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Re: Adult dependency increase ending in April 2020

shawn mach
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We’ve been contacted by the DWP to advise that they’re sending out letters to claimants who may be affected by the state pension adult dependency increase ending in April 2020.

They’ve shared the following with us to help in dealing with any queries you may get:

State Pension Adult Dependency Increase Cessation: Key information

Background

Adult Dependency Increase (ADI) is a payment for a claimant who has a financially dependent partner. The claimant may be getting this as part of their State Pension. ADI closed to new applicants in 2010 but continued to be paid to existing claimants.

From 6 April 2020 all ADI payments will stop. If claimants are getting ADI now, they’ll keep getting it until then as long as they continue to satisfy the qualifying rules. When payments stop they may be eligible to apply for Pension Credit or Universal Credit.

The Department for Work and Pensions is writing to people who are affected by this change. The majority live in the UK, with the remaining recipients living overseas.

Why is Adult Dependency Increase (ADI) ending?

Adult Dependency Increase (ADI) was introduced many years ago when many households had a male main income earner and a dependent wife.

Adult Dependency Increases bridged the gap between the man reaching State Pension Age and the wife reaching State Pension Age. This is no longer the way the average household is set up and men and women are now being treated the same within the benefit system.

When is ADI ending?

The changes introduced by the Pensions Act 2007 meant that no new claims to Adult Dependency Increase could be made from 6 April 2010.  Existing claimants could carry on getting their Adult Dependency Increase until 5 April 2020 as long as they continued to satisfy the qualifying rules.

All payments of Adult Dependency Increase will stop from 6 April 2020.

How much will State Pension be reduced by?

This will have been included in the letter sent to affected claimants.

Can the decision be appealed?

No, it is not possible to appeal the decision.

Cheers ... Shawn

 

Jessica
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Oddfellows Citizens Advice Manchester

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I’ve just had my first enquiry from a client who is to lose the ADI next year. My client is aged 90, his wife is aged 51. Cl is in receipt of Attendance Allowance. His wife is his carer and does not work/receive any benefits in her own right. DWP advised cl’s wife claims Carers Allowance closer to next April 2020. I’m a little confused by this advice as I can’t see why she should have to wait until then?

[ Edited: 21 Oct 2019 at 03:47 pm by Jessica ]
Daphne
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How much is the ADI? I think it’s usually £70 so worth more than the carer’s allowance so maybe that’s why they advised to wait?

Jessica
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Oddfellows Citizens Advice Manchester

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Hi, thanks for your response. Yes it is £70 but it is his claim not hers?

Paul_Treloar_AgeUK
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Information and advice resources - Age UK

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It’s overlapping benefits rules, see p.1186 of CPAG 2019/20, under heading “Increases in non-means-tested benefits for adults”.

juliem
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Macmillan welfare rights advisor - Barnsley MBC, Barnsley

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Yes it’s overlapping benefits rules, but the DWP caused a great deal of upset and chaos by trying to pay my client’s wife both Adult Dependency Increase and Carer’s Allowance, instead of CA plus £3 odd top up., thus disallowing Pension Credit. They have sorted it out, but it was a stressful few weeks.

Jessica
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Oddfellows Citizens Advice Manchester

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Thanks< I had missed that!

Daphne
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Written answer yesterday confirms that -

As at May 2019, the latest data available, the number of people in receipt of State Pension Adult Dependency Increases was 10,817. At the same date, 2,274 of these persons were also in receipt of either Pension Credit and/or Housing Benefit and may, consequently, be entitled to increases in these benefits.