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Forum Home  →  Discussion  →  Universal credit migration  →  Thread

sdp gateway new-style ESA.  Computer says ...I’m sorry Dave, I can’t do that ....

MM1239
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Advisory Team, Money Matters, Glasgow

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This concerns people who have “new-style” ESA and then need to claim income-related ESA as a top-up due to change of circumstances. Apparently the DWP computer will not allow irESA to be paid and the claimant should stop the new-style ESA claim and make a claim for conts-based ESA.  How a new claim to conts-based ESA could be made I don’t know ....

Please bear with me, a bit of a saga ...


Client had “new-style ” ESA based on contributions, + PIP (daily living) - nothing means-tested was payable has partner was in full-time work.  They split and he was in homelessness accommodation hence got housing benefit. We applied for income-related ESA because the sdp gateway applied due to him having an sdp on his housing benefit. Also of course that meant he would get the sdp via income-related ESA.

After months of non-payment, no decision and failures to call back by the benefit centre (apart from one call to the vulnerable claimant telling him to claim UC), we complained and got the MP involved. Result!  Ir ESA now in payment.

The interesting bit is that I was told that the benefit centre said that irESA cannot be paid with “new-style” ESA and in these cases customers should stop their new-style ESA claim and make a new claim to cbESA as irESA cannot be paid with nsESA. In this case an error had been made at the time when he claimed ESA and his claim had been entered as cbESA rather than nsESA hence they were able to add the irESA to his existing ESA claim.

I said that I felt that - legally speaking - nsESA and cbESA are the same thing, and also I would be very reluctant to advise a client to stop a claim to which they had ongoing entitlement as there could be potentially disastrous consequences. [So long as within linking period, theoretically claim would restart OK but it could easily go wrong, could result in further assessment - plus claim delay etc. Also - a new claim would be to what the DWP calls new-style ESA so - rinse and repeat. It is also simply incorrect].

Apparently it was an issue to do with the computer system. At my request it will be passed on as a policy issue.

Elliot Kent
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I’m not surprised it has created difficulties - its an extremely complex situation.

“New-style” ESA means a claim for or award of ESA to which the amendments under the WRA 2012 abolishing income related entitlements are applied. A claim/award which is not subject to those amendments is “old-style”

Under the various commencement orders, these amendments take effect in relation to a particular claim/award at the point at which the claim is made. So when your client made his claim for ESA, it automatically triggered those amendments coming into force in relation to that claim/award i.e. it was a claim for new-style ESA.

The SDP amendments and art 5A of Commencement Order 9 create an exception to that so that a new claim for ESA can be made by people within the SDP exemption and the amendments do not operate in respect of such a claim. i.e. they permit a new claim for old-style ESA.

What those provisions do not do is “undo” the amendments in the context of an award of ESA to which they are already applied. In other words they don’t allow an award of new-style ESA to be turned into an award of old-style ESA - which is what you are asking to have happen here.

The same problem would not arise if your client relinquished one award and made another claim - because the commencement is only effective on a claim-by-claim basis.

I am guessing that this situation where somebody ends up being on both nsESA and HB without having also claimed UC wasn’t thought of when drafting the new rules.

Charles
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Art 6 of the No 9 Commencement Order covers this case, so there is certainly no need to terminate the nsESA award.

Elliot Kent
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Charles - 11 August 2020 08:16 PM

Art 6 of the No 9 Commencement Order covers this case, so there is certainly no need to terminate the nsESA award.

Yes I suppose it does on re-reading. You have to appreciate all the effort which goes into making these provisions so user friendly to understand.

Charles
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Yup!

They provided me with hours of fun deciphering all the various Commencement Orders over the last few years though!

MM1239
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In payment now following complaint and MP intervention.  Still awaiting outcome of the complaint and the linked compo request - and the forlorn hope is that the benefit centre will start calling back!