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CESA time limit, credits only and components in HB/CTB
Hello, just wanted to check whether we are right in expecting people with credits only claims to continue getting the additional ESA components in their HB/CTB applicable amounts?
Also does anyone know what is happening to the claims, we were wondering whether claimants need to do something to ensure they continue with a credits only claim. Do they need to claim ESAir even if they know they aren’t entitled? A colleague in HB seems to think the claims are just being closed down automatically.
Re the first part, yes (there was a recent thread on this but can’t remember which one now)
Re the second part, as far as I can see, whilst client has LCW they should continue to attract credits regardless of whether CB ESA is in payment or has expired (reg 8- SS credit regs). Having said that, I’ve been contacted by a client today who has apparently been told by DWP that if they don’t complete the IR ESA form credits will cease (even though there will clearly be no entitlement as client’s partner works full time) so this does seem to be becoming a bit of an issue.
Thanks for that, I think there may be a take up issue around ensuring people don’t lose the component in their HB/CTB applicable amounts, I am just a bit worried that it may come off automatically once the benefit stops being paid.
We are also receiving enquiries about this issue. Some (a tiny number??) of LAs appear to be withdrawing the WRAC from HB when ESA(C) is due to end under the 365 days rule. They appear to be advance notifying this change in anticipation of the ending of ESA(C) from May given that many claimants have now received their ending of ESA(C) notifications from JCP.
It is not clear how LAs would be aware that ESA(C) was ending unless the claimant also received ESA(IB) or claimant notified HB of ending of ESA(C). JCP are not aware of any process that would automatically notify receipt of and ending of ESA(C) as it is not a ‘passporting’ benefit.
Presumably the number of ‘credits only’ awards of IB/SDA for the DP or ESA for the WRAC addition in HB were previously very small in number. However with a large number of ESA(C) awards about to go ‘credits only’ a large number of ESA and therefore HB awards are potentially affected.
It also raises the question of how JCP will now administer a large number of ‘credits only’ claims for ESA. Will the claims remain ‘live’ on the IT system? However JCP decision letters we have seen do confirm that the claimant will continue to receive NI credits and may have to attend a WCA.
We can see nothing in the regs that suggests entitlement to HB wrac ends when ESA(C) ends - HB Regs, Sch 3. Part 5. Although note the commentary in HB Leg. vol. @ p548 regarding ESA claims that were only for credits from the start.
We can find no recent HB circulars or other info. which suggests wrac should not continue (or indeed confirms that it should or how a LA can confirm an ongoing credits only award of ESA follwing the end of the ESA(C) award.
Another unintended administrative ‘simplification’ following welfare reform?
HB/CTB A3/2012 confirms that where claimants whose ESA(C) has ceased do not move onto income related ESA, they will continue to receive national insurance credits, and that -
‘the availability of credits for such cases means that claimants will continue to qualify for the work-related activity component within their housing benefit/council tax benefit applicable amount, as well as any transitional addition that might have been awarded as a result of incapacity benefit to ESA conversion.’
here’s a link to rightsnet news story (published about a minute ago!) -
http://www.rightsnet.org.uk/news/story/changes-to-contributory-employment-and-support-allowance1/
Just thought I would add another spanner [just discovered] in the works which is going to increase our workload considerably.
Customers who had underlying entitlement to Carers, but not the payment due to ESA CB, will now have to re-apply for Carers Allowance even though they should [in a sensible world] only need apply for payment. None of this is being done automatically.
If their claim for carers allowance was in the past 3 months they will be sent a form asking if bank details are still the same and if there have been any changes in caring etc.
Not so for the people who’s claim for carers was over 3 months ago. They have to re-apply as if they were a new claimant!!!
I checked this with Carers Customer Services and they confirmed this.
I also rang JCP customer services and said they need to make customers aware in the letter stating CB ESA is ending that if they have underlying entitlement to Carers they need to re-apply.
JCP customer services seemed very surprised that this had not been sorted out and shocked no system was in place - surprise, surprise.
Circular HB/CTB A3/2012 covers this issues - good to see welfs were ahead of the DWP on the issue though!
I can understand CAU wanting u/e claimants to complete the ‘short’ form (the one they use to reactivate protective claims following a successsful DLA appeal, etc) but I am alarmed that they are both not picking up the u/e cases automatically and insisting on a new claim being made.
In fact, this whole CB ESA thing is turning into a right mess isn’t it?
“In fact, this whole CB ESA thing is turning into a right mess isn’t it?”
How dare you!!
Chortle!!
Am going try not to think about this or any other of the half-baked, Kafkaesque idiocies which increasingly form our wonderful welf world for the next two days. Only alcohol can save me now.
Clara, a concern I have taken up with our HB/CTB office is over new claims where a person has already had their CESA stopped becasue of the 365 day rule. How will they identify people who should be getting be getting the component in their applicable amount, if the only income mentioned on the claim form is say the partners earnings?
Peter, there is a automatic data transfer system in operation in this area called ATLAS. Jobcentre Plus send change of circumstance info regarding anyone claiming HB/CTB to that office, not just those people on passported benefits. If ATLAS is in operation in your area in may explain the advanced notice of the change you have experienced, although not the wrong approach taken by the HB/CTB offices.
Unfortunately ATLAS is not going to help in the situation I described in my first paragraph, as no Jobcentre Plus benefits are in payment. I think that may require the HB/CTB form being amended to included a question about are you getting NI Credits under ESA rules.
I have been wondering about overpayments of sdp for the person being cared for.
can the DWP argue you have failed to disclose a material fact that has happened to someone else in this case? theres nothing to say a carer would tell the disabled person that there their esa conts had stopped and so came into payment so what would happen to an overpayment?
I think we will find that as a person has to re-claim Carers Allowance to get payment the person being cared for will have to sign the declaration confirming person cares for them. This will then give no arguement for the person getting SDP overpayment.
I have been worried about this whole issue of SDP. Many people allowed carers to make a claim for underlying entitlement knowing they could still get SDP. We know to make them aware of consequences now that people are going to be entitled to payment of carers. Without advise lots of people are going to be very confused.
I think we will find that as a person has to re-claim Carers Allowance to get payment the person being cared for will have to sign the declaration confirming person cares for them. This will then give no arguement for the person getting SDP overpayment.
I have been worried about this whole issue of SDP. Many people allowed carers to make a claim for underlying entitlement knowing they could still get SDP. We know to make them aware of consequences now that people are going to be entitled to payment of carers. Without advise lots of people are going to be very confused.
I think there may still be an argument unless the other persons carers coming into payment is covered under the standard “changes you must tell us about” letter (i dont know if it is or not but i dont think it is).
surely you should only be expected to report material facts that you know about and theres nothing to say that a disabled person will know their carers income. they have already signed a carers form in the past and the dwp send out many forms to benefit claimants, i can see an argument to say that it would be difficult for a person without a lot of experience of the system to know why the new carers allowance form is needed.