SR13 Waiting Days MeasureOctober 2014

Author: SR13 Measures Waiting Days Project

Kathryn Johnston

2Department for Work & Pensions

Background

• Currently, all Employment and Support Allowance (ESA) and Jobseeker’s Allowance (JSA) claimants, unless they are included in an exempt category or have a linked claim, serve three waiting days at the start of a Jobseeking Period for JSA or Period of Limited Capability for Work for ESA.

• Claimants are not paid benefit whilst serving waiting days but are still expected to meet the relevant conditions for that benefit.

• The Budget statement of 19 March 2014 confirmed that the number of waiting days in ESA and JSA would be increased from three days to seven.

• The aim of the policy is to discourage people from claiming benefit when they only have a short gap between jobs or a short period of sickness, and to ensure that claims are made more quickly so that claimants do not lose out on their entitlement and can access the labour market support we have available, at the earliest opportunity.

3Department for Work & Pensions

New Measure

• This measure applies to both income-based and contribution-based benefits.

• From 27 October 2014, this requirement will impact all claimants who are not in an exemption category or a claim that links back to another benefit claim within the last 13 weeks linking rules.

• Existing rules on claims which link back to another benefit claim within the last 13 weeks, and exemptions categories are not changing.

4Department for Work & Pensions

New Measure (Cont)

• Processing time for benefit claims will not be lengthened by the extended waiting day period. Claimants who are required to serve waiting days will not be paid for the first seven calendar days of their claim.

• As a result of this measure, claimants may contact DWP to obtain an explanation about the amount and timing of their first benefit payment; or they may need additional support until their claim has been paid to prevent hardship.

• Claimants who are in financial need at the start of their claim may apply for a Short Term Benefit Advance (STBA) of up to 60% of their first full benefit repayable over a specific period through deductions from subsequent benefit payments.

5Department for Work & Pensions

How will people know of the change?

• All ESA and JSA claimants will be advised of the requirement to serve waiting days when they make a claim.

 • DWP is committed to advising all ESA and JSA claimants of the requirement to

serve waiting days when they make a claim.

 • Informing claimants of the requirement to serve seven Waiting Days at the very

start of a claim will help ensure those who may suffer hardship can seek assistance at the earliest opportunity.

6Department for Work & Pensions

External Stakeholders engagement

• Local Authority representatives have been assured that where a claimant is in hardship, DWP will explore the possibility of making a Short Term Benefit Advance. However, some claimants in need will be ineligible for a STBA and will be signposted, as now, to other forms of assistance available in their locality.

• Our engagement strategy is continuing and information about the change will be provided in the DWP Stakeholder Bulletin and Touchbase publications. .