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ESA 365 Day Rule?

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10 years 6 months ago - 10 years 6 months ago #112318 by Bill
ESA 365 Day Rule? was created by Bill
Hello Mods & All,

I seem to be amongst the last to be transferred from Incapacity Benefit to ESA and every day I expect it to happen. Meanwhile I have been reading your excellent Guides inside out and have encountered a question that I currently cannot answer and it’s because of the experience of a friend of mine.

He was transferred to WRAG about 12 months ago, Contributions Based, which he was told would run out after 365 days. However, they sent him a new Questionnaire to complete a few weeks before the date and when he returned the form he was told that his WRAG would continue for another 365 days, Contributions Based.

Unless I have missed or misunderstood something (which is always very likely with me!) I thought it says in your Guide that ESA Contribution Based can only last for 365 days no matter what, have I misread it guys?

I am asking because any day now I expect to be receiving the brown envelope and I want to try to make sure I understand ESA from all angles, if at all possible!!

Thanks in anticipation.
Bill.
Last edit: 10 years 6 months ago by Gordon.

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10 years 6 months ago - 10 years 6 months ago #112319 by Gordon
Replied by Gordon on topic ESA 365 Day Rule?
Bill

This is quite a common situation and occurs because there are actually two elements rather than one.

One element is the limitation of payments to 365 days for claimants receiving ESA(CB) while in the WRAG.

The second element is a claimant having Limited Capability for Work and therefore qualifying for the WRAG.

The time limit on claimants is an absolute value and cannot be extended (see below), but it is possible to still have LCW after payments have been stopped, which is what has happened to your friend. While he maintains his LCW he will continue to receive NI Credits and if his condition deteriorates in the future such that he is placed in the Support Group then his ESA(CB) will be re-instated.

Has he checked to see whether he is eligible for ESA(IR), there is a means test that looks at household income, assets and savings, and any hours that a partner works.

Asset rule for ESA(IR)

24 hour work rule for ESA(IR)

I hope this explains it.

Gordon

Nothing on this board constitutes legal advice - always consult a professional about specific problems
Last edit: 10 years 6 months ago by Gordon.

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10 years 6 months ago - 10 years 6 months ago #112321 by Bill
Replied by Bill on topic ESA 365 Day Rule?
Hi Gordon,

Thanks for your reply.

Well, he showed me his letter and though I cant recall the exact wording it said that as from a date in November he would get ESA CB for 365 days but his money would be reduced from around £105 to around £100 per week. This represents his second 365 day period.

No mention of Income Related or NI Credits just that his ''top up'' or maybe it said ''transitional'' extra amount would no longer be paid as it had been in the first 365 days. Thus the reduction of around £5.00.

He is too frightened to telephone them and ask for anything so although I think he qualifies for Income Related he will never know if it continues like this.

Does this sound right to you Gordon, or are they altering things around somewhat maybe?

Cheers
Bill
Last edit: 10 years 6 months ago by slugsta.

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10 years 6 months ago #112322 by slugsta
Replied by slugsta on topic ESA 365 Day Rule?
The 365 day limit is absolute, there is no 'wiggle room' at all. The only way your friend can be continuing to receive payments is if he has been awarded Income-related ESA. I understand his reluctance to 'rock the boat' but I do feel that he should query this with DWP. If this is an error, he will be building up an over-payment that he would be asked to return (whether DWP can enforce repayment if they are in error is debatable, but it is not a nice situation to be in!).

Nothing on this board constitutes legal advice - always consult a professional about specific problems
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10 years 6 months ago #112325 by Gordon
Replied by Gordon on topic ESA 365 Day Rule?
Bill

Just to add, the removal of the Transitional Payment is consistent with his payments being switched to ESA(IR).

Gordon

Nothing on this board constitutes legal advice - always consult a professional about specific problems
The following user(s) said Thank You: Bill

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10 years 6 months ago #112326 by Bill
Replied by Bill on topic ESA 365 Day Rule?
Thank you for that Mrs HB; all I can say is that the letter is very clear even if it is a mistake. I will however tell him that he really should call them to clarify the matter.

If he does that I will return here to this topic and let you know what the outcome is.

Many thanks once again.
Bill

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