Benefit Changes
posted: 20/11/2008
Services Adviser Dunkan MacLean looks at Employment Support Allowance which will affect many people with HIV.
Employment and Support Allowance (ESA) is the new benefit for people who are sick or disabled. It started in October and replaces Incapacity Benefit and Income Support.
Over the next 2-3 years everyone already on Incapacity Benefit will be transferred to ESA. This is a firm part of the government’s welfare to work plans. But for now, Employment and Support Allowance only affects new claimants. It will need a law change before those already on Incapacity Benefit can be moved to ESA.
ESA aims to give more support to people who are sick or disabled to enable them to work as soon as possible, rather than settle into long term sickness. For most people, claiming this will feel like there are many more hoops to get through than before. New claimants will have to pass a tough new test to identify the sort of jobs you may be able to do, despite your ill health or disability. Most people will have their benefits cut if they don’t attend interviews with jobs advisers.
The government hopes the mix of more back-to-work help and penalties will cut the number of people on sickness benefits by one million, down from about 2.6 million now.
Target: one million to lose Incapacity Benefit
In a recession, because there aren’t enough suitable jobs being created, cutting the numbers getting sickness benefits by one million will mean many people who are now on incapacity benefit will find themselves switched from ESA to Job Seekers Allowance.
After making a claim by phone you start a 13-week assessment phase. During this time you get the basic rate of £60.50 a week for a single person aged 25 or over (under 25s get less, couples may get more).
A doctor or nurse working for the department for work and pensions, never your own GP, carries out a Work Capability Assessment, which looks at how illness or disability affects your ability to work and do everyday things. This Assessment uses a system of 46 “descriptors” - things that may affect people’s overall work abilities and health. This is a tougher version of the system that is already used for Incapacity Benefit. Many will fail to score enough points now and will then face new, additional tests.
Roughly 8 weeks from claiming, most people will then have a work focused interview. A personal adviser will discuss your benefit claim, your views on returning to work, and the package of support you may need to get into work.
ESA for only 13 weeks then Job Seekers Allowance?
At the end of the 13 weeks of Assessment you will either stay on ESA, or your claim will end and you will have to claim Job Seekers Allowance instead. This means living on just £60.50, and proving you are actively looking for work each week.
If you are allowed to stay on ESA after the first 13 weeks, you are put into either Support or a Work-Related Activity “groups”. How much you will now be paid depends both on the group you’re put into and your National Insurance contributions. Some people will also be able to claim income-based top-up payments, called premiums.
If you are put into the Work-Related Activity group, you will have to attend monthly work-focused interviews with your personal adviser for five months and your benefit rises to £84.50 a week (more for some couples). The firm aim is to get you back into work and you will be given an action plan. Personal advisers will discuss the types of work that you might do and can send you for employment support sessions, training courses and “condition-management” support.
If instead they decide you really cannot do any work, you will join the Support group. ESA is then £89.50 a week but many people will also be paid income-based top-ups.
ESA is much more complicated than Incapacity Benefit. A big rise in appeals is expected. ESA is expected to cause problems especially for people with variable but serious long-term conditions, such as HIV. Most people’s claims run smoother with expert advice. Manchester Welfare Rights service runs advice sessions here - book one by calling us on 0161 274 4499.
Official guide: www.dwp.gov.uk/esa
Helpful ESA factsheet: www.disabilityalliance.org/f31.htm
Citizens Advice Bureaux: www.adviceguide.org.uk
Insight 46 full issue
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