with the business of repairing the national finances and sorting out “Labour’s mess”. It is all about rolling up the sleeves and looking like a professional administration, hired by the electorate to do a tough old job. (Check out how often Cameron is photographed with his sleeves literally rolled up.) Labour, by contrast, can then be depicted as deranged fantasists, avoiding tough choices and banging on about weird abstractions instead of talking practical sense, rolling up their sle… you get the idea.

So it looks bad when the “delivery phase” doesn’t deliver and the competence file gets corrupted. Right now, Downing Street should be thinking very hard about what the next part of the programme to unravel will be and taking some pre-emptive measures. There are two obvious candidates.

First, the election of police commissioners. Hardly anyone knows this is happening although the votes are due to be held in England and Wales on 15 November. Turnout will be dismal and, by all accounts, the calibre of candidates is low. This was supposed to be a flagship reform, a great democratisation, a ballot box incarnation of "the big society". It looks like being a bunch of single-issue council seat by-elections.

Second, the universal credit (UC). This is a big one – the epic reconfiguration of the benefits system with a view to making work more lucrative than claiming welfare is due to be rolled out from October next year. Hardly anyone in Whitehall thinks this will happen. It is a vast project that requires complex IT systems, the effective commissioning of which is not an area where the civil service has famously distinguished itself in the past. One particular cause of concern is a plan to introduce “real time” data transfer from employers to the department for work and pensions - via HMRC – so that changes in someone’s work and pay status can filter through automatically to their benefit payments.

This experiment in massive inter-departmental exchange  of highly sensitive private data combined with payments worth billions of pounds has the potential to go spectacularly wrong. I understand from a well-placed source that the intelligence services are taking a close interest in the administration of universal credit because they fear it will compromise national cyber-security. Well-organised criminal hackers (or indeed other foreign intelligence agencies) could break into the system to commit colossal fraud or otherwise sabotage government business.

Separately, those who witness  the administration of the welfare system on the ground – whether in job centres or through citizens’ advice bureaux – are reporting a steep rise in cases of misallocations, errors and general bungling that means some very vulnerable people aren’t getting the money they need. The question being asked with increasing urgency (but still mostly in private) by pretty much everyone involved in welfare policy is this: if the DWP can’t seem to administer the existing benefits system properly, how on earth are they going to manage the switch to UC?

It doesn’t help that Iain Duncan Smith, the Secretary of State responsible for the whole thing, has a thin skin. Officials, charities and advisors from other departments report a culture of prickly denial at the top of the DWP. To hear the way “stakeholders” tell it, if you suggest there are problems with the UC implementation, it is inferred that you do not believe in IDS and, as an enemy of the project, are frozen out. If this is true there is serious trouble ahead.

One remarkable feature of both the police commissioners and universal credit policy accidents waiting to happen is that no-one seems to know who in Number 10 is supposed to be across these things. One of the most frequent complaints from Tories about the Downing Street operation is that there aren’t enough people with really sound political antennae keeping a strategic eye on other departments. Too much, it is said, is being done by civil servants who work on practical measures but don’t keep their ears to the ground for the sound of an incoming stampede of bad headlines.  

Maybe the current turmoil in the Department of Transport could never have been foreseen. Some storms do appear from nowhere. But some can be detected by radar long before they hit the shore. There is a hurricane gathering over the DWP and when the wind picks up and the bad news starts raining down, Cameron should be prepared.

Work and Pensions Secretary Iain Duncan Smith "has a thin skin". Photograph: Getty Images.

Rafael Behr is political columnist at the Guardian and former political editor of the New Statesman

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Air pollution: 5 steps to vanquishing an invisible killer

A new report looks at the economics of air pollution. 

110, 150, 520... These chilling statistics are the number of deaths attributable to particulate air pollution for the cities of Southampton, Nottingham and Birmingham in 2010 respectively. Or how about 40,000 - that is the total number of UK deaths per year that are attributable the combined effects of particulate matter (PM2.5) and Nitrogen Oxides (NOx).

