Housing Benefit and Council Tax Benefit Circular. For information

Transcription

1 Housing Benefit and Council Tax Benefit Circular Department for Work and Pensions The Adelphi, 1-11 John Adam Street, London WC2N 6HT HB/CTB A16/2007 ADJUDICATION AND OPERATIONS CIRCULAR WHO SHOULD READ All Housing Benefit (HB) and Council Tax Benefit (CTB) staff ACTION For information SUBJECT Housing Benefit and Council Tax Benefit: 2008 Uprating Guidance Manual The information in this circular does affect the content of the HB/CTB Guidance Manual. Please annotate this circular number against paragraph A , 4.910, A5 Annex A & Annex D, BW2 W2.550, BW3 Annex A and BP3 Annex A. HB/CTB Overpayments Guide paragraph Queries If you want extra copies of this circular/copies of previous circulars, they can be found on the website at have any queries about the - technical content of this circular, contact John Kennett or Phillipa Fallowfield John.Kennett@dwp.gsi.gov.uk Phillipa.Fallowfield@dwp.gsi.gov.uk - distribution of this circular, contact Corporate Document Services Ltd Orderline Tel: Fax: orderline@cds.co.uk Crown Copyright 2007 Recipients may freely reproduce this circular.

2 Contents Housing Benefit and Council Tax Benefit: 2008 Uprating para Background... 1 Queries Uprating... 4 General... 4 New Rates Non-dependant deductions Family Premium, Children Allowances and Child Tax Credits Family Premium Family Premium (Lone Parent Rate) Additional Premium baby addition Child dependency increases Pensioner Premiums Pension Credit rates HB/CTB personal allowances for pensioners Pension Credit uprating and savings credit cases Second Adult Rebate and students Second Adult rebate on Pension Credit Pensioner claims: subtenants Working age claims: subtenants Fuel deductions deductions for ineligible fuel charges One room rate deduction Disregards in Housing Benefit & Council Tax Benefit Jobseeker s Allowance rates changes to rates for couples when one is aged 18 or over with responsibility for a child Income Support/Jobseeker s Allowance 16/17 Rates State Pension Bereavement Benefits Bereavement Premium Child Benefit and Guardians Allowance Working Tax Credit and Child Tax Credit rates for 2008/ War Pension Rates... 46

3 National Insurance Contribution rates for 2008/ Social Security benefit rates Recovery of Overpayments from ongoing HB Council Tax Benefit Rates for people under 60.. Appendix A: Annex 1 Housing Benefit Rates for people under Appendix A: Annex 2 HB/CTB rates for people aged 60 and over... Appendix B Income Support rates... Appendix C: Annex 1 Main income-based Jobseeker s Allowance rates... Appendix C: Annex 2 Contributory and non-contributory social security benefits... Appendix D: Annex 1 Bereavement Benefits... Appendix D: Annex 2 Main National Insurance Contribution rates... Appendix E

4 Housing Benefit and Council Tax Benefit: 2008 Uprating Background 1 In his statement on 5, the Minister of State announced his proposals to uprate social security benefits, including Housing Benefit (HB) and Council Tax Benefit (CTB) from April This circular advises you of the changes so you can prepare for the uprating. Note: At the time of writing the Order bringing the changes into effect is still subject to the appropriate Parliamentary process. Queries 3 Any queries about the information contained in the circular should be ed to John Kennett or Phillipa Fallowfield, see the front page of the circular Uprating General 4 In line with previous practice, the HB and CTB uprating will be introduced in advance of the main social security benefits uprating. To coincide with the new Council Tax year and the week in which many rents change the uprating will take effect on Tuesday 1 April 2008 for CTB and for cases to which Housing Benefit Regulation 79(3)(a) for working age claimants and Housing Benefit Regulation 59(3)(a) for people over pension age applies when rent is paid monthly or at any interval which is not a week or multiples of a week Monday 7 April 2008 for cases to which Housing Benefit Regulation 79(3)(a) for working age claimants and Housing Benefit Regulation 59(3)(a) for people over pension age applies, eg when rent is paid on a weekly basis 5 The 2008 uprating date for the other income related benefits, ie income-based Jobseeker s Allowance (JSA (IB)), Income Support (IS) and Pension Credit and the uprating date for other social security benefits is 7 April This is the first Monday in the fiscal year, ie the Monday on or after 6 April. 6 You should also be aware of Regulations which allow you to take account of these uprated figures earlier in April. Regulations CTB 2006 Reg 32(8); 67(4); HB 2006 Reg 79(3) and 42(8) refer. (CTB (SCP) Regs 31(9) & (10) and 50(4) and HB (SPC) Reg 41(9) & (10) and 59(3)). (HB/CTB GM BW2 W2.790; BP2 P2.790).

