Changes to benefits
The Government has introduced some major changes to benefits nationally. Some changes came into effect on 1 April 2011 while others will be introduced by 2018.
The changes will affect those who are claiming any benefits for children, older people, unemployment, income support, housing or disabilities and ill health.
Benefits for children
- Child benefit
- Sure Start Maternity grant
- Health in pregnancy grant
- Child trust fund
- Child Tax Credits
Benefits for older people
Unemployment and income support benefits
Housing related benefits
Benefits for children
Effective from April 2011 Child Benefit has been frozen for three years at the following weekly rates:
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Effective from January 2013 It is proposed that households with at least one higher rate tax payer will no longer be eligible for Child Benefit. Based on the 20011/12 rate, this will affect those earning £35,001 and above. However, this rate may change. |
| For more information see Child Benefit |
Effective from April 2011 Eligibility is restricted to those who have no other children aged under 16 in the household |
| For more information see Sure Start Maternity Grant |
Effective from April 2011 Abolished for babies born after 11 January 2011 |
Effective from April 2011 Abolished for babies born after 11 January 2011 |
Effective from April 2011
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Effective from April 2012 Income eligibility will reduce to £30,000 |
| For more information see Child Tax Credits |
Benefits for older people
Effective from April 2011 Pensions will rise by a minimum of 2.5% |
Effective from April 2010 - 2018 The age at which women can claim is increasing to 65 |
| Effective from April 2010 to December 2018 Pension age will be increased to 66 for both men and women |
| For more information, see State Pension |
Effective from April 2011 The Pension Credit Savings element is frozen for four years |
| For more information, see Pension Credit |
Effective from winter 2011 Standard winter fuel payment will be reduced to £200 and £300 for people aged over 80 |
For more information, see Winter Fuel Payment |
Unemployment and income support benefits
Effective from April 2011
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Effective from April 2012
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Effective from April 2013
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| For more information, see Working Tax Credit |
Effective from February 2011 to March 2014
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Effective from April 2012 Contributory Employment Support Allowance (based on National Insurance) for those placed in the work related group will be limited to 52 weeks of payment. Currently, benefit is paid as long as evidence of sickness is accepted |
| For more information, see Employment and Support Allowance (ESA) |
| Effective from January 2012 |
Lone parents with a youngest child aged five or above will no longer be eligible. Instead, you must claim Jobseeker's Allowance and be available for work. Alternatively, you can claim Employment and Support Allowance (ESA) if you are incapable of work |
| For more information, see Income Support |
Housing related benefits
Effective from April 2011 There are increases in the non-dependent deduction rates. This means that the incomes of anyone aged over 18 who is living in your home could affect how much Housing and Council Tax benefit you receive |
Effective from April 2013
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| For more information, see Housing Benefit and council tax benefit |
Effective from April 2011 but existing claimants will receive nine months protection for benefit reductions
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Effective from April 2012 It is proposed that there will be a restriction of rates for people aged up to 35 to a shared room rate - this is currently only applied to under 25s. |
| For more information, see Local Housing Allowance (LHA) |
Disability and ill health related benefits
Effective from April 2011 People who are blind and who are severely visually impaired are now eligible for the high rate of the Mobility Component of DLA. Current DLA claimants should be contacted automatically by the Disability Benefits Centre. |
Effective from April 2013
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| For more information, see Disability Living Allowance |
Will there be any further changes?
Yes. The Universal Credit will be introduced from 2013. It is a means tested benefit that will replace benefits and tax credits for those of working age.
This means that the following benefits will be abolished:
- Income Support
- Income based Jobseeker's Allowance
- Income related Employment and Support Allowance
- Working Tax Credit
- Child Tax Credit
- Housing Benefit
- Council Tax Benefit
The Universal Credit is designed to simplify the benefit system and make work pay.