Help Sheet 3: Keeping Up to Date with Key Welfare Legislation in the United Kingdom

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1 1 Help Sheet 3: Keeping Up to Date with Key Welfare Legislation in the United Kingdom Introduction Help Sheet 3 provides you with inventories of key UK welfare legislation/legislative proposals and related developments (i.e., the consultation papers, reports, and edicts) initiated by the Coalition Government between mid-2010 and early. They are not intended to be comprehensive listings; nor do they cover all social policy fields. They are more in the nature of an aide-memoire that can be used in seminars and for assignments, and also offer you a framework for adding future significant changes in these and other welfare areas. In using and extending these, you should check the Emerging Issues sections of the chapters in Parts VII and VIII of The Companion and Chapter 42 to ensure you are familiar with the areas of social policy for which the devolved administrations have responsibility. Details of new legislation, policy proposals, and the reports on which they are based can be found on relevant Government Department web sites and those of the respective national administrations (see the Guide to Key Sources on UK Social Policy).

2 2 Main Changes in Social Security Pensions Legislation Pensions Act state pension age (SPA) for women to rise to equal men s at 65 by 2018, both then rising to 66 by 2020; future legislation to increase SPA to 67 between 2026 and Pensions Related Developments introduction of a new triple guarantee for annually up-rating the Basic State Pension (BSP); it will be increased by one of: the average percentage increase in UK wages, the cost-of-living increases (measured by the Consumer Price Index CPI), or 2.6%, whichever is the higher; abolition of the Default Retirement Age (DRA); over-60s minimum qualification for Working Tax Credit (WTC) reduced from 30 to 16 hours per week; department for Work and Pensions (DWP) published its consultation document: A State Pension for the 21st Century. Commencement of the new workplace pension scheme: NEST (National Employment Savings Trust). Children & Working Age Benefits Legislation/Legislative Proposals Welfare Reform Bill (based on 2010 DWP, 21st Century Welfare consultation paper and 2010 White Paper, Universal Credit: Welfare That Works); Universal Credit to replace: income-based Jobseekers Allowance (JSA); Income Support (IS); income-based Employment Support Allowance (ESA); Housing Benefit (HB); and Working and Child Tax Credits (WTC; CTC). The new provision is to be rolled out between October 2013 and December 2017; Personal Independence Payments to replace Disability Living Allowance (from April 2013); payment of contributory ESA limited to a 12-month period (from April ); the total amount of benefit that can be claimed to be capped; new procedures for claiming child support to be set up (based on Green Paper: Strengthening Families, Promoting Parental Responsibility: the Future of Child Maintenance); and

3 3 Social Mobility and Child Poverty Commission to be established. Children & Working Age Benefit Related Developments 2010 launch of The Work Programme (operational from ); enforced work capability reassessment of those previously granted Employment Support Allowance (later revised following the First Independent (Harrington) Review of the Work Capability Assessment); publication of DWP & DfE report: A New Approach to Child Poverty: Tackling the Causes of Disadvantage and Transforming Families Lives; Child Benefit level frozen until 2014; removal of the baby addition to the CTC (the amount paid per family with at least one child under 1 for the child s first year); rises in DWP-administered benefits and tax credits switched to CPI from the Retail Price Index (phased in for some benefits); Second Independent (Harrington) Review of the Work Capability Assessment published; above-indexation increases for the child element of CTC (the amount paid for each child under 16 in each family) in and 2013; a reduction in the income limits for WTC and CTC; freezing for three years of the basic, couple, loan-parent, and 30-hour elements of WTC; lower thresholds for CTC and WTC; reduced tax credit eligibility for high-earner households. tax credit backdating claims reduced from 3 months to 1 month; removal of the over-50 element from WTC; 2013 Child Benefit for higher-rate tax payers to be abolished.