5 7 The Working Tax Credit (WTC) and Child Tax Credit (CTC) will increase from 6 April 2008 in line with the new tax year. However, the uprating of tax credits by Her Majesty s Revenue and Customs (HMRC) should not affect the assessment of tax credits as income in HB/CTB. Action award notices as normal using the April instalment rates, shown on the current award notices, as appropriate. 8 Pension Credit should be uprated in line with the procedures given later in the circular. See Pension Credit rates for further details. 9 Remember there is no provision in the regulations to uprate a claimant s social security benefit other than by using the correct amount. Most claimants will know their new rates of benefit well before 1 April. As there is no tolerance rule in HB/CTB, the benefit paid should reflect the claimant s income to the penny, subject to the minimum payment ruling in HB and rounding. 10 However we are aware that many Local Authorities (LAs) use percentages to uprate other social security benefits. As this method should, in most cases, produce accurate results, providing the LA has satisfied itself as to the accuracy of its method, it should be able to meet its duty to make proper determinations. However, this is not possible with Pension Credit (savings credit only) cases. 11 Non-income related social security benefits, such as the State Pension (SP) and Incapacity Benefit (IB) are generally uprated in line with the movement in the Retail Price Index (RPI) to September, whereas the income-related benefits such as HB and CTB are uprated by the ROSSI index. 12 For the year to September 2007 the percentages are New rates RPI 3.9% ROSSI index 2.3% Average Earnings 3.5% 13 The following appendices set out the new rates of benefits Appendix A sets out the new rates for HB and CTB for the under 60 s Appendix B sets out the new rates for HB and CTB for those 60 and over Appendix C sets out the new rates for IS/JSA (IB) Appendix D sets out the new rates for other contributory and non-contributory social security benefits and War Pension Rates. Although War Pensions are not social security benefits they are uprated as part of the general uprating. War Pensions will be uprated on 7 April 2008 in line with RPI. As these are not social security benefits HB Reg 42(8) for working age and HB (SPC) Reg 41(9) for those 60 and over and CTB Reg 32(8) for working age and CTB (SPC) Reg 31(9) for those 60 and over do not apply. Appendix E sets out the 2008/09 main National Insurance Contribution rates

6 Non-dependant deductions 14 The non-dependant deductions (NDDs) for HB/CTB and IS/JSA(IB) and Pension Credit will remain the same but the income bands have increased in line with the average increase in earnings, ie 3.5 %. 15 The table below gives information about pensioners who are non-dependants in Pension Credit. When a non-dependant in receipt of Pension Credit, regardless of whether it is a guarantee credit only or savings credit, lives with a HB/CTB claimant no deduction will be taken. These provisions have been in force since 4 April The table includes other claimants of pension age. Non Pension Credit pensioner (not in remunerative work) Housing Benefit NDD 7.40 Council Tax Benefit NDD 2.30 Non Pension Credit pensioner (in remunerative work) Both HB/CTB based on weekly gross income Savings Credit only pensioner (in or not in remunerative work) Housing Benefit NDD nil Council Tax Benefit NDD nil Guarantee credit pensioner (in or not in remunerative work) with or without a savings credit Housing Benefit NDD nil Council Tax Benefit NDD nil Note: These scenarios do not reflect any of the other provisions when an NDD does not apply, eg householder in receipt of Attendance Allowance. Family Premiums, Child Allowances and Child Tax Credits 17 Child related allowances in IS/JSA and HB/CTB will be increased in line with Child Tax Credit (CTC) rates. This means that families in receipt of these benefits gain from the full value of any increases in CTC. Family Premium 18 This year the Family Premium in HB/CTB has increased from to Family Premium (lone parent rate) 19 This remains fixed at It is only applicable to certain lone parents before a particular date.

