The October 2010 Spending Review announced that the DLA mobility component would be withdrawn from people in care homes whose place was funded by a public body. The proposal was dropped by the Government during the passage of Welfare Reform Bill 2010-12. This note gives background to the original proposal and summarises initial reactions to it.
Cold Weather Payments are made to certain claimants of means-tested benefits during periods of very cold weather. To trigger the £25 payments, the average temperature in an area must be recorded as, or forecast to be, 0Â°C or below for seven consecutive days.
From April 2011 rates of many benefits and Tax Credits will increase; this will mainly be in line with the 3.1% annual increase in the CPI to September 2010. Exceptionally, this year the basic state retirement pension will be increased by the 4.6%.
The Government is committed to a "triple lock" for uprating the basic state pension, which means in future it will be increased by the highest of the increase in earnings, prices (as reflected in the CPI increase) or 2.5%. This year, to ensure the basic state pension is in line with the previous uprating rules, the increase in the RPI is being used. There is a requirement for Pension Credit to be increased in line with earnings. However, to ensure the least well-off pensioners benefit from the triple guarantee, the standard minimum income guarantee in Pension Credit will increase in April 2011 by the cash rise in a full basic State Pension.
This note sets out the basis for the April 2011 uprating. It focuses on the Retirement Pension and Pension Credit but also contains a summary of the main benefit and tax credit rates before and after the uprating.
Child Benefit is frozen until April 2014.
The Coalition Government's June 2010 Budget announced that a new "objective medical assessment" would be introduced for Disability Living Allowance claims from 2013-14. The Spending Review on 20 October announced that that the DLA mobility component is to be withdrawn from people in care homes whose place is funded by a public body. The Spending Review also announced that, from April 2012, for those Employment and Support Allowance claimants assessed as eligible for the "Work Related Activity Group", contributory ESA would only be payable for up to one year.
At the Conservative Party Conference in October 2010 the Chancellor announced that from January 2013 Child Benefit would be withdrawn from families with a higher rate taxpayer. This note looks at the background to the announcement and at reactions to it. Revised proposals for a “High Income Child Benefit Charge” were presented in Budget 2012 under which Child Benefit would instead be clawed back from families where the highest earner had an income in excess of £50,000. Further details can be found in Library briefing SN06299, Child Benefit for higher income families.
The Armed Forces Compensation Scheme (AFCS) replaced both the War Pensions Scheme and 'attributable' benefits payable under the old Armed Forces Pension Scheme (AFPS) for service personnel experiencing ill health, injury or death arising from service-related incidents on or after 6 April 2005. This note outlines the scheme and changes made to it since its introduction.
By April 2011 most lone parents with a youngest child aged seven or over will no longer be able to claim Income Support but will instead have to claim Jobseeker's Allowance and be available for and seek paid work.
The Welfare Reform Act 2009 includes provisions to enable piloting of mandatory 'work-related activity' for lone parents on Income Support and partners of benefit claimants with a youngest child aged 3-6. The Labour Government announced proposals to run 'pathfinders' in four Jobcentre Plus districts in England from October 2010.
From April 2010 rates of many benefits and Tax Credits will change, mostly they will increase by one of three factors:
+2.5% Basic State Pension
+1.8% Standard minimum guarantee Pension Credit, Income Support, Council Tax Benefit, Housing Benefit
+1.5% Attendance Allowance, Carer's Allowance, Child Benefit, Disability Living Allowance, Working & Child Tax Credits
The 1.5% increase is being paid by "bringing forward" a proportion of the increase expected in April 2011. Next year, any increase over 1.5% will be paid in the usual way.
For some benefits there is to be no increase in April 2010. For example, pensions on top of the basic state pension (additional pension, increments to the pension, Graduated Retirement Benefit) and dependency increases will remain at the same rates.
This note sets out the basis for the April 2010 uprating of the main social security benefits. It focuses on the Retirement Pension and Pension Credit but also contains a summary of the main benefit and tax credit rates before and after the uprating.
This note sets out financial support available to domestic energy consumers, including grants for central heating, insulation, microgeneration equipment and social security measures. It also explains how to seek advice or information about gas and electricity problems from Consumer Direct and the Energy Ombudsman.