The Impact of Welfare Reform in Scotland - Tracking Study - Year 1 Report - Appendices
The aim of the study is to explore the impact of on-going welfare changes on a range of households in Scotland over time. This report provides the findings from the first year of the study by presenting results from the first two sweeps of interviews. Sweep 1 took place from September 2013 to January 2014 and sweep 2 took place from April 2014 to July 2014
Appendix 1 Key Welfare Reforms
Table A1.1: An overview of welfare reforms and when they were implemented
| REFORM |
EFFECTIVE FROM |
|---|---|
| SYSTEM WIDE |
|
| Uprate working age benefits by 1% for 3 years - personal and couple allowances of Income Support, income-based JSA, Housing Benefit; personal rate of contributory JSA; basic rate and Work Related Activity Component of ESA (income-based and contributory); Child Benefit; Statutory Sick, Maternity, Paternity and Adoption Pay; basic, 30 hour, second adult and lone parent element of Working Tax Credit; the child element of Child Tax Credit. |
From April 2013, for 3 years |
| Switch uprating of disability benefits - DLA, Attendance Allowance, Carers Allowance, IB (for those still on it) - from RPI/Rossi to CPI |
Permanently, from April 2011 |
| Household benefit cap - £500 for a couple or single parent, £350 for a single person (some exceptions - e.g. households receiving DLA, Attendance Allowance, or the support component of ESA, and those in receipt of Working Tax Credits) |
Pilot from April 2013, national rollout from July to September 2013 |
| Introduce Universal Credit to replace income-based JSA and ESA, Income Support, Working and Child Tax Credits and Housing Benefit with a single monthly payment |
Pilot from April 2013, national rollout due "during 2016" |
| Appeal only allowed after revision considered by DWP |
For decisions made after 28 October 2013 |
| Introduction of £50 civil penalty for overpayment recovery where this was caused by claimant negligence in reporting change in circumstances |
From October 2013 |
| Welfare cap - an expenditure limit on total welfare spending (some exceptions - e.g. JSA and its passported Housing Benefit) |
From April 2015/16 |
| Abolition of Community Care Grants and Crisis Loans, replaced with local welfare schemes - local authorities currently delivering an interim Scottish Welfare Fund, legislation in progress to put this on a statutory footing |
From 1 April 2013 |
| HOUSING |
|
| All Housing Benefit and Council Tax Reduction claimants |
|
| Increase Housing Benefit deductions for non-dependent residents, so that by 2014 they are in line with where they would be if they had risen with rents instead of being frozen in 2001. Future increases in line with prices. |
From April 2011 |
| LHA claimants in the private rented sector |
|
| Set LHA at 30th percentile of local rents instead of 50th, with national caps on rates |
From April 2011 |
| Abolish entitlement to keep up to £15 per week if LHA > rent |
From April 2011 |
| Uprate LHA in line with CPI instead of local rents, and by 1% for 2 years from April 2014 |
From April 2013 |
| Cut LHA to shared room rate for 25-34 year olds with no dependent children |
January 2012 |
| Increase LHA by 1% for 2 years except in areas of highest rent growth |
April 2014 |
| Housing Benefit claimants in the social rented sector |
|
| Cut housing benefit for those under-occupying social rented properties |
April 2013 |
| Owner occupiers and leaseholders |
|
| Support for Mortgage Interest - set standard rate at which mortgage interest is paid at average Bank of England rate (currently 3.63% - previously frozen at 6.08%) |
October 2010 |
| Council tax benefit |
|
| Replace CTB with local rebate schemes and reduce Treasury funding by 10% |
April 2013 |
| DISABILITY |
|
| Move IB claimants onto ESA, including introduction of more stringent medical testing (the Work Capability Assessment) |
October 2010 |
| Contributory ESA time limited to 1 year for those in WRAG |
May 2012 |
| Introduction of conditionality and toughening of sanctions regime for those in ESA WRAG |
December 2012 |
| Replace DLA with PIP for those aged under 65; introduction of an assessment with a healthcare professional, abolition of middle rate, greater targeting on those most in need of support with estimated reduction in overall caseload |
Pilot April 2013, new claimants from June 2013, renewals or changes from October 2013, rollout of reassessment October 2015 to be completed by October 2018 |
| UNEMPLOYMENT |
|
| Replacement of existing active labour market programmes with the Work Programme |
June 2011 |
| Toughening of sanctions regime for JSA clients |
October 2012 |
| Introduction of Help to Work |
April 2014 |
| BENEFITS FOR FAMILIES AND LOW INCOME HOUSEHOLDS |
|
| Tax credits |
|
| Freeze basic and 30 hour elements of WTC for 3 years |
April 2011 |
| Freeze couple and lone parent element of WTC for 2 years (?) |
April 2012 |
| Increase hours requirement for WTC from 16 to 24 for couples with children |
April 2012 |
| Reduce proportion childcare costs covered by tax credits from 80% to 70% |
April 2011 |
| Withdraw family element of child tax credit immediately after withdrawing other elements (rather than once income > £50,000) |
April 2011 |
| Increase tax credit withdrawal from 39% to 41% |
April 2011 |
| Increase child element of CTC by £180 above inflation |
April 2011 |
| Remove baby element of CTC |
April 2011 |
| Reduce backdating period from 3 months to 1 month |
|
| Child Benefit |
|
| Freeze child benefit for 3 years |
April 2011 |
| Uprate child benefit by 1% for 2 years |
April 2014 |
| Taper child benefit at (individual) incomes over £50,000 to zero at incomes over £60,000 |
January 2013 |
| Other family allowances |
|
| Restrict Sure Start Maternity Grant to first birth |
April 2011 |
| Single parents |
|
| Reduce age of youngest child at which lone parents must move onto JSA to 5 |
May 2012 |
| Increased Income Support conditionality |
April 2014 |
| Replacement of CSA with CMS |
December 2012 |
Contact
There is a problem
Thanks for your feedback