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Major changes to welfare benefits, present and future
- From 27 October 2008 Incapacity Benefit and Income Support for incapacity have been replaced for new claims with the Employment and Support Allowance (ESA). Claimants who satisfy the National Insurance contribution condition will get Contribution-based ESA while those who don't will get Income-based ESA. Contribution-based ESA can be topped up by Income-based ESA. The only full time disabled students entitled to claim Income-based ESA will be those entitled to Disability Living Allowance.
- From 24 November 2008 lone parents with older children are no longer entitled to Income Support just because they are a lone parent. Instead those who are able to work can claim Income-based Job Seekers' Allowance. The changes were introduced for lone parents whose youngest child was aged 12 and over from 24 Nov 2008, a youngest child aged 10 and over from Oct 2009 and a youngest child aged 7 and over from Oct 2010. It is expected to apply also to a lone parent with a youngest child over 5 from early in 2012.
- This means that a full-time lone parent student who was previously able to claim Income Support during the termtime/summer vacation may no longer be able to do so, depending on their personal circumstances, but will have to be available for work to claim Income-based Jobseekers' Allowance. Transitional rules were brought in so that if, for example, you start your course this Autumn and you were on income support before 25 October 2010 and your youngest child is 6,7,8,or 9, you can still claim income support while you have a child under 10 or until you finish your course or leave it which ever is soonest. If you stop getting income support for any reason you won't be able to reclaim income support if your youngest child is 7 or over.
- During the summer vacation single students who are responsible for a young person (aged 16 or over but under 20 taking a non-advanced education course ie for whom you still receive child benefit ) will be able to claim Income-based Jobseekers' Allowance. This brings lone parents into line with student couples in the same position.
- The Government intends to replace the present benefit structure with a "Universal Credit" from 2013.
- The Government also intends to reform Disability Living Allowance with the introduction of a Personal Independence Payment from 2013.
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| Check out the Find out more about Benefits and Tax Credits section if you need more information about these changes and how they may affect you. |
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