7 Additional premium baby addition 20 The additional amount for a child under one remains at Child Dependency increases 21 Child dependency increase remains at The eldest child rate has been reduced from 9.00 to Regulations provide for the rate of child dependency increase to be adjusted when the increase is payable for the eldest eligible child for whom Child Benefit is also payable. The weekly rate of the increase is reduced by the differential (less 3.65 from April 2004), between the rate of Child Benefit payable for the oldest eligible child and that payable for a subsequent child. Pensioner Premiums 24 There is only one rate of premium for single pensioners and one rate for couples. This is in line with previous years. Premiums in the income-related benefits have been increased by the rate of the Pension Credit standard minimum guarantee, less the rate of the personal allowance in the income-related benefits. 25 Pensioner premiums are retained in the regulations. They are required because the qualifying conditions are used for certain additions and disregards, for example child care charges. These are linked to the qualifying conditions for Higher Pensioner Premium (HPP). Pension Credit rates 26 The Pension Credit Guarantee has been uprated in line with earnings since its introduction in From April 2008, the Pensions Act 2007 requires that the standard minimum guarantee in Pension Credit is reviewed and increased at least in line with earnings. 27 This year, as agreed in the Pre-Budget Report, the standard minimum guarantee rate is increased by AEI 4.2% as agreed in the Pre Budget Report. The standard minimum guarantee will be increased by 5.00 from to for a single person and by 7.65 from to for a couple. Any additional amounts are being increased by RPI, ie 3.9%. The amount of the maximum savings credit is also being increased from to for a single person and from to for a couple.

8 HB/CTB personal allowances for pensioners 28 There are two sets of personal allowances for pensioners, if claimant and/or partner if they have one are aged 60 or over, but both under 65 is aged 65 and over See Appendix B for full details. Pension Credit uprating and savings credit case 29 From April 2008 the maximum savings credit will be uprated by 3.5%. The rate for a single person will be and for a couple However, these figures cannot be used to calculate a likely savings credit entitlement from April Savings credit is calculated on an individual basis, using the income and capital of that person. This means the amount could range from an additional 1p to 19.71/ 26.13, depending on the type of the claimant s income. In addition HB (SPC) Reg 27/ CTB (SPC) Reg 17 state that the Pension Service calculation of income, capital and savings credit must be used. You cannot calculate the figure yourself. 30 S.I.2004/290 made provisions for the date on which Pension Credit cases should be uprated, and the associated guidance, to apply each year to the annual uprating exercise. (See HB/CTB Guidance Manual Uprated changes in social security benefits para BP2 P2.790.) CTB (SPC) Regs 31(10); HB (SPC) Regs 41(10). Second Adult Rebate and students 31 When a dwelling is occupied by a student or students and one or more people in receipt of IS, Pension Credit or JSA (IB), the alternative maximum CTB (AMCTB) will be 100%. (S.I.2006/588 refers). Second Adult Rebate on Pension Credit 32 When a non-dependant is in receipt of Pension Credit, regardless of whether it is guarantee credit (with or without a savings credit) or savings credit only, the reduction for Second Adult Rebate will be 25%. Pensioner claims: subtenants 33 If a pensioner s HB/CTB claim has a subtenant the deduction from the weekly income is a fixed rate and remains at for each subtenant. Working age claims: subtenants 34 If a working age HB/CTB claim has a subtenant the deduction from the weekly income is a fixed rate of for each subtenant from April 2008.

