Welfare Reform Bill

House of Commons

Session 2008 - 09
Internet Publications
Other Bills before Parliament

Welfare Reform Bill

Welfare Reform Bill
Part 1 — Social security
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(a)
either wholly or to such extent as the regulations may provide,
(b)
either generally or in such cases as the regulations may provide,
and
(c)
either unconditionally or subject to the fulfilment of such
conditions as the regulations may provide.
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(5)
An authorisation given by virtue of any provision made by or under
this section may authorise the exercise of the function concerned—
(a)
either wholly or to such extent as may be specified in the
authorisation,
(b)
either generally or in such cases as may be so specified, and
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(c)
either unconditionally or subject to the fulfilment of such
conditions as may be so specified;

but, in the case of an authorisation given by virtue of regulations under
subsection (2), this subsection is subject to the regulations.
(6)
An authorisation given by virtue of any provision made by or under
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this section—
(a)
may specify its duration,
(b)
may be revoked at any time by the Secretary of State, and
(c)
does not prevent the Secretary of State or any other person from
exercising the function to which the authorisation relates.
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(7)
Anything done or omitted to be done by or in relation to an authorised
person (or an employee of that person) in, or in connection with, the
exercise or purported exercise of the function concerned is to be treated
for all purposes as done or omitted to be done by or in relation to the
Secretary of State.
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(8)
But subsection (7) does not apply—
(a)
for the purposes of so much of any contract made between the
authorised person and the Secretary of State as relates to the
exercise of the function, or
(b)
for the purposes of any criminal proceedings brought in respect
30
of anything done by the authorised person (or an employee of
that person).
(9)
Any decision which an authorised person makes in exercise of the
function concerned has effect as a decision of the Secretary of State
under section 8 of the 1998 Act.
35
(10)
Where—
(a)
the authorisation of an authorised person is revoked at any
time, and
(b)
at the time of the revocation so much of any contract made
between the authorised person and the Secretary of State as
40
relates to the exercise of the function is subsisting,

the authorised person is entitled to treat the contract as repudiated by
the Secretary of State (and not as frustrated by reason of the revocation).
(11)
In this section—
(a)
“the 1998 Act” means the Social Security Act 1998;
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(b)
“authorised person” means a person authorised to exercise any
function by virtue of any provision made by or under this
section;

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Part 1 — Social security
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(c)
references to functions of the Secretary of State under any
enactment (including one comprised in regulations) include
functions which the Secretary of State has by virtue of the
application of section 8(1)(c) of the 1998 Act in relation to the
enactment.”
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(3)
In the italic heading before section 2A, insert “and work-related activity”.
(4)
In section 189(7A) (regulations which may make provision only in relation to
specified areas), for “2C” substitute “2F”.
(5)
In section 72(3) of the Welfare Reform and Pensions Act 1999 (c. 30) (supply of
information for certain purposes), for paragraphs (a) and (aa) substitute—
10
“(a)
any of sections 2A to 2F and 7A of the Administration Act,”.
3
Entitlement to jobseeker’s allowance without seeking employment etc.
(1)
The Jobseekers Act 1995 (c. 18) is amended as follows.
(2)
In section 1 (the jobseeker’s allowance)—
(a)
for subsections (2) to (2D) substitute—
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“(1A)
The circumstances in which a claimant is entitled to a
jobseeker’s allowance are set out in—
(a)
section 1A (jobseeker’s allowance other than joint-claim
jobseeker’s allowance), and
(b)
section 1B (joint-claim jobseeker’s allowance).”, and
20
(b)
in subsection (4), for the definition of “a joint-claim couple”
substitute—
““a joint-claim couple” means a couple other than a couple
of a prescribed description;”.
(3)
After section 1 insert—
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“1A
Jobseeker’s allowance other than joint-claim jobseeker’s allowance
(1)
A claimant is entitled to a jobseeker’s allowance if the claimant meets—
(a)
the basic conditions; and
(b)
the conditions set out in section 2 (the contribution-based
conditions).
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(2)
A claimant who—
(a)
is not a member of a joint-claim couple, or
(b)
is a member of a joint-claim couple the other member of which
has limited capability for work,

is entitled to a jobseeker’s allowance if the claimant meets condition A
35
or B.
(3)
Condition A is that the claimant meets—
(a)
the basic conditions; and
(b)
the applicable conditions set out in section 3 (the income-based
conditions).
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(4)
Condition B is that the claimant—
(a)
is not otherwise entitled to a jobseeker’s allowance;
(b)
meets the basic conditions other than the jobseeking conditions;

