Reintroduction of the universal credit minimum income floor

New DWP guidance

The DWP has issued new guidance in relation to the reintroduction of the universal credit minimum income floor (MIF).

In ADM Memo 15/21, published today, the DWP sets out guidance to decision makers on the procedures to be followed as a result of the ending of the temporary Covid-19-related suspension of the MIF by the Universal Credit (Coronavirus) (Restoration of Minimum Income Floor) Regulations 2021 (SI.No.807/2021) which came into force on 31 July 2021.

In particular, the DWP advises that -

'... with the exceptions given in paragraphs 1(c) and (d) of regulation 2 of the Social Security (Coronavirus) (Further Measures) Regulations 2021, decision makers should continue to follow the guidance in ADM Memo 04/20 up to and including 31 July 2021.'

The DWP goes on to say that, where the MIF easement is being applied to a claimant from 31 July 2021, the decision maker must, subject to the exception below, cease to apply that easement from the assessment period immediately after the assessment period in which the following conditions are met -

• the Secretary of State has determined that the claimant continues to be in gainful self-employment; and
• if the claimant was in a start-up period on 1 March 2020, the same number of complete months of that period that remained on that date have elapsed since the determination that they continue to be in gainful self-employment.

The exception to this, the DWP advises, is that the Secretary of State may continue to apply the MIF easement after the assessment period in which these conditions are met if it appears that the trade, profession or vocation carried on by the claimant remains adversely affected by the outbreak of coronavirus (though not for more than two consecutive assessment periods on a single occasion and not for more than six assessment periods in total).

ADM Memo 15/21 is available from gov.uk