Forty Second Report Contents

Instruments of interest

Universal Credit (Transitional Provisions) (Claimants previously entitled to a Severe Disability Premium) Amendment Regulations 2021 (SI 2021/4)

48.Legacy benefits are gradually being absorbed into Universal Credit (UC). Following a court case, regulations in 201922 established a temporary “gateway” to prevent people in receipt of Severe Disability Premium (SDP) from making a claim for UC as they would be financially disadvantaged by the changeover. That gateway lapses on 27 January 2021 and these Regulations provide the criteria for a flat rate transitional payment to be paid to those currently in receipt of SDP who make a claim for UC after that date. In addition, the Regulations outline how this payment will be treated in a claimant’s UC award. The Explanatory Memorandum did not make clear that these transitional payments will erode over time and has been revised to include further information at our request.

49.The Regulations also widen eligibility to the transitional SDP element to both ex-partners after a couple receiving SDP separate; this had not previously been the case even when both partners had the same level of need. The Department for Work and Pensions estimates that this eligibility change will benefit a few hundred claimants overall.

22 Universal Credit (Transitional Provisions) (SDP Gateway) Amendment Regulations 2019 (SI 2019/10).




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