Welfare Reform Bill

House of Commons

Session 2005 - 06
Internet Publications
Other Bills before Parliament

Welfare Reform Bill

Welfare Reform Bill
Schedule 4 — Transition relating to Part 1
64

Schedule 4
Section 26

Transition relating to Part 1
Pre-commencement claims
1
Regulations may—
(a)
make provision for a claim for an existing benefit which is made
5
before the appointed day to be treated wholly or partly as a claim for
an employment and support allowance;
(b)
make provision for the purpose of enabling claims for an
employment and support allowance to be made before the
appointed day for a period beginning on or after that day.
10
Post-commencement claims
2
Regulations may—
(a)
make provision excluding the making of a claim for an existing
benefit on or after the appointed day;
(b)
make provision for a claim which is made on or after the appointed
15
day in circumstances where the making of a claim is excluded by
virtue of regulations under sub-paragraph (a) to be treated as a claim
for an employment and support allowance;
(c)
make provision for a claim for an employment and support
allowance to be treated wholly or partly as a claim for an existing
20
benefit;
(d)
make provision excluding the making of a claim for an employment
and support allowance by a person who is entitled to an existing
benefit.
Award of employment and support allowance for pre-commencement period
25
3
Regulations may—
(a)
make provision for an employment and support allowance to be
awarded in prescribed circumstances for a period before the
appointed day;
(b)
make provision with respect to conditions of entitlement in relation
30
to an award under sub-paragraph (a) and the amount payable by
way of an allowance under such an award.
Matching of awards of employment and support allowance
4     (1)
For the purposes of this paragraph, an award of an employment and support
allowance is one that falls to be made on matching terms if—
35
(a)
it is made in pursuance of a claim by a person who was previously
entitled to an existing benefit,
(b)
but for regulations under paragraph 2(a), he could have made a
further claim for that benefit, and
(c)
an award in pursuance of the further claim would have been made
40
on the basis of the linking of periods of incapacity for work.
      (2)
Regulations may—

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Schedule 4 — Transition relating to Part 1
65

(a)
make provision for the purpose of securing that an award of an
employment and support allowance that falls to be made on
matching terms is made on terms which match in whole or part the
award that would have been made in pursuance of a further claim to
the existing benefit;
5
(b)
make provision for the modification of matched awards for the
purpose of securing that the person with the award is put in the
position he would have been had he been made an award of the
existing benefit which was then the subject of conversion under
paragraph 6.
10
      (3)
In sub-paragraph (2)(b), the reference to matched awards is to awards of an
employment and support allowance that have been the subject of matching
in pursuance of regulations under sub-paragraph (2)(a).
5     (1)
For the purposes of this paragraph an award of an employment and support
allowance is one which falls to be made on matching terms if—
15
(a)
it is made in pursuance of a claim by a person who was previously
entitled to an existing benefit,
(b)
had he continued to be entitled to that benefit, his award would have
been the subject of conversion under paragraph 6 before the date of
his claim for an employment and support allowance,
20
(c)
but for regulations under paragraph 2(a), he could have made a
further claim for that benefit, and
(d)
an award in pursuance of the further claim would have been made
on the basis of the linking of periods of incapacity for work.
      (2)
Regulations may make provision for the purpose of securing that an award
25
of an employment and support allowance that falls to be made on matching
terms is made on terms which match in whole or part the award that would
have resulted from conversion under paragraph 6 had entitlement to the
existing benefit continued.
Treatment of awards of existing benefit
30
6     (1)
Regulations may—
(a)
make provision for converting existing awards into awards of an
employment and support allowance, and with respect to the terms of
conversion;
(b)
make provision for the termination of existing awards in prescribed
35
circumstances.
      (2)
Regulations under sub-paragraph (1)(a) may, in particular—
(a)
make provision for conversion of an existing award—
(i)
on application, in accordance with the regulations, by the
person entitled to the award, or
40
(ii)
without application;
(b)
make provision about the conditions to be satisfied in relation to an
application for conversion;
(c)
make provision about the timing of conversion;
(d)
provide for an existing award to have effect after conversion as an
45
award of an employment and support allowance—
(i)
of such a kind,
(ii)
for such period,

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Schedule 4 — Transition relating to Part 1
66