4 4 Main Changes in Housing and Planning Housing & Planning Legislation/Legislative Proposals Welfare Reform Bill (based on 2010 DWP Consultation Paper, 21st Century Welfare and 2010 White Paper, Universal Credit: Welfare That Works). Housing Benefit (HB) and mortgage support rolled into the Universal Credit; restricted HB entitlement for social housing tenants in accommodation larger than they need; linked Local Housing Allowance (LHA) increases to the CPI rather than the RPI (from 2013). Localism Act (primarily applies to England, although some elements also apply to Wales largely effective from April ; stems from 2010 Conservative Party Green Paper, Open Source Planning). empowers local authorities to set social housing tenancy policies (including waiting-list criteria) in their areas but retains the obligation to provide for the most vulnerable and those in most need; enables social landlords to grant fixed-term tenancies (of variable lengths) to new tenants; existing tenants rights are protected if they move to another social rented property. empowers local authorities to meet their homelessness duty by offering accommodation in the private rental sector; instigates a national home swap scheme for social housing tenants; allows local authorities to keep the rental income from their tenancies to maintain their social housing (replacing the Housing Revenue Account system whereby rent collected was paid into a centrally run pot from which authorities received a maintenance sum); abolishes the Tenant Services Authority which is replaced by a Special Regulation Committee of the Homes and Community Agency; introduces a tenant panel and complaints system (giving tenants the opportunity to examine the services offered by social housing landlords); establishes a single Independent Housing Ombudsman for all social housing; abolishes Regional Strategies and obliges local planning authorities and county councils to cooperate in strategic planning; establishes Major Planning Infrastructure Unit within the Planning Inspectorate (replacing the Infrastructure Planning Commission);

5 5 gives Ministers the power to change the community infrastructure levy; establishes a Neighbourhood Planning system (including provisions for neighbourhood development plans, development orders and for certain developments to be approved by local referenda); introduces the right for local communities to be consulted prior to the submission of planning applications for major developments; introduces a community right to build; introduces the right for community groups to bid to take over assets of community value when they are sold; introduces a general power of competence for local authorities including engaging in commercial activity. Housing & Planning Related Developments LHA rates for new tenants set at the 30th percentile of local rents (previously set at the median); this applies to existing tenants from ; LHA rates for new tenants capped according to the number of bedrooms in a property (to a maximum of four); this applies to existing tenants from ; increases of non-dependent HB deductions switched to CPI; increase in government contribution to discretionary housing payments (to be continued in and 2013); new funding regime and introduction of Affordable Rent tenancies for housing associations (shorter-term lets at up to 80% of market rate); new Homes Bonus and First Buy schemes; draft National Planning Framework; Laying the Foundations: A Housing Strategy for England published. single under-25 LHA rate (one bedroom in shared accommodation) extended to single people under 35; 2013 HB awards reduced to 90% of the initial award after 12 months for claimants receiving JSA; housing entitlements for working age people in the social housing sector to reflect family size.

6 6 Main Changes in School Education School Education Legislation 2010 Academies Act (applies only to England; stems from 2010 Conservative Manifesto, Invitation to Join the Government of Britain); allows maintained schools to apply to become academies and permits the Secretary of State to issue Academy Orders requiring local authorities to cease maintaining them; allows the Secretary of State to require schools that are eligible for intervention (i.e., meeting criteria in the statutory guidance for schools causing concern) to convert into academies; academies to be funded by a central grant; requires the governing bodies of maintained schools to consult with those they think appropriate before converting into an academy; ensures that converting schools continue to occupy the land/buildings they had as maintained schools and that other assets are transferred; deems academy trusts to be charities; Education Act (applies only to England; based on 2010 DfE White Paper, The Importance of Teaching and Green Paper, Support and Aspirations: A New Approach to Special Educational Needs and Disability); new provision for disadvantaged 2-year olds to 15 hours per week free early-years education (from 2013); gives precedence to Academy proposal where local authorities identify the need for a new school; allows for the establishment of Academies offering alternative provision for example, vocational subjects as well as those dedicated specifically to year-olds; allows for pilots of Direct Payments for Special Education Needs (SEN) services; enhances schools disciplinary powers (searching of pupils; repeal of detention notices to parents); establishes Independent Review Panels for exclusions (replacing Independent Appeals Panels); extends the Secretary of State s power to intervene in under performing schools; makes the Secretary of State responsible for dealing with general schools complaints;

