Managed migration client now worse off after being found to have LCWRA

I have a client who has migrated from Tax Credits where he had been receiving severe disability element as he receives PIP enhanced rate daily living. Prior to his migration he was on sick leave from work and claiming Carers Allowance. He migrated to UC where he received the carers element plus substantial transitional protection. He requested to go through the WCA and has now been found to have LCW/LCWRA. However, this has led to him actually being worse off due to the LCWRA element decreasing his transitional protection to zero and the carers element no longer being in payment. I’m assuming this is probably legislatively correct?

That is what the Regs say. However (per CPAG’s WRB April 2024) there is a case before the UT about this point. (Appeal ref: UA-2023-000561-USTA)

I can only speak with any authority to the EWS regs. Assuming that the positions is the same in NI, the entire LCWRA is a “relevant increase” so the transitional protection erodes to that extent. The decrease in benefit from the loss of the CE is not considered.

There is a case in the UKUT challenging this outcome on human rights grounds in the context of the SDP transitional element (on a similar basis to SSWP v JA [2024] UKUT 52 (AAC)) so your client may want to appeal the decision in the hopes of being able to piggy back on that if the outcome is favourable (albeit that the fact that your client is coming through managed migration may or may not be grounds for distinguishing the case).

This issue is due to be considered by the UT in the autumn.  This article includes the appeal ref: https://askcpag.org.uk/content/210380/transitional-element-update

Is that a triple snap - I don’t think I’ve seen that before ;)

I must remember to refresh the page before responding…

Would it be beneficial now for this client to terminate his Carers Allowance claim or would there be a downside to this that i’m not seeing?

Edit - don’t think it would be financially beneficial at all, unfortunately