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UC SDP - Transitional Element Reducing Over Time
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Welfare Benefits Adviser, Client Services, Crisis (Edinburgh)
Total Posts: 67
Joined: 2 December 2020
Hello
Can I check that I have correctly understood how the SDP transitional element may reduce over time? Reg 55 (UC (TP) Regs) says that from the second assessment period, the transitional amount is reduced by any increase in the other elements included your UC, except increases in the childcare element.
Am I correct in saying that the addition of housing costs (for example) to a UC claim that had a Transitional Element, would erode the transitional element, penny for penny (to zero, if housing costs are more than the transitional protection)?
Thanks
Martin
Yes that is correct - unless the housing costs should have been in place at the start of the UC claim but were just missed for some reason
forum member
Macmillan benefits team, Citizens Advice Bristol
Total Posts: 958
Joined: 24 November 2017
Similarly increases in the amount of housing element payable, addition of a child element, carer element etc.
forum member
Welfare Benefits Adviser, Client Services, Crisis (Edinburgh)
Total Posts: 67
Joined: 2 December 2020
Thanks for the helpful replies.
I wanted to double check my understanding.
Martin
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Macmillan benefits team, Citizens Advice Bristol
Total Posts: 958
Joined: 24 November 2017
Just looking at the new Memo on this https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/955776/adm1-21.pdf
As we all know under legacy benefits if two people eligible for SDP got together they then got double SDP in their new joint benefit (which could produce some very generous benefit income). Compare that with this example in the Memo
“Caroline is entitled to ESA(IR) which includes the SDP. She is joined by her partner Miguel who is entitled to UC as a single claimant. His award includes the transitional SDP amount. Caroline and Miguel are treated as claiming UC as joint
claimants. As Miguel’s entitlement to the transitional SDP amount terminated with his UC award, and the couple do not meet the first condition, their UC award as joint claimants cannot include the transitional SDP element.”
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Accountant, Haffner Hoff Ltd, Manchester
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Yes. This leads to an interesting work-around: Miguel should end his UC claim from the end of the AP before he moves in with Caroline. They should then make a joint claim for UC after he moves in, and the first AP of the joint claim will begin the day after the single award ended (so no actual loss of benefit). They will then be entitled to a transitional SDP element at the lower rate.
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Welfare rights adviser - Social Inclusion Unit, Swansea
Total Posts: 487
Joined: 17 June 2010
Go to M7540, it is the reminder of what we once knew in the dim and distant past when managed migration had fully been completed in 2017 and we had never heard of coronavirus - transitional protection is always lost when a couple forms or splits
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Macmillan benefits team, Citizens Advice Bristol
Total Posts: 958
Joined: 24 November 2017
Vonny - 27 January 2021 02:30 PMGo to M7540, it is the reminder of what we once knew in the dim and distant past when managed migration had fully been completed in 2017 and we had never heard of coronavirus - transitional protection is always lost when a couple forms or splits
Am aware - I thought thought the example highlighted how very differently claimants are now being treated. Interesting work around from Charles, although in practice most claimants don’t know the rules and only find out what they could have done after the event (if ever).
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Welfare rights adviser - Social Inclusion Unit, Swansea
Total Posts: 487
Joined: 17 June 2010
Ianb - 27 January 2021 03:25 PMVonny - 27 January 2021 02:30 PMGo to M7540, it is the reminder of what we once knew in the dim and distant past when managed migration had fully been completed in 2017 and we had never heard of coronavirus - transitional protection is always lost when a couple forms or splits
Am aware - I thought thought the example highlighted how very differently claimants are now being treated. Interesting work around from Charles, although in practice most claimants don’t know the rules and only find out what they could have done after the event (if ever).
Treating claimants very differently created the sdp gateway and the transitional SDP element, should we be keeping an eye out for judicial review cases?
A couple of Spotlights in this FOI request on how agents check for eligibility for SDP transitional payment and a general overview which includes -
The ‘Check claimant eligibility for SDP transitional protection’ to-do automatically generates when either:
- the claimant is in receipt of DLA/PIP/AA
- an agent verifies that the claimant is in receipt of AFIP or CAAIf the claimant is not in receipt of any of the benefits mentioned above, they are not entitled to SDP transitional protection and the to-do will not generate.
Where possible, agents must complete the ‘Check claimant eligibility for SDP transitional protection’ to-do during the Initial Evidence Interview (IEI).If the to-do does not generate until after the IEI, agents must complete the to-do at the next appointment. If there are no further appointments booked within 7 days of the IEI, agents must book an ‘Other-Other’ 10 minute appointment to complete the to-do.
The to-do will ask agents to gather information about the claimant’s carer, if they have one.If the claimant does not have their carer’s details, agents must book a 10 minute ‘Other-Other’ appointment with the claimant to ensure the to-do is completed.Once the to-do has been completed, a ‘Verify carer element’ agent to-do automatically generates for the case manager.
Also a pdf provided via operational stakeholders of a flow chart to establish if transitional SDP element is payable
File Attachments
- Establishing_if_the_transitional_SDP_element_is_payable_-_flowchart.pdf (File Size: 379KB - Downloads: 1724)
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Welfare Team, Grwp Cynefin, North Wales
Total Posts: 10
Joined: 11 June 2020
Hi can someone offer me an explanation please?
I have a tenant whom I’m workign with at the moment who was on ESA,PIP and was getting the sdp in her ESA.
As she was offered a property with us (she had no rental liability for a long time) she had to make a new claim for UC as she needed help with the housing costs.
She has jsut had her 1st payment of UC and she has had the transitional protection of SDP in her UC - £120 p/m
The issue I’m having is with her council tax reduction claim - as the council deem that her income is above the threshold so she has to pay an amount towards her council tax. However it is the £120 SDP transitional protection that is putting her income above the applicable amount.
I thought that this amount was disregarded for other benefits? however I’m struggling to find confirmation in CPAG if it is disregarded.
Thanks
Perhaps a gap in the Regs… I can’t easily find anything that says how this should be treated.
If it is still an issue please feel free to contact me and I should be able to produce some suitable correspondence to assist your service user.
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Benefits consultant/trainer - hbanorak.co.uk, East London
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This was a known lacuna in most CTR schemes during the period when the transitional SDP payment was not integrated into the max UC amount. But now all transitional SDP payments have been converted to transitional elements which are included as part of the UC calculation in the same way as any other element, so it should form part of the CTR applicable amount in a conventional scheme, such as that operated by the Welsh government (last time I checked).
4. Where this Schedule applies (subject to paragraphs 6 and 7), a transitional SDP element is to be included in the calculation of the award and the amount of that element is to be treated, for the purposes of section 8 of the Act, as if it were an additional amount to be included in the maximum amount under section 8(2) before the deduction of income under section 8(3).
Schedule 2 to the UC(TP) Regs 2014.
I haven’t managed to find a copy of the current Welsh CTR scheme on any of the local authority websites I have randomly visited, so I can’t swear that the scheme hasn’t moved away from the original treatment of UC claimants. But if the method is still as it was back in 2013, anyone who is entitled to at least 1p of UC and has no earnings will receive 100% CTR - this now includes those with a transitional SDP element.