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Legislation Changes

Legislation changes that could affect you!

 

From Jan 2012 the LHA rate changes if you are single & under 35:

The Government is planning to change the rules that apply to single people living in self-contained accommodation and aged 25 or more, but under 35. This means that they will only be entitled to the lower rate of Housing Benefit for a room in shared accommodation.

 

If you are single and aged 25 or more, but under 35, when your Housing Benefit Local Housing Allowance (LHA) is reassessed from January 2012 onwards, this change will apply to you, unless you are covered by one of the exemptions. The change means that, instead of the LHA rate referred to above, you would move onto the LHA rate for shared accommodation in your area, which may be much lower.

 

The details of the change will not be known until they are agreed in Parliament later this year. Even when this happens we will not be able to tell you the exact rate for shared accommodation, as this varies from month to month. However, the current shared accommodation rate for your area can be found within;

our Local Housing Allowance page this will give you an indication of the likely rate next year.

 

There is more information about the change and about the current shared accommodation rates in different parts of the country at the Direct Gov website – DirectGov (under local housing allowance).

 

 

From April 2011 LHA new claims will:

 

From 1 April the way that the maximum rent (LHA) is calculated is changed so that;

  • the £15 weekly HB excess that some customers receive, is removed. 
  • the maximum LHA rate is for a 4 bedroom property instead of a 5 bedroom property.
  • LHA weekly rates in any area can not be more than;

o     £250 for a one bedroom property,

o     £290 for a two bedroom property,

o     £340 for a three bedroom property,

o     £400 for a four bedroom property. 

 

LHA rates are set at the 30th percentile of rents in the area rather than at the median so that about 3 in 10 properties for rent in the area should be affordable to people on HB rather than every 5 in 10 properties as now.

 

The changes will affect new customers from 1 April 2011.

 

Existing customers will normally be affected from the anniversary of their claim but they could receive up to nine months transitional protection.

 

Additional bedroom for a non-resident carer

 

The regulations are amended to allow for an additional bedroom for a
non-resident carer in the size criteria for all private rented sector cases when the customer or their partner is a person who requires over night care.

 

Changes to Tax Credits

  • From April 2011, the basic and 30 hour elements of the Working Tax Credits will be frozen for three years.
  • The costs that parents can claim through the childcare elements of Working Tax Credits will be reduced from 80 per cent to 70 per cent.
  • The child element of Child Tax Credits will increase by £30 above indexation in 2011/12 and £50 in 2012/13 above indexation.
  • The additional element in Child Tax Credit paid when a child under the age of one is included in the assessment (also known as the baby element) will be abolished.
  • All the current and new 2011 rates can be found on the HMRC website: http://www.hmrc.gov.uk/rates/taxcredits.htm

 

Baby Premium

From April 2011 there will no longer be an additional family premium rate for a child aged less than one within the Housing & Council Tax Benefit.

 

 

Changes from 1st November 2010

 

Changes to the Housing Benefit & Council Tax Benefit Decision & Appeals Regulations

 

A person affected by a decision may request a written statement of reasons about anything that was not explained in the decision notice. From 01/11/10 the time limit for applying for a written statement of reasons, when one has not been provided with the decision notice, is 1 month from the date of the notification of that decision.

 

Changes from 1st October 2010

 

Increase to the higher permitted work disregard from October 2010

 

To allow customers to take full advantage of the increase and continue to work for up to 16 hours a week, the upper permitted work earnings limit in Incapacity Benefit, Severe Disability Allowance and Employment & Support Allowance will increase from £93 to £95 per week from 1 October 2010. This means that

 

  • for existing HB/CTB claims the higher permitted work disregard will increase from £93 to £95 a week, effective from 4 October 2010, and
  • for all new or repeat HB/CTB claims made, or treated as made, on or after 1 October 2010, the          higher permitted work disregard is £95 a week.

 

Changes from September 2010

 

Student Uprating 2010/2011

DWP will not increase the disregards for books, equipment and travel for the 2010/2011 academic year. (see also below Changes from 1st September 2009 – Student annual increase in disregarded income)

 

Changes from April 2010

 

Equalization and extension of State Pension Age

The State Pension age for women is set to increase from 60 to 65, starting in April 2010 and ending in April 2020. The changes to Housing/Council Tax Benefit will come into force from 6 April 2010 in line with the start of the equalization of the State Pension age.

 

Permitted work disregard

The changes will allow Housing Benefit and Council Tax Benefit customers who are also claiming contributory Employment and Support Allowance (ESA(C)), Incapacity Benefit (IB) or Severe Disablement Allowance (SDA) to have their earnings from permitted work disregarded to the same level in Housing/Council Tax Benefit as in income-related Employment and Support Allowance.

 

Changes from 2nd November 2009

 

Child Benefit income disregard

Child Benefit income will be fully disregarded in the assessment of both Housing & Council Tax Benefits from 

2nd November 2009. This means that families could receive increases in their entitlement, in some cases up to the maximum amount payable.

 

Increase in capital limits for pensioners

The capital threshold in Pension Credit and pension age Housing Benefit and Council Tax Benefit will increase from £6,000 to £10,000 from 2nd November 2009 (the threshold for those permanently resident in care homes remains unchanged at £10,000).

 

A customer’s assumed income from their capital (tariff income) will be calculated on the basis of £1.00 for each £500 (or part thereof) of capital in excess of £10,000.

 

This may affect other benefits that you receive from the Pension Service.  If you have any queries regarding these benefits please contact the Pension Servce direct on telephone number: 0845 6060265.

 

If you have never claimed before click here for further information.

 

If you are already receiving housing or council tax benefit, you do not need to do anything.

Your entitlement will automatically be reassessed from 2nd November 2009.

 

Changes from 1st September 2009

 

Student annual increase in disregarded income

Effective from 1st  September 2009, unless the period of study starts earlier, then 1st August.

 

  • Increases in the amounts of grant and loan income to be disregarded in respect of travel costs and the costs of books and equipment.
  • Increases disregard  from student loan for travel costs, from £295 to £303.
  • Increases disregard from student loan for books and equipment, from £380 to £390.

 

Contacts

 

Benefit Enquiries                                                    Revenues & Benefits            
Telephone: (01902) 696668 South Staffordshire Council
Fax: (01902) 696630 P.O. Box 1644
Email: benefits@sstaffs.gov.uk Wolverhampton
  WV8 1ZF
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Tel: 01902 696000

Email: info@sstaffs.gov.uk