× Search rightsnet
Search options

Where

Benefit

Jurisdiction

Jurisdiction

From

to

Forum Home  →  Discussion  →  Housing costs  →  Thread

Additional earnings disregard on maternity leave

Jon (CANY)
forum member

Welfare benefits - Craven CAB, North Yorkshire

Send message

Total Posts: 1362

Joined: 16 June 2010

Single client was working 16 hours, became single parent, is now on mat leave getting SMP, WTC, CTC. From CPAG p887 I’ve looked at Schedule 4 of the HB regs, the definition of work under part 1, and also reg 20(1)(c) of the WTC regs, and still can’t decide if the £17.10 additional earnings disregard should be applied in this situation?

Liz Wilson
forum member

Benefits and Money Adviser, Yorkshire Housing, York

Send message

Total Posts: 7

Joined: 21 June 2010

Unfortunately, my understanding is that they will not receive the additional disregard. The same applies whilst on SSP and so on. The disregard is linked to the remunerative work definition used for non-dependants. This leads to the scenario that tenants often lose both income and HB/CTB when off work for sickness, maternity, paternity or adoption leave. I cover 3 local authorities and one of them until recently was including the additional disregard in the calculation but has recently stopped. (Quite a while since I looked at this so not got Regs at hand to quote).

Jon (CANY)
forum member

Welfare benefits - Craven CAB, North Yorkshire

Send message

Total Posts: 1362

Joined: 16 June 2010

Thank you Liz. Looking at the Shelter handbook at 14.24 and 6.27, it does seem to be fairly clear - except they say the disregard depends on whether HMRC or the authority “considers they meet” the conditions, rather than on whether the claimant actually does meet them. (Anyway, I think I better not ask which local authorities you cover!)

chacha
forum member

Benefits dept - Hertsmere Borough Council

Send message

Total Posts: 474

Joined: 13 December 2010

Yes, they don’t get the AED, the confusion arises mostly, I think, because they are still treated as being in remunerative work for childcare. So, though they miss out on the £17.50, they are still entitled to a lot of help with childcare. That’s if there is a childcare issue in the first place.

Kevin D
forum member

Independent HB/CTB administrator, consultant & trainer (Essex)

Send message

Total Posts: 474

Joined: 16 June 2010

A disregard can still be applied under Sch 5 of the HB regs (“working age”) if WTC contains the additional element.

chacha
forum member

Benefits dept - Hertsmere Borough Council

Send message

Total Posts: 474

Joined: 13 December 2010

hbinfopb - 18 March 2011 03:26 PM

The issue is whether the claimant actually has an award of WTC including that component, not whether the Council thinks s/he should have such an award.

If they have reported a change to HMRC and they are still entitled to the award, then, agreed, regardless of what the council thinks.

The thing is, as I have found, the WTC component is sometimes awarded when it’s obvious the claimant is not entitled. For me it’s just a case of legitimacy, as Kevin and Peter have pointed out, under HB/CTB regs, albeit knowing the entitlement is wrong, there is no choice but to make the award. There is still a distinction if it’s not legitimate entitlement then you have a problem! [Could be sorted by contacting claimant/HMRC for clarification, as the case may be. So, for me, fact and law, become debatable.