The Division for Work and Pensions (DWP) has clarified why individuals within the assist group for New Fashion Employment and Assist Allowance (ESA) is not going to be eligible for the £650 Value of Residing Fee.
Final week, the DWP confirmed that greater than eight million low-income households throughout the UK will obtain a money cost of £326 from July 14 to ease the rising price of residing pressures, with an additional cost of £324 attributable to land in financial institution accounts within the autumn.
Nevertheless, not everybody on advantages is eligible for the additional £650 money assist, prompting Labour MP, Alex Sobel, to ask the Secretary of State for Work and Pensions, Dr Therese Coffey: “What foundation her Division made the choice to exclude individuals within the assist group for New Fashion Employment and Assist Allowance from the £650 price of residing cost?”
In a written response on June 17, DWP Minister David Rutley MP, defined: “The [UK] Authorities is dedicated to managing the general public funds in a accountable means by focusing on the £650 Value of Residing Fee assist on the eight million low revenue means-tested households the place it's most wanted.”
He clarified: “Contributory primarily based Employment and Assist Allowance shouldn't be a means-tested profit.”
Eligibility for £650 Value of Residing Fee
Disabled individuals additionally receiving one of many means-tested advantages under will obtain the £650 cost too:
- Common Credit score
- Revenue-based Jobseekers Allowance
- Revenue-related Employment and Assist Allowance
- Revenue Assist
- Working Tax Credit score
- Baby Tax Credit score
- Pension Credit score
In the event you obtain a DWP means-tested profit and Tax Credit, DWP pays the £650 in two elements as outlined above (£326 from July 14).
In the event you solely obtain Tax Credit, HM Income and Customs (HMRC) pays you in two instalments - as soon as within the autumn and one other within the winter. No particular dates have been launched but.
Full particulars of all Value of Residing Funds will be discovered on the GOV.UK web site right here.
Mr Rutley highlighted a £150 one-off Value of Residing Fee which is scheduled to be made in September to 6 million disabled individuals throughout the nation who're in receipt of a non-means examined, qualifying profit.
£150 Value of Residing Fee qualifying advantages
The £150 ‘Incapacity Value of Residing Fee’ shall be paid to individuals receiving these advantages:
- Incapacity Residing Allowance (DLA)
- Private Independence Fee (PIP)
- Attendance Allowance
- Grownup Incapacity Fee (Scotland solely)
- Baby Incapacity Fee (Scotland solely)
- Armed Forces Independence Fee
- Fixed Attendance Allowance
- Warfare Pension Mobility Complement
You'll be able to learn the complete written response on GOV.UK, right here.
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