Latest updates

New appeals process from April 2013

The Government is changing how benefit appeals are treated and made. The new rules will be phased in, starting with new claims for Personal Independence from 8 April 2013. 

The present appeals system

If you are unhappy with a benefit decision you have one month to appeal in writing. The Department for Work and Pensions (DWP) has to look again at their decision, and the appeal is also passed on to Her Majesty’s Courts and Tribunals Service (HMCTS).

What are the new rules?

If you are unhappy with a decision, you first have to ask the DWP to reconsider their decision – called a “mandatory reconsideration”. You must do this within one month. You cannot appeal directly to HMCTS. The DWP will send their decision to the claimant within 28 days but will not pass it onto the HMCTS.

If you are unhappy with the outcome of the DWP's reconsideration, you can then appeal directly to HMCTS within one month of the decision. This is called “direct lodgement”.

What benefits will they apply to and when?

The new rules will apply to:

• Personal Independence Payment from 8 April 2013, in those Northern areas where PIP has been introduced for new claims. This includes Newcastle
• Universal Credit pilot areas on 29 April 2013 (Newcastle is not a pilot area)
• all benefits from 28 October 2013.

Two systems

This means there will be two appeal systems for different benefits, until the new system fully replaces the previous system.

Outside the time limits

If a reconsideration or appeal is made later than one month from the decision, it may be accepted if it is reasonable in the circumstances. The DWP can also consider an ‘any time revision’ request if certain grounds are shown. Seek advice if necessary by calling the Member Support Services helpline on 0345 408 4391 and press option 3 for the Welfare Rights and Guidance Service.

More details

Member Support Services factsheet How to appeal a Personal Independence Payment or Universal Credit decision [PDF 76KB] [see how to access PDF files]

DWP website: http://www.dwp.gov.uk/docs/touchbase-ezine-march-2013.pdf

Changes to Industrial Injuries Disablement Benefit (IIDB) scheme 

The Department for Work and Pensions (DWP) has introduced some changes to the handling of claims made to the IIDB scheme, which is for people who have been involved in an industrial accident in the course of fulfilling their employment duties. Since December 2012, it is no longer required to register the accident with the DWP as a separate action to making a claim for IIDB. If you are injured at work then you need to: 

• complete the whole claim form BI100A
• submit this ideally not later than two months after your the incident occurred.

If you are still experiencing health problems as a result of your injury or illness attributable to your industrial accident 15 weeks after it happened, then you may become eligible for payment of benefit.  Further information can be found in our fact sheet Industrial Injury Benefits.   

Remember: if you are an employee that has been injured at work, seen a dangerous occurrence, or your doctor has certified that you have a work-related reportable disease, you must inform your employer or the person in control of the premises as it is their responsibility to report the incident.  Try to obtain a copy of any incident report for your own records also as you may need this evidence if you decide to pursue certain claims.   

Changes to employment and support allowance

Employment and support allowance (ESA) claimants could be left without any income replacement benefit at all when challenging a decision that they are fit for work, the government has confirmed.  Once the new system of mandatory reconsiderations before appeals is introduced, ESA claimants will lose their right to be paid the assessment rate when they first challenge a decision.

Instead, they will have to try to sign on as available for work and claim Jobseeker’s Allowance (JSA) if unemployed, or manage without either benefit until the reconsideration has been carried out.  Only once an appeal has been lodged will they be able to reclaim ESA.  The decision to refuse to pay ESA during the reconsideration period was confirmed by Lord Freud on 13 February in a House of Lords debate.

There is no time-limit currently imposed for how long the Department for Work and Pensions (DWP) can spend carrying out a mandatory reconsideration. This is of great cause for concern to claimants and the advice sector, as people could be left without any benefit for lengthy periods of weeks or months.   

In addition, some people attempting to claim JSA may find Jobcentre Plus staff will try to refuse to accept their claim on the grounds that, because of their health condition, they are not well enough to satisfy the labour market conditions for claiming JSA - to be available for and actively seeking work.  This may be particularly the case as claimants are likely to be required to continue submitting sick notes in relation to their ESA claim whilst presenting themselves as fit for work in relation to their JSA claim.

Some claimants could find themselves in the difficult position of being found too well to claim ESA but too sick to claim JSA. There is also some confusion about the start date for the new mandatory reconsiderations for ESA.  The DWP and ministerial statements refer to a start date in April for for a new benefit called Personal Independence Payment (PIP), and October 2013 for ESA mandatory reconsiderations.  However, draft regulations give a start date of 8 April for PIP and 29 April for ESA, JSA and universal credit mandatory reconsiderations.

The welfare rights and guidance service is working to get a definitive answer from the DWP regarding the start date for mandatory reconsiderations affecting ESA claimants and we will update you as soon as we have this information.

Changes to child benefit

New rules about child benefit come into force in January 2013 and will reduce the entitlement of over 1 million families. In addition, many of those families will have to adhere to the self-assessment tax process each year with HM Revenue & Customs (HMRC) in order to continue receiving their child benefit. Read MSS guidance on this issue here(PDF 44KB).

New student finance guide 

The RCN has launched a new interactive finance guide for nursing students. Moneysmart provides advice on bursaries, budgeting, benefits and housing as well as top tips on how to make the most of your money.   
 
Take a look (PDF 5.21MB). See how to access PDF files.

