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Top Housing Benefit & Council Tax Benefit topic #4895

Subject: "Housing Benefit, Income Support and moving into work" First topic | Last topic
Paul_Treloar_
                              

Director of Policy and Services, Disability Alliance, London
Member since
15th Sep 2006

Housing Benefit, Income Support and moving into work
Fri 04-May-07 02:19 PM

Hi folks,

Here's a good one for a Friday afternoon. I am currently swotting up on the memoranda submitted to the Work and Pensions Select Committee relating to their inquiry into benefits simplification.

Within the main DWP memorandum, at point 4.45, it is stated that, for housing benefit and council tax benefit:

'From April 2004 the need for the vast majority of people moving into work to complete a fresh claim has been removed. Instead, it is treated as a change of circumstances.'
Is this true? Both the DA Disability Rights Handbook and CPAG Welfare Benefits and Tax Credits guide state otherwise i.e. a fresh claim will be required, notwithstanding the 4-week HB/CTB run-on. Further, in the same DWP memorandum at point 4.48 it states that, in a joint working initiative between DWP and HMRC:

'When an unemployed person in the trial area leaves benefit to take up work, JC+ staff will work with them to initiate and partially populate a claim for Tax Credit at the same time as they close the benefit claim. They will similarly pursue possible Housing Benefit/Council Tax Benefit claims or changes in conjunction with local authority staff.'
Surely, if the former statement is correct, then there will be no need for new claims, as highlighted in the latter statement, if that makes sense?

Any one with any thoughts on this issue would be most appreciated.

  

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Replies to this topic
RE: Housing Benefit, Income Support and moving into work, Paul_Treloar_, 04th May 2007, #1
RE: Housing Benefit, Income Support and moving into work, Kevin D, 05th May 2007, #2

Paul_Treloar_
                              

Director of Policy and Services, Disability Alliance, London
Member since
15th Sep 2006

RE: Housing Benefit, Income Support and moving into work
Fri 04-May-07 03:27 PM

I've just been told by one of our rights workers that this is probably the Rapid Reclaim provisions (shows how much you forget when you're not doing advice work every day).

Does anyone have any practical examples of how this procedure is actually operating in practice, for better or for worse?

  

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Kevin D
                              

Freelance HB & CTB Consultant/Trainer, Hertfordshire
Member since
20th Jan 2004

RE: Housing Benefit, Income Support and moving into work
Sat 05-May-07 07:10 AM

Hi Paul,

"'From April 2004 the need for the vast majority of people moving into work to complete a fresh claim has been removed. Instead, it is treated as a change of circumstances.'"

This is correct. Under the HBRs 1987, HBR 66 provided for "benefit periods" - this being the maximum period HB/CTB could be awarded without a new claim. A benefit period could be set by an LA for anything from 1 to 60 weeks (an exception existed to extend a benefit period by up to a further 4 weeks for some groups of clmts).

However, where a clmt's IS/JSA(IB) ended before the end of the benefit period, HBR 67 required that the benefit period ended early.

Once a benefit period ended (for whatever reason), a new claim was required.

From April 2004, HBRs 66 & 67 were abolished. HOWEVER, there are still circumstances under the current regs where a new claim is needed. If the clmt falls within either HBRs 77 or 78 of the 2006 HBRs, HB/CTB must still be terminated. This is irrespective of whether or not there would otherwise be on-going entitlement and/or entitlement to an Extended Payment. As an aside, HBRs 77/78 must be satisfied in order for an EP to be awarded, so any EP award also means the end of entitlement. Such terminations mean a new claim is needed. Although, my understanding is that the DWP is going to change the legislation so that an EP award becomes a change of circs with a new claim not being required.


I don't know if this is relevant or of interest, but if a clmt has any "gap" in entitlement, no matter how short, as a result of a change in circs, a new claim will ALWAYS be needed based on the law as it currently stands. This is because once a claim is decided, it ceases to exist - para 2; Sch 7 to the CSPSSA 2000. So, once entitlement ends, there is no claim on which any further HB/CTB can be awarded (unless the "nil" superseding decision is subsequently revised and HB/CTB is reinstated leaving no gap). CH/269/2006 is well worth a look in this context.

Regards

  

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Top Housing Benefit & Council Tax Benefit topic #4895First topic | Last topic