9 Fuel deductions deductions for ineligible fuel charges 35 This year the RPI for fuel and light is minus 1%. The rates for statutory fuel deductions remain the same as last year as the legislation does not allow a lower figure to be used. Service charges for fuel 2007/ /09 Heating Hot water Lighting Cooking Total all fuel One room rate deduction 36 The formula for the one room rate deduction is stated in Housing Benefit Regulations S.I.2006/213 & S.I.2006/214, Schedule 1, part 2 paragraph 6(2) (a) to (d) and (3). Sub-paragraph (3) states the ineligible amount for service charges when the accommodation consists of only one room shall be one half of the aggregate of the amounts specified in sub-paragraph (2) (a), (b) and (c). 2007/ /09 One room rate, subparagraph (3)-heating and any hot water and/or lighting cooking One room rate calculation Sub-paragraph (2)(a),(b),(c) (2)(a) heating (other than hot water) (2)(b) hot water (2)(c) lighting Total divide by 2 = divide by 2 = 9.25

10 Disregards in Housing Benefit and Council Tax Benefit 37 The child care disregards in HB/CTB remain at the same level as last year for one child, and for two or more children 38 The additional earnings disregard in HB/CTB that can be applied to those entitled to WTC is increasing from to (See HB/CTB Guidance Manual BW2 W ). Jobseeker s Allowance Rates - changes to rates for couples when one is aged 18 or over with responsibility for a child 39 JSA Regulations will be amended for couples where one member is over 18 and the other is under 18 and they have responsibility for a child. From April 2008 these couples will receive the higher couple rate of JSA. Income Support/Jobseeker s Allowance 16/17 Rates 40 Following the Pre-Budget Report, the rates for single16/17 year olds in IS and JSA will be abolished from April The weekly benefit will increase from to State Pension 41 A guarantee was made in November 2001 that future increases to State Pension would be increased by either 2.5% or RPI, whichever is greater. This year s Category A and Category B State Pension will increase by RPI 3.9% Increments for a particular component of State Pension would increase in line with the same percentage increase that applies to that component. Bereavement Benefits 42 These are linked to State Pension and are increasing by RPI 3.9%. Bereavement Premium 43 As the premium is no longer payable after 9 April 2006 it has now been removed from the Uprating Order and this year s circular.

11 Child Benefit and Guardian s Allowance 44 HMRC is responsible for announcing the increase in these rates and the relevant legislation Special Allowance was abolished from 2003 Guardians Allowance is increasing from to Lone parent rate was abolished in 2007 Child Benefit for an eldest/only child increases from to Other children rate increases from to See HMRC website for further information Working Tax Credit and Child Tax Credit rates for 2008/09 45 The Chancellor announced in his Pre-Budget Statement on 18 October 2007 that the rates of WTC and CTC will increase in line with inflation. All the current WTC and CTC rates can be found on the HMRC website War Pension Rates 46 These are the responsibility of the Veteran s Agency, which is part of the Ministry of Defence. Details of the rates for 2008/09 can be found at Appendix D. Any additional information should be obtained from the Veteran s Agency direct. See website National Insurance Contribution rates for 2008/09 47 For the National Insurance Contribution rates for 2008/09 see Appendix E of this circular HMRC website DWP website/ Media Centre - Press release for October 2007 dated 18/10/07 State Pension; Pension Credit and other rates 2008/09

