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Forum Home  →  Discussion  →  Universal credit migration  →  Thread

New UC claim - how is SDP compensated?

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unhindered by talent
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Welfare Rights Team, Aberdeenshire Council

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Yes, it was our first thought too, thanks

Cordelia
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Welfare rights officer - Wrexham Council Welfare Rights Team

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To go back to your point about whether to delay a claim, I have just gone through this with a client who has moved into his fist tenancy after living with parents. 

We worked out that he would be approximately £650 worse off by the end of January if he didn’t claim UC, however once he is able to claim HB he will be better off each week.  For him the breakeven point comes in early August 2019, and after that he will be £100 per month better off on the legacy benefits (assuming the DWP doesn’t improve the current plan to pay £80 per month compensation).  I’ve asked him to spend a day or two thinking about it, but I think he will decide to avoid claiming UC and pay his rent from his ESA and PIP until he can claim HB in January.

unhindered by talent
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Crikey, Cordelia! I hadn’t thought that far ahead believing that the regs could be delayed for months but you’re right - it’s another option for him rather than just getting SDP into payment long enough for transitional protection to apply then claiming UC. I wasn’t aware about the £80 per month & thought it would be the full SDP he’d get.

Daphne
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On numbers of UC claimants who have already migrated to UC and might be eligible for retrospective protection under the draft managed migration regs when they come in, Sarah Newton was unable to estimate the number in a written answer yesterday.

However, paragraph 12.7 of the explanatory memorandum to the regs says -

The transitional payments for former SDP claimants who have already moved to UC will benefit c. 7,000 claimants, whom the Department expects to have moved by December 2018.

To be fair the question asked numbers since 7 June 2018 and information in the EM is an estimate of the total. Nevertheless, she could have highlighted it…

Mart
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I have asked Mp’s/Work and Pensions committee, what happens if someone is due SDP but does not get it. In my previous role I identified a few ESA cases and secured substantial arrears, UC will be a much different animal and it may mean sticking in an ESA10 to be safe!

Daphne
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Daphne - 22 January 2019 01:05 PM

On numbers of UC claimants who have already migrated to UC and might be eligible for retrospective protection under the draft managed migration regs when they come in, Sarah Newton was unable to estimate the number in a written answer yesterday.

However, paragraph 12.7 of the explanatory memorandum to the regs says -

The transitional payments for former SDP claimants who have already moved to UC will benefit c. 7,000 claimants, whom the Department expects to have moved by December 2018.

To be fair the question asked numbers since 7 June 2018 and information in the EM is an estimate of the total. Nevertheless, she could have highlighted it…

Marsha de Cordova yesterday raised a point of order querying why the MInister can’t provide the information…

Stuart
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Daphne - 22 January 2019 01:05 PM

On numbers of UC claimants who have already migrated to UC and might be eligible for retrospective protection under the draft managed migration regs when they come in, Sarah Newton was unable to estimate the number in a written answer yesterday.

However, paragraph 12.7 of the explanatory memorandum to the regs says -

The transitional payments for former SDP claimants who have already moved to UC will benefit c. 7,000 claimants, whom the Department expects to have moved by December 2018.

To be fair the question asked numbers since 7 June 2018 and information in the EM is an estimate of the total. Nevertheless, she could have highlighted it…

Sarah Newton now has the numbers (for ESA but not for other benefits)...

To the end of November 2018 there were 13,400 claimants of ESA in receipt of the severe disability premium who had migrated to universal credit…

The Department will explore the scope of an updated ad hoc statistical release for the ESA SDP data which represents the large majority of the SDP claimants.

https://www.parliament.uk/business/publications/written-questions-answers-statements/written-question/Commons/2019-02-01/215614