This situation sucks, to say the very least. But while there are no dramatic images to stir up action, these deaths are preventable and we know their cause. Road traffic is the worst culprit. Traffic is responsible for 80 per cent of NOx on high pollution roads, with diesel engines contributing the bulk of the problem.

Now a new report by ResPublica has compiled a list of ways that city councils around the UK can help. The report argues that: “The onus is on cities to create plans that can meet the health and economic challenge within a short time-frame, and identify what they need from national government to do so.”

This is a diplomatic way of saying that current government action on the subject does not go far enough – and that cities must help prod them into gear. That includes poking holes in the government’s proposed plans for new “Clean Air Zones”.

Here are just five of the ways the report suggests letting the light in and the pollution out:

1. Clean up the draft Clean Air Zones framework

Last October, the government set out its draft plans for new Clean Air Zones in the UK’s five most polluted cities, Birmingham, Derby, Leeds, Nottingham and Southampton (excluding London - where other plans are afoot). These zones will charge “polluting” vehicles to enter and can be implemented with varying levels of intensity, with three options that include cars and one that does not.

But the report argues that there is still too much potential for polluters to play dirty with the rules. Car-charging zones must be mandatory for all cities that breach the current EU standards, the report argues (not just the suggested five). Otherwise national operators who own fleets of vehicles could simply relocate outdated buses or taxis to places where they don’t have to pay.  

Different vehicles should fall under the same rules, the report added. Otherwise, taking your car rather than the bus could suddenly seem like the cost-saving option.

2. Vouchers to vouch-safe the project’s success

The government is exploring a scrappage scheme for diesel cars, to help get the worst and oldest polluting vehicles off the road. But as the report points out, blanket scrappage could simply put a whole load of new fossil-fuel cars on the road.

Instead, ResPublica suggests using the revenue from the Clean Air Zone charges, plus hiked vehicle registration fees, to create “Pollution Reduction Vouchers”.

Low-income households with older cars, that would be liable to charging, could then use the vouchers to help secure alternative transport, buy a new and compliant car, or retrofit their existing vehicle with new technology.

3. Extend Vehicle Excise Duty

Vehicle Excise Duty is currently only tiered by how much CO2 pollution a car creates for the first year. After that it becomes a flat rate for all cars under £40,000. The report suggests changing this so that the most polluting vehicles for CO2, NOx and PM2.5 continue to pay higher rates throughout their life span.

For ClientEarth CEO James Thornton, changes to vehicle excise duty are key to moving people onto cleaner modes of transport: “We need a network of clean air zones to keep the most polluting diesel vehicles from the most polluted parts of our towns and cities and incentives such as a targeted scrappage scheme and changes to vehicle excise duty to move people onto cleaner modes of transport.”

4. Repurposed car parks

You would think city bosses would want less cars in the centre of town. But while less cars is good news for oxygen-breathers, it is bad news for city budgets reliant on parking charges. But using car parks to tap into new revenue from property development and joint ventures could help cities reverse this thinking.

5. Prioritise public awareness

Charge zones can be understandably unpopular. In 2008, a referendum in Manchester defeated the idea of congestion charging. So a big effort is needed to raise public awareness of the health crisis our roads have caused. Metro mayors should outline pollution plans in their manifestos, the report suggests. And cities can take advantage of their existing assets. For example in London there are plans to use electronics in the Underground to update travellers on the air pollution levels.

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Change is already in the air. Southampton has used money from the Local Sustainable Travel Fund to run a successful messaging campaign. And in 2011 Nottingham City Council became the first city to implement a Workplace Parking levy – a scheme which has raised £35.3m to help extend its tram system, upgrade the station and purchase electric buses.

But many more “air necessities” are needed before we can forget about pollution’s worry and its strife.  

 

India Bourke is an environment writer and editorial assistant at the New Statesman.