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’.

Skills Pipelines: What local government needs to know image

Skills Pipelines: What local government needs to know

Councils and mayors are to be handed a central role in developing skills pipelines for local industries, as the Government unveils what it calls a ‘fundamental change’ to the education system aimed at tackling youth unemployment. Here's what council leaders and officers need to know.
SIGN UP
For your free daily news bulletin
Highways jobs

Service Manager - Care Leavers

Cheshire East Council
£54,994 per annum - £62,777 per annum
We're looking for an experienced and passionate Service Manager to join Cheshire East Council. Location TBC
Recuriter: Cheshire East Council

SEND Plan Writer

Cheshire East Council
£31,537 - £34,434
We're looking for a dedicated SEND Plan Writer to join Cheshire East. Macclesfield, Cheshire
Recuriter: Cheshire East Council

Independent Reviewing Officer

Cheshire East Council
£42,072 - £54,994
Make a difference for children in care Macclesfield, Cheshire
Recuriter: Cheshire East Council

Occupational Therapy Lead

Gloucestershire County Council
£48,226 - £51,356 per annum
Are you passionate about supporting adults to live independently and achieve what matters most to them? Gloucestershire
Recuriter: Gloucestershire County Council

Adult Education Director

City Of Doncaster Council
DR1 £45,564 to DR8 £52,209
We are seeking an experienced and inspirational Further Education leader Doncaster, South Yorkshire
Recuriter: City Of Doncaster Council
Linkedin Banner