Child Tax Credit (CTC) changes from April 2017:
- Support provided through CTC will be limited to 2 children. Any subsequent children born after April 2017 will not be eligible for further support.
- The ‘family element’ of £545 per year will be abolished. Families with one or more children born before April 2017 will continue to get the family element but new claims after this date will not.
Employment and Support Allowance (ESA) work-related activity group
- From 1 April 2017, new ESA claimants who are placed in the Work-Related Activity Group will receive the same rate of payment as those claiming Jobseeker’s Allowance and the equivalent in Universal Credit
Universal Credit (UC) changes
- UC for children will be reduced in the same way as CTC – from April 2017 it will be limited to 2 children, there will be no increase for subsequent children if you are already claiming UC.
- New claims for UC from families with more than two children will be redirected to Tax Credits until November 2018.
- Children born after 6 April 2017 will not be eligible for the ‘first child premium’ which means the child element for the first child will be the same rate as for the second child.
- Parents, including lone parents, will be expected to have work focussed interviews when their youngest child turns 1, then start work preparation when their youngest child turns 2, all leading up to them being expected to look for work when their youngest child turns 3.
- From April 2017 the 'taper rate' for universal credit will change from 65p in the pound to 63p in the pound
- The Limited Capability for Work element will be abolished to mirror changes to ESA, reducing support for those deemed capable of some work related activity.
- 18-21 year olds who are on UC will have to either apply for training/ apprenticeships or attend a work placements from six month after the start of their claim. Apart from certain exempt groups (those considered to be vulnerable) – proposed introduction from April 2017
- There will also no longer be automatic entitlement to the housing element of UC for 18-21 year olds who are unemployed. Though there will be various exceptions for parents, vulnerable groups and people who could previously afford their rent without assistance.
Bereavement Support Payment
- To replace Bereavement Payment, Bereavement Allowance and Widowed Parents Allowance
Autumn /End of 2017 Free Childcare Extended
- Free childcare entitlement will be doubled from 15 hours to 30 hours a week for working parents of 3 and 4 year olds from September 2017.
For more infomation please contact Jo Woodcock, Welfare Reform Team Leader at firstname.lastname@example.org or on 0161 946 6370