The DWP is working on two systems for Universal Credit simultaneously -- one that underpins the current rollout to pilot sites, and an 'end-state' digital solution which will replace the original system in 2017.
The department said the enhanced digital service will start being tested "later this year". It said this "will test the full scope of Universal Credit for all claimant types in a limited local area".
At the end of last year IDS said about 700,000 people receiving Employment Support Allowance will not be moved to Universal Credit until after the 2017 deadline.
The National Audit Office is currently conducting a follow-up study into Universal Credit, due to be published in November.
It released a damning report into the early progress of the project last September, which revealed losses of at least £34 million, weak management and poor implementation.
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