R2R is a complicated issue as you can se from the posts! Please clarify why did your client give up work in January? Is she married? Is the partner an EU national who is working? Did her elder child enter school whilst she was working? Is she in any ill health due to her pregnancy?
In practice, once the DWP have nade a decision to refuse IS due to R2R, you can lodge an appeal ( if you have grounds - there is little point unless you do ) but the client will have to claim JSA in order to protect her current CB, CTC and HB claims, as well as to be paid the £60.50 pw actual benefit. Even if the client has grounds, an appeal will take months.This is not impossible for a pregnant client, though of course it is not exactly desirable - but the alternative is destitution and eviction. I have had to advise pregnant clients to do this before, and to avoid being routed again to IS by Jobcentre Plus when the client is within 11 weeks of birth - otherwise they will wait another 2 months for the same IS decision to refuse under R2R. There is no reason why a pregnant client who is in good health cannot satisfy a jobseekers agreement - single paremts have to be available for 16 hours pw only.
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