(iii)
of such an amount, and
(iv)
subject to such conditions,

as the regulations may provide;
(e)
make provision for determining in connection with conversion of an
existing award whether a person has limited capability for work-
5
related activity.
      (3)
Regulations under sub-paragraph (1)(a) may, in relation to existing awards
which have been the subject of conversion under this paragraph, include
provision about revision under section 9 of the Social Security Act 1998
(c. 14), or supersession under section 10 of that Act in respect of the period
10
before conversion.
      (4)
In this paragraph, “existing award” means—
(a)
an award of incapacity benefit under section 30A of the
Contributions and Benefits Act;
(b)
an award which has effect by virtue of regulation 17(1) of the Social
15
Security (Incapacity Benefit) (Transitional) Regulations 1995 (S.I.
1995/310) as if it were an award of long-term incapacity benefit
(former invalidity benefit);
(c)
an award of severe disablement allowance under section 68 of that
Act;
20
(d)
an award of income support under section 124 of that Act by virtue
of paragraph 7(a) or (b) of Schedule 1B to the Income Support
(General) Regulations 1987 (S.I. 1987/1967) (income support on
grounds of incapacity for work).
Transitional allowances
25
7
Regulations may—
(a)
make provision for a person’s continuing entitlement to an
employment and support allowance awarded by virtue of
regulations under paragraph 6 (a “transitional allowance”) to be
determined by reference to such provision as may be made by the
30
regulations;
(b)
make provision for the review of an award of a transitional
allowance;
(c)
make provision for the termination of an award of a transitional
allowance;
35
(d)
make provision for this Part to have effect with prescribed
modifications in relation to a person with a transitional allowance;
(e)
make provision for the purpose of enabling a transitional allowance
to be revised under section 9 of the Social Security Act 1998 or
superseded under section 10 of that Act.
40
8     (1)
Regulations may prescribe circumstances in which a person who is entitled
to a transitional allowance immediately before reaching pensionable age is
to be treated as having satisfied the condition in paragraph 5(2) of Schedule
3 to the Contributions and Benefits Act (first contribution condition for
entitlement to state pension).
45
      (2)
In this paragraph, “pensionable age” has the meaning given by the rules in
paragraph 1 of Schedule 4 to the Pensions Act 1995 (c. 26).

Welfare Reform Bill
Schedule 5 — Minor and consequential amendments relating to Part 2
67

Post-commencement up-rating of incapacity benefit and severe disablement allowance
9
Regulations may provide for section 150 of the Administration Act (annual
up-rating of benefits), so far as relating to—
(a)
incapacity benefit under section 30A of the Contributions and
Benefits Act, or
5
(b)
severe disablement allowance under section 68 of that Act,

to have effect with prescribed modifications in relation to tax years
beginning on or after the appointed day.
Interpretation
10
In this Schedule—
10
“appointed day” means the day appointed for the coming into force of
section 1;
“existing benefit” means—
(a)
incapacity benefit under section 30A of the Contributions and
Benefits Act,
15
(b)
severe disablement allowance under section 68 of that Act,
and
(c)
income support under section 124 of that Act by virtue of
paragraph 7(a) or (b) of Schedule 1B to the Income Support
(General) Regulations 1987 (S.I. 1987/1967);
20
“transitional allowance” has the meaning given by paragraph 7(a).
Schedule 5
Section 37

Minor and consequential amendments relating to Part 2
Social Security Contributions and Benefits Act 1992 (c. 4)
1     (1)
The Contributions and Benefits Act is amended as follows.
25
      (2)
In section 123(4) (income-related benefits), for the words before paragraph
(a) substitute “Each billing authority and in Scotland each local authority”.
      (3)
In section 130(2) (housing benefit: qualifying payments), for paragraph (a)
substitute—
“(a)
payments to a billing authority or to a local authority in
30
Scotland in respect of council tax;”.
      (4)
In section 137(1) (interpretation of Part 7), after the definition of “industrial
injuries scheme” insert—
““local authority” in relation to Scotland means a council
constituted under section 2 of the Local Government etc.
35
(Scotland) Act 1994;”.
Social Security Administration Act 1992 (c. 5)
2
The Administration Act is amended as follows.
3
In section 134 (arrangements for housing benefit)—