Welfare Reform Bill
Part 1 — Social security
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(c)
falls within a prescribed description of person; and
(d)
meets the applicable conditions set out in section 3.
(5)
For the purposes of this Act a person meets the basic conditions if the
person—
(a)
is available for employment;
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(b)
has entered into a jobseeker’s agreement which remains in
force;
(c)
is actively seeking employment;
(d)
is not engaged in remunerative work;
(e)
does not have limited capability for work;
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(f)
is not receiving relevant education;
(g)
is under pensionable age; and
(h)
is in Great Britain.
(6)
Regulations may prescribe circumstances in which subsection (2) is to
apply to a claimant who is a member of a joint-claim couple the other
15
member of which does not have limited capability for work.
(7)
Subsections (1) and (2) are subject to the provisions of this Act.
1B
Joint-claim jobseeker’s allowance
(1)
A joint-claim couple are entitled to a jobseeker’s allowance if—
(a)
a claim for the allowance is made jointly by the couple;
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(b)
each member of the couple meets the basic conditions; and
(c)
the conditions set out in section 3A are met in relation to the
couple.
(2)
Regulations may, in respect of cases where a person would (but for the
regulations) be a member of two or more joint-claim couples, make
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provision for only one of those couples to be a joint-claim couple.
(3)
The regulations may, in particular, make provision for the couple
which is to be the joint-claim couple to be nominated—
(a)
by the persons who are members of the couple; or
(b)
in default of one of the couples being so nominated, by the
30
Secretary of State.
(4)
Subsection (1) is subject to the provisions of this Act.”
(4)
Schedule 1 contains—
(a)
amendments of the Jobseekers Act 1995 (c. 18) to provide for work-
focused interviews, and action plans in consequence of work-focused
35
interviews, for persons entitled to a jobseeker’s allowance without
being required to meet the jobseeking conditions,
(b)
amendments of that Act to provide for the imposition on such persons
of requirements to undertake work-related activity, and
(c)
other amendments in consequence of, or otherwise in connection with,
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the amendments made by this section or the amendments mentioned in
paragraphs (a) and (b).

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Couples where at least one member capable of work
(1)
In section 124(1) of the Social Security Contributions and Benefits Act 1992
(c. 4) (conditions for income support)—
(a)
in subsection (1), after paragraph (g) (but before the “and” at the end of
it) insert—
5
“(ga)
except in such circumstances as may be prescribed, if he
is a member of a couple, the other member of the couple
has limited capability for work;”,
(b)
after subsection (6) insert—
“(6A)
The question whether a person has, or does not have, limited
10
capability for work shall be determined for the purposes of this
section in accordance with the provisions of Part 1 of the
Welfare Reform Act 2007 (employment and support allowance).
(6B)
References in that Part to the purposes of that Part shall be
construed, where the provisions of that Part have effect for the
15
purposes of this section, as references to the purposes of this
section.”, and
(c)
in subsection (7), for “Part 1 of the Welfare Reform Act 2007
(employment and support allowance)” substitute “that Part”.
(2)
In paragraph 6 of Schedule 1 to the Welfare Reform Act 2007 (c. 5) (conditions
20
for income-related employment and support allowance)—
(a)
in sub-paragraph (1), after paragraph (d) insert—
“(da)
is not a member of a couple the other member of
which does not have limited capability for work;”,
and
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(b)
after sub-paragraph (2) insert—
   “(2A)
Regulations may prescribe circumstances in which sub-
paragraph (1)(da) does not apply.”
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Statutory sick pay and employment and support allowance
In section 20 of the Welfare Reform Act 2007 (relationship of employment and
30
support allowance with statutory sick pay and other statutory payments), for
subsection (1) substitute—
“(1)
A person—
(a)
is not entitled to a contributory allowance in respect of a day,
and
35
(b)
except as regulations may provide, is not entitled to an income-
related allowance in respect of a day,

if, for the purposes of statutory sick pay, that day is a day of incapacity
for work in relation to a contract of service and falls within a period of
entitlement (whether or not it is a qualifying day).”
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Transitional provision relating to sections 3 to 5
(1)
The Secretary of State may by regulations make such provision as the Secretary
of State considers necessary or expedient for the purposes of, or in connection
with, the transition of persons to—
(a)
income-based jobseeker’s allowance, or
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Welfare Reform Bill
Part 1 — Social security
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(b)
income-related employment and support allowance,

by virtue of any provision of sections 3 to 5.
(2)
Regulations under this section may, in particular, make provision—
(a)
for the termination or cancellation of awards of income support or
income-related employment and support allowance;
5
(b)
for a person whose award of income support or income-related
employment and support allowance has been terminated or cancelled
under regulations made by virtue of paragraph (a) to be treated as
having been awarded a transitional allowance;
(c)
for any such award of a transitional allowance to be—
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(i)
of such a kind,
(ii)
for such period,
(iii)
of such an amount, and
(iv)
subject to such conditions,

as may be determined in accordance with the regulations;
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(d)
for a person’s continuing entitlement to a transitional allowance to be
determined by reference to such provision as may be made by the
regulations;
(e)
for the termination of an award of a transitional allowance;
(f)
for the review of an award of a transitional allowance;
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(g)
that—
(i)
days which were days of entitlement to income support or
income-related employment and support allowance, and
(ii)
such other days as may be specified in or determined in
accordance with the regulations,
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are to be treated as having been days during which a person was, or
would have been, entitled to an income-based jobseeker’s allowance or
income-related employment and support allowance.
(3)
Subsections (3) to (5) of section 175 of the Social Security Contributions and
Benefits Act 1992 (c. 4) (supplementary provisions in relation to powers to
30
make subordinate legislation under that Act) apply in relation to the power to
make regulations under this section as they apply to any power to make
regulations under that Act.
(4)
The power to make regulations under this section is exercisable by statutory
instrument.
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(5)
A statutory instrument containing regulations under this section is subject to
annulment in pursuance of a resolution of either House of Parliament.
(6)
In this section—
“income-based jobseeker’s allowance” has the same meaning as in the
Jobseekers Act 1995 (c. 18);
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“income-related employment and support allowance” means an income-
related allowance under Part 1 of the Welfare Reform Act 2007 (c. 5)
(employment and support allowance);
“transitional allowance” means an income-based jobseeker’s allowance or
income-related employment and support allowance.
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