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'£34m wasted' on welfare reform

Government attempts to set up its flagship Universal Credit scheme have not achieved "value for money" and have already wasted £34 million, according to a damning report by the National Audit Office.

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Main conclusions of NAO report on Universal Credit

These are the main conclusions of the National Audit Office (NAO) report on the early progress of the £2.4 billion Universal Credit scheme, which is due to be rolled out nationally by 2017:

  • Department for Work and Pensions "took risks" in order to meet ambitious targets
  • Scheme has not achieved value for money with at least £34m of the £425m spent so far having been "written off"
  • Timescale for national roll out is no longer feasible without increasing risks
  • Programme has suffered from "weak management, ineffective control and poor governance"
  • Current IT system for processing claims has "limited functionality"

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