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Schedule 5 — Minor and consequential amendments relating to Part 2
68

(a)
in subsection (8)(a) before “war” in each place insert “prescribed”;
(b)
in that subsection omit “or surviving civil partner’s”;
(c)
after subsection (13) insert—
“(14)
In this section “war widow’s pension” includes any
corresponding pension payable to a widower or surviving
5
civil partner.”
4
In section 139 (arrangements for council tax benefit)—
(a)
in subsection (6)(a) before “war” in each place insert “prescribed”;
(b)
in subsection (11) omit the definition of “war disablement pension”
and for the definition of “war widow’s pension” substitute—
10
““war widow’s pension” includes any corresponding
pension payable to a widower or surviving civil
partner.”
5
In section 139E (information about attainment of standards), in subsection
(1)—
15
(a)
for “section 139D(3)” substitute “section 139D(3A) or (3B)”;
(b)
after paragraph (a) insert—
“(aa)
whether the authority has taken the action which it
has been directed to take;”;
(c)
in paragraph (b) after “those standards” insert “or take that action”.
20
6     (1)
Section 139F (enforcement notices) is amended as follows.
      (2)
In subsection (1)—
(a)
for “section 139D(3)” substitute “section 139D(3A) or (3B)”;
(b)
after paragraph (a) insert—
“(aa)
is not satisfied that the authority has taken the action
25
which it has been directed to take;”;
(c)
in paragraph (b) after “those standards” insert “or take that action”.
      (3)
In subsection (2)(a), after “paragraph (a)” insert “, (aa)”.
      (4)
In subsection (4), at the beginning insert “If the notice identifies directions
under section 139D(3A),”.
30
      (5)
After subsection (4) insert—
“(4A)
If the notice identifies directions under section 139D(3B), the
authority’s response shall either—
(a)
state that the authority has taken the action, or is likely to take
it within the time specified in the directions, and justify that
35
statement; or
(b)
state that the authority has not taken the action, or is not
likely to take it within that time, and (if the authority wishes)
give reasons why a determination under section 139G below
should not be made or should not include any particular
40
provision.”
7     (1)
Section 139G (enforcement determinations) is amended as follows.
      (2)
In subsection (1)—
(a)
in paragraph (a) after “the standards” insert “or taken the action”;
(b)
in paragraph (b) after “those standards” insert “or take that action”.
45

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Schedule 5 — Minor and consequential amendments relating to Part 2
69

      (3)
In subsections (3) and (5)(c), after “the standards” insert “or the taking of the
action”.
8     (1)
In section 140A(2)(c) (subsidies to certain authorities), for “or levying
authority” substitute “and to each local authority in Scotland”.
      (2)
Sub-paragraph (1) must be taken to have had effect from 1 April 1997 (the
5
date of the coming into force of section 140A of that Act).
9
In section 140B(5A) (calculation of amount of subsidy), for “section 139D(3)”
substitute “section 139D(3A) or (3B)”.
10
In section 191 (interpretation), in the definition of “prescribe” at the end
insert “and “prescribed” must be construed accordingly”.
10
Local Government etc.(Scotland) Act 1994 (c. 39)
11
In Schedule 13 to the Local Government etc. (Scotland) Act 1994 (minor and
consequential amendments)—
(a)
paragraph 174(4) is omitted;
(b)
paragraph 175(3) extends also to England and Wales and,
15
accordingly, the amendments made by that sub-paragraph extend
also to England and Wales.
Housing Act 1996 (c. 52)
12
In section 122(5) of the Housing Act 1996 for “regulations or order as are
mentioned in subsection (3) or (4)” substitute “order as is mentioned in
20
subsection (4)”.
Child Support, Pensions and Social Security Act 2000 (c. 19)
13
In Schedule 7 to the Child Support, Pensions and Social Security Act 2000
(housing benefit and council tax benefit: revisions and appeals), in
paragraph 1(2), after paragraph (b) insert—
25
“(c)
a decision of a relevant authority under or by virtue of
section 75 or 76 of the Administration Act that an amount
of housing benefit or council tax benefit is recoverable;”.
Civil Partnership Act 2004 (c. 33)
14
In Schedule 24 to the Civil Partnership Act 2004 (amendments relating to
30
social security, child support and tax credits), omit paragraph 65.