7 7 changes school inspection system; School Education Related Developments 2010 free preschool entitlement for all 3 and 4-year-olds extended to 15 hours per week; abolition of the Education Maintenance Allowance (EMA); abolition of Building Schools for the Future programme; introduction of the English Baccalaureate performance measure (school GCSE success in English, maths, sciences, a language and history/geography); first Free Schools established; introduction of the Pupil Premium; DfE Discussion Paper, Core Purpose of Sure Start Children s Centres published; DfE Green Paper, Support and Aspirations: A New Approach to Special Educational Needs and Disability published; review of the National Curriculum in England Phase 1 instigated, focusing on Key Stage 1 to Key Stage 4 programmes for English, Maths, Sciences, PE and considering place of other subjects; DfE, Government Response to the Wolf Review of Vocational Education (for year-olds) published; draft Schools Admissions Code (to be operational from 2013). review of the National Curriculum Phase 2 focusing on the subjects not included in the review; implementation of new Early Years Foundation Framework (following Early Years Foundation Stage [Tickell] Review; DfE/DoH policy statement, Families in the Foundation Years; DfE/DoH policy statement, Supporting Families in the Foundation Years); changes to Key Stage 2 assessments (following the Bew Review); implementation of new teachers standards (based on First Report (Coates) of the Independent Review of Teachers Standards ); establishment of first University Technical Colleges (UTCs), Technical Academies and Studio Schools. 2013

8 8 introduction of new programmes for Key Stage 1 to Key Stage 4 programmes for English, Maths, Sciences, and PE; compulsory school leaving age to rise to 17 (under 2008 Education Act) introduction of new programmes for other National Curriculum subjects compulsory school leaving age to rise to 18 (under 2008 Education Act).

9 9 Main Changes in Health Care Health Care Legislative Proposals Health and Social Care Bill Applies to England only. Based on 2010 DoH White Paper, Equity and Excellence: Liberating the NHS; 2010 DoH, Liberating the NHS: legislative framework and next steps; 2010 DoH, Healthy Lives, Healthy People: Update and Way Forward; also subject to Listening Exercise and DoH, Government Response to the Future Forum Report; Gives patients the right to choose services that best meet their needs from Any Qualified Provider (including approved charity or independent sector suppliers that meet NHS costs and standards); Creates the NHS Commissioning Board (mandated by and accountable to Ministers) with powers to: authorise Clinical Commissioning Groups (CCGs), allocate resources, commission some services, and host Clinical Networks and Clinical Senates; Abolishes Strategic Health Authorities and Primary Care Trusts; Creates CCGs (comprising GPs, other health care professionals, patients, carers and public representatives); Creates national and local HealthWatch (patient involvement organizations; HealthWatch England is operational from ); Creates Health and Wellbeing Boards (comprising local health and social care commissioners, elected representatives plus HealthWatch representatives) with responsibility for integrated local health provision; Strengthens role of the Care Quality Commission (including HealthWatch England); It makes Monitor (the regulator of NHS foundation trusts) the economic regulator overseeing access and competition in the NHS; Creates Public Health England (DoH agency operational from 2013 with local authorities taking on new public health responsibilities 2013); Increases the cap on the income that Foundation hospitals can raise from private (i.e., non-nhs) work to 49% of its income; Health Care Related Developments 2010 Commencement of NHS restructuring (including formation of shadow Primary Care Trust [PCTs] consortia/clusters/ Clinical Commissioning Groups [from ]); Shadow NHS Commissioning Board (fully operational from 2013);

10 10 Shadow NHS Trust Development Authority to support remaining NHS trusts achieve foundation status; Updated list of targets for the NHS Outcomes Framework (including GPs); Publication of first Any Qualified Provider (AQP) services map; DoH Operating Framework for the NHS in England /13 published; Reform of NHS Dental Contracts pilot (full implementation due in 2014); Commencement of phased implementation of AQP provision, including extension to community and mental health services; Commencement of Personal Health Budget (PHB) programme (for patients in England with continuing heath care needs; right to request a PHB from 2014); 2013 Implementation of Clinical Commission Groups (phased where necessary); 2014 Authorization of remaining NHS Trusts as foundation trusts (with provisions for flexibility);

11 11 Main Changes in Social Care Social Care Legislative Proposals Health and Social Care Bill In addition to the changes previously listed: National Institute for Health and Care Excellence s role extended to social care. Social Care Related Developments 2010 DoH published: A Vision for Adult Social Care: Capable communities and active citizens (which sets out the principles of care provision in England); Housing Benefit claimants with a disability and non-resident carer entitled to funding for an extra bedroom; Think Local, Act Personal partnership agreement between the government and the social care sector; Law Commission report on Adult Social Care published; Report of the Commission on Funding of Care and Support, Fairer Care Funding (Dilnot Commission) published; DoH Consultation, Caring For Our Future: shared ambitions for care and support published; Any Qualified Provider (AQP) services map published. Commencement of phased implementation of AQP provisions (Including) phased extension of AQP to community and mental health services; Social Care White Paper;

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