12 Social Security benefit rates 48 Details of all the social security benefit rates can be found on the DWP website following the Statement on 5 by the Minister of State. Go to the DWP website: Media Centre Press Releases for 2007; December Year Date Title /10/07 State Pension; Pension Credit and other rates 2008/ /12/07 Simple benefit claims for older people. Recovery of overpayments from ongoing HB 49 The standard maximum rate of recovery from continuing benefit is increasing from 9.00 to 9.15 from 1 April Similarly, the maximum rate of recovery from continuing benefit, when the overpayment has arisen as a result of fraud as defined in Reg 102(3) of HB Regulations 2006 and Reg 83(3) of HB (SPC) Regulations 2006, remains at As well as the above rates of recovery, an LA can increase deductions by half (50%) of certain disregards, if applicable, for Earnings regular charitable income or voluntary payments War Disablement Pension or War Widows Pension 51 LAs must not recover more than these prescribed amounts from ongoing HB. LAs should have regard to any special health or financial circumstances of the claimant before deciding the level of deduction, or when to commence the deductions, to avoid causing undue hardship to the claimant or their dependants. See HB/CTB Overpayments Guide, Recovery of Overpayments, paras

13 Appendix A: Annex 1 April 2007 April 2008 Council Tax Benefit Rates Personal Allowances Single claimant under or over Lone parent Couple Dependent children Child from birth to September following 16 th birthday Young person from September following 16 th birthday to day before 20 h birthday Polygamous partner (CTB Reg 13) Premiums Family premium Family premium plus rate for one or more children aged under 1 year Lone parent rate Family Premium plus (lone parent rate) for one or more children aged under 1 year Pensioner Premium Single Couple Pensioner Premium (Enhanced) Single

14 Appendix A: Annex 1 Couple Pensioner Premium (Higher) couple Disability Premium Single Couple Enhanced Disability Premium Single Disabled child rate Couple Severe Disability Premium Single Couple (lower rate) Couple (higher rate) Disabled child premium Carer premium Non-dependant deductions (Thresholds from April 2008) Aged 18 or over and in remunerative work -gross income greater than gross income gross income gross income less than Others aged 18 or over In receipt of Pension Credit and in remunerative work Nil Nil In receipt of Pension Credit and not in remunerative work, or in receipt of IS/JSA(IB) Nil Nil

15 Appendix A: Annex 1 Alternative maximum Council Tax Benefit Rebate Second adult on IS or JSA(IB), Pension Credit (% of Council Tax) 25% 25% Students 100% 100% Second adult gross income (% of Council Tax) - under % 15% 169 to % 7.5% Subtenants disregard No heating (no change) Where heating provided, additional Earnings disregards Child care charges Child care charges (2 or more children) Additional earnings disregard Capital Limit Upper Capital Limit 16, , Lower Capital Limit 6, ,000.00

16 Appendix A: Annex 2 Housing Benefit rates Personal allowances Single or over Lone parent Under or over Couple Both under One or both over Polygamous Marriages (HB Reg 23) Dependent children From birth to September following 16 th birthday From September following 16 th birthday to day before 20 th birthday Premiums Family premiums Family premium plus premium for one or more children aged under 1 year Family (lone parent rate) Family premium (lone parent rate) plus premium for one or more children aged under 1 year Pensioner premium Single Couple Pensioner premium (enhanced) Single Couple

17 Appendix A: Annex 2 Pensioner premium (higher) Single Couple Disability Premium Single Couple Enhanced disability premium Single rate Disabled child rate Couple rate Severe Disability Premium Single Couple one qualifies Couple - both qualify Disabled child premium Carer premium Non-Dependent Deductions (Thresholds April 2008) Aged 25 or over and on IS/JSA(IB), or aged 18 or over and not in remunerative work In receipt of Pension Credit Nil Nil Aged 18 or over and in remunerative work -gross income less than gross income 116 to gross income to gross income to gross income to gross income 369 and above

18 Appendix A: Annex 2 Subtenants disregard (working age) No heating provided Where heating provided, additional Service charges for fuel Heating Hot water