Dundee City Council officials have held talks with the police over the impact of benefit reforms, an MSP has claimed.
Annabelle Ewing, an SNP representative for Mid Scotland and Fife, visited the city as part of her role on the Scottish Parliament’s Welfare Reform committee.
One of the issues which arose was how to cope with changes like the introduction of universal credit, the new way of paying benefits which comes into force this year.
The reform brings together several payments and combines them into one monthly lump sum which goes straight into people’s bank account, as opposed to the current system which sees different benefits paid out at different times.
It is understood concerns have been raised about how individuals who are not used to budgeting their money over such a period of time cope with being given a large sum of cash in one go.
It is thought they might potentially struggle to still have money at the end of the month, something which could, in theory, potentially lead to a rise in crime.
Ms Ewing said: “The council anticipates specific challenges with universal credit, because the payment is to be made to one member of the household.
“It has liaised with the local police to discuss potential impacts and problems in week one, when the money comes in, and the fact that there could equally be a problem in week four, when in many cases the money will have been spent.”
During her visit, Ms Ewing held meetings with chief executive David Dorward, housing director Elaine Zwirlein and council leader Ken Guild amongst others.
She said she was told of “good involvement” with local Department of Work and Pensions (DWP) staff through monthly meetings as welfare reform was a “very high priority in the council”.
The council has been working in partnership with other organisations, she said, including local voluntary organisations and health services to try to mitigate any issues people may have with the reforms.
Ms Ewing added: “It has also been working with local credit unions and has taken a very strong stance against payday loan companies.
“For example, there is no access to such companies through the network of computers to which there is access in local libraries.”
The DWP says universal credit will simplify the benefits system by bringing together a range of working-age benefits into a single streamlined payment.
The new payment is aimed at simplifying the system so it is cheaper and easier to understand and administer.
The first applications to universal credit will be made in October and it is expected that all working age claimants will have moved onto the system by October 2017.