The Welfare Reform Bill received royal assent on 8 March 2012 and is now the Welfare Reform Act 2012

Many of the regulations are still only in draft form so there will undoubtedly be many changes implemented following the original proposals of the bill. Some of the changes taking effect soon are listed below. If you would like to find out more about the act, visit the Department of Work and Pensions website. you can do so here www.dwp.gov.uk/policy/welfare-reform/

Contribution-based ESA

From April 2012 new legislation comes into force that time-limits the entitlement of contribution-based ESA to 12 months, for those claimants in the Work Related Activity Group. After 12 months these claimants will be expected to claim income-related ESA - this is a means-tested payment.

This rule will be for new claimants and also backdated for existing claimants across 365 days. For example: John first claimed contribution-based ESA on 30 April 2011 and is in the Work Related Activity Group of claimants. He receives notification from the DWP that his entitlement to contribution-based ESA ends on 30 April 2013 and asked if he wants to be considered for income-related ESA.

• Claimants affected by this rule who have income from another sources such as pension or a partner's income will either receive a reduced amount of income-related ESA or may lose entitlement altogether. Capital will also affect entitlement.  
• If you are appealing a decision that you are fit for work, you receive employment and support allowance at the assessment phase rate. Your contribution-based employment and support allowance will be subject to time-limiting. You will also be subject to time-limiting if you are appealing against a decision to place you in the work related activity group.
• If your appeal is successful, you will be paid arrears for the time you were appealing, including any time that you were not receiving contribution-based employment and support allowance because it was time-limited.
• If you move into the support group following your appeal, your employment and support allowance will not be time-limited. This means the time you spent appealing, and the assessment phase immediately before this, will not count towards your 365 day time-limit if you move out of the support group in the future.
• Claimants being transferred from incapacity benefit to contribution-based ESA start their 12-month entitlement period at the point of successful migration on to ESA.
• Those claimants placed in the support group remain entitled to receive contribution-based ESA. 
  

Important news of changes to ESA decision making process

From 31 October 2011, decision makers at the Department for Work and Pensions will be calling new claimants of ESA and those being reassessed through the Work Capability Assessment, if their claim is likely to be unsuccessful.

The decision maker should call the claimant to check that they have all the available evidence and to explain what will happen next with the claim.

Here are some useful points if you are called by a decision maker about your claim.

1. Ask the decision maker to write to you with their questions. However, they may decline to do this.
2. Ask if they have been in touch with any health care professionals you listed on your ESA50, if you haven't already provided evidence from them as part of your claim.
3. If the decision maker has not contacted the relevant health care professionals you named on your ESA50, ask them why not and stress that their failure to do so may form part of your grounds of appeal.
4. Ask if the call is being recorded and if it is, request a copy of the transcript. If it isn't, ask the decision maker for a copy of any notes they make of your conversation.
5. Make your own notes of the conversation if you are able. You could record it also as you do not need permission to do this if the recording is for your own personal use; you may need this information as part of your appeal.
6. If your claim is unsuccessful you can appeal the decision and we can advise and assist you by providing paper representation, preparing a written submission for your appeal - current statistics show that around 40 per cent of appeals are successful. The Welfare Rights and Guidance Service currently operates a 100 per cent success rate with ESA appeals on behalf of our members.

State retirement pension

From 2020 the state retirement age will increase to 66 for both men and women.

Pension credit 

Entitlement to Pension Credit is now in line with the rise of retirement age for State Retirement Pension. The maximum savings credit award is to be frozen for four years. 

Working tax credit (WTC)

From 6 April 2012 new regulations come into force that will bring changes of entitlement to some people in receipt of tax credits.

• Couples claiming tax credits must work 24 hours per week between them to qualify, with one working at least 16 or more hours per week. 
• There will be no protection for couples already receiving WTC because one is working 16-23 hours a week. They will lose entitlement unless they can increase their working hours.
• There is an exemption for couples where the non-working partner is receiving specified benefits for illness or disability, in hospital or in prison.
• Couples where there is a disabled worker, or a worker aged 60 or over, will still qualify by working at least 16 hours a week.
• If income in 2012/13 is reduced to lower than that of 2011/12 by more than £2,500, tax credits will be increased but only after adding £2,500 to the current year's income for example Ian's income in 2011/12 was £14,000. In 2012/13 it reduces to £7,000 so his tax credits for 2012/13 will be based on income of £9,500.  
• Fifty plus rules are abolished and there is no protection for people who were entitled under the rules for part of 2011/12 - they will lose entitlement to this element of WTC from 6 April 2012 unless they fall into one of the other categories of eligibility.

Child tax credit (CTC)

Many middle income families who have been in receipt of CTC at the family element only (£545 a year) will lose their entitlement from April 2012. This is a result of the second income threshold of £40,000 being abolished.

From 6 April 2012, new claims for tax credits can only be backdated 31 days - this is reduced from 93 days. There are some exceptions to this for WTC claims.   

Seek advice from the Welfare Rights and Guidance Service if you feel you may be affected by these changes.  

Universal credit

Universal Credit will be introduced in October 2013. We have recently produced a briefing sheet about Universal Credit which highlights the main changes that the introduction of this benefit will introduce. Regulations are still being made so we will publish more detailed guidance about this in the coming months. You can find a copy of the Universal Credit briefing sheet on our factsheets page. 

Contact the RCN for support

The RCN Welfare Rights and Guidance service assists members in making benefit claims and appealing benefit decisions. If you need advice about welfare benefits or are concerned about the impact of the changes due through the introduction of the Welfare Reform Act 2012 upon your benefit entitlement, you can contact us on 0345 408 4391 (press option 3) or mss@rcn.org.uk.