Laura Sharman 09 October 2014

Council cancels pre-paid benefit card trial

North Tyneside Council has cancelled a project to trial pre-paid benefit cards following ‘inaccurate’ accusations it was to target people with drug and alcohol problems.

The council said ‘negative and inaccurate’ coverage in the media had undermined the credibility of the scheme and meant only two people volunteered to take part.

Deputy mayor, Cllr Bruce Pickard said the council had already successfully used pre-paid cards for direct payment clients and hoped the pre-paid benefits card would have helped those who struggled financially.

Mr Pickard said: ‘For people on low budgets who have to manage their spending very carefully, and rely on cash transactions because many don't have a full bank account, it can be very difficult for them to pay direct debits and access better prices by using online shopping.

‘We wanted to give those people a financial life-line to better managing their finances so they could be more independent in the future and provide them with great choices.’

The council said it had no plans to restrict how the card could be used and would not have shared information with the DWP on individual spending. The council needed 250 volunteers to make the project viable.

The Government has said giving welfare claimants benefits on a pre-paid card would help curb spending on ‘destructive habits’.

LocalGov Weekly Round Up image

LocalGov Weekly Round Up

A pivotal week for councils sees fresh devolution plans, new service pilots and key legal and political battles, writes LocalGov editor William Eichler.
SIGN UP
For your free daily news bulletin
Highways jobs

RCHW Site Operative

Essex County Council
Up to £25081.00 per annum
RCHW Site OperativePermanent, Part Time£25,081 per annumLocation
Recuriter: Essex County Council

Cleaner

Durham County Council
£24,796 (Pro rata)
Cleaner Grade 1, £24,796 (Pro rata) Permanent, part time. 12.5 hours per week Currently 3.30pm to 6pm Monday to Friday (subject to change depending on Durham
Recuriter: Durham County Council

Outreach Support Assistant

Durham County Council
£32,597 - £36,363
Outreach Support Assistant x 6 Grade 8, £32,597 - £36,363 Permanent, full time. Required to start ASAP.   We are seeking to appoint to the Secondary O Ferryhill
Recuriter: Durham County Council

Tenant Support

Durham County Council
Grade 2 - £24,796 - £25,185 (pro-rata)
If you have elderly friends and relatives, you will understand the value they place on independence. This role will give you the opportunity to work Consett
Recuriter: Durham County Council

Home Care and Support Worker

Durham County Council
Grade 4 - £25,583 - £26,824 (pro-rata)
We currently have multiple vacancies available including permament part time and a casual role. If you have elderly friends and relatives, you will u Consett
Recuriter: Durham County Council
Linkedin Banner