Changes to Transitional Severe Disability Premium Element in Universal Credit
Responding to a High Court judgment, changes are being made to the Transitional Severe Disability Premium Element in Universal Credit. Claimants qualifying for the Severe Disability Premium will receive additional amounts reflecting other disability premiums from legacy benefits. This adjustment aims to equalize treatment between claimants transitioning to UC and those remaining on legacy benefits. The changes come into force on February 14, 2024, benefiting new UC claimants meeting the eligibility criteria.
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Transitional Severe Disability Premium Element in Universal Credit OSEF 16 January 2024
What is the Severe Disability Premium The severe disability premium is paid to claimants who are receiving: Employment and Support Allowance (income related) or Income Support or Jobseeker s Allowance (income based) And live or are treated as living alone. To qualify for it, no-one must be getting Carer's Allowance or the Universal Credit carer element for caring for them, and the claimant must receive: Personal Independent Payment at the daily living standard or enhanced component rate or Disability Living Allowance at the care middle / higher rate, or they have a partner receiving Attendance Allowance 2
What is transitional Severe Disability Premium (SDP) element? Claimants who had an award of SDP in Income Support (IS), Income Related Employment & Support Allowance (ESA IR) or Income Based Job Seeker's Allowance (JSA IB) and make a claim for UC within a month of that legacy award ending & still meet the eligibility criteria for SDP may receive a transitional payment in their UC award. Claimants who were in receipt of SDP in legacy are the only group of claimants who receive a form of transitional element when they move to UC for a reason other than managed migration. The transitional SDP element is treated in the same way as transitional element for claimants who requested to move to UC by DWP. 3
What's changing? In response to a High Court judgment handed down in January 2022 existing regulations are being amended to provide, additional amounts to the claimant's transitional SDP element to reflect other disability premiums in legacy. These are: Enhanced Disability Premium (EDP) in ESA (IR), JSA (IB) & IS Disability Premium (DP) in JSA (IB) & IS The difference between the lower Disabled Child Addition in UC and: Disabled Child Premium (DCP) in JSA (IB) & IS Disabled Child Element (DCE) in Child Tax Credit 4
What are the amounts? Additional amount for: Single rate Couple rate EDP 84 120 DP 172 246 Disabled Child Addition (lower rate) 177 for each eligible child 177 for each eligible child 5
When will this apply from? Regulations were laid in Parliament on 22nd November 2023 and will come into force on 14th February 2024 From 14th February any new UC claimant entitled to transitional SDP element will receive an additional amount if they received any of the other disability premiums in legacy and still meet the eligibility conditions. This will remove the differential treatment between claimants who have naturally migrated to UC and those who remain on legacy benefits. 6
What about existing claimants? In relation to how we intend to provide backdated payments, the Secretary of State for Work and Pensions is currently developing a process and timeline for when this will be delivered to those Universal Credit claimants currently receiving the Severe Disability Premium transitional protection. 7