DWP
Turn2Us have produced this useful list of benefit changes
During 2017
Tax Free Childcare
Tax Free Childcare is to be introduced as a replacement for employer supported childcare (childcare vouchers).
The government will contribute up to 20% of the first £10000 of registered childcare costs per child, per year. This equates to a maximum of £2000 per child, per year.
The scheme will be available to people who have an annual income under £150,000 and are not receiving help with childcare via tax credits. It is expected to reach more people than the current scheme.
For further details see our Tax Free Childcare information sheet.
April 2017
Bereavement Support Payment
The current bereavement benefit system will be replaced with a single system of Bereavement Support Payments (BSP). This will be introduced for new claims from April 2017.
Tax Credits Support for children reduced
Government proposed in the summer budget 2015 that support for children through Tax Credits and Universal Credit will be limited to two children from April 2017. Equivalent changes will be made to the Housing Benefit rules. See Summer Budget 2015 page
Tax Credit Family Element removed
Tax Credit Family element proposed change: People starting a family after April 2017 will no longer be eligible for the Family Element in tax credits. The equivalent in Universal Credit, known as the first child premium, will also not be available for new claims after April 2017.
Universal Credit requirements for parents to look for work
Parents with a youngest child aged 3, including lone parents are expected to look for work if they want to claim Universal Credit.
Reduction in payment for ESA Work-Related Activity Group Claimants
From 1 April 2017, new ESA claimants who are placed in the Work-Related Activity Group will receive the same rate of payment as those claiming Jobseeker’s Allowance and the equivalent in Universal Credit. See Summer Budget 2015 page
Universal Credit Youth Obligation
18-21 year olds who are on Universal Credit will have to either apply for training/ apprenticeships or attend a work placements from six month after the start of their claim. Apart from certain exempt groups (those considered to be vulnerable) – proposed introduction from April 2017 .
Universal Credit Housing Support removed for young people
Reform to housing and housing support proposed- including removing the entitlement to housing support in Universal Credit for those aged 21 or under from April 2017.See Summer Budget 2015 page.
Change in Hardship Payments for mentally ill and homeless
Hardship Payment proposed change: Hardship payments (of 40% of the benefit amount) to be automatically payable to jobseekers who are mentally ill and homeless when they are sanctioned. These claimants currently must apply for hardship payments when they've been sanctioned and may be refused. The proposal means to add them to the group of vulnerable people who can receive hardship payments whilst under sanction without applying for them first (such as claimants with children or long-term health problems).
Universal Credit taper to be reduced from 65 per cent to 63 per cent
From April 2017, the taper rate that applies in Universal Credit will be reduced from 65 per cent to 63 per cent. This means that claimants will be able to keep 37p for every £1 earned in work above work allowances rather than 35p for every £1 earned. See Autumn Statement 2016 page.
Autumn /End of 2017
Free Childcare Extended
Free childcare entitlement will be doubled from 15 hours to 30 hours a week for working parents of 3 and 4 year olds from September 2017.
Higher Income Social Tenants to Pay Higher Rents
The Summer Budget 2015 put forward plans to require social tenants on higher incomes (over £40,000 in London and over £30,000 outside London) to pay higher (market rate or near market rate) rents. The government will consult and set out the detail of this reform in due course. See Summer Budget 2015 page
Universal Credit Roll out
The Government expected that the roll out of Universal Credit would be complete by the end of 2017. Iain Duncan Smith has since admitted that at least 700,000 claimants will not be on UC by the end of 2017. See our Universal Credit Timetable to keep up with the progress of the roll out.
April 2018
Support for Mortgage Interest (SMI) payments
The government announced in the summer budget 2015 that from April 2018, new SMI payments will be paid as a loan. Loans will be repaid upon sale of a claimant's house, or when claimants return to work.
Leave a comment
Make sure you enter all the required information, indicated by an asterisk (*). HTML code is not allowed.
Join
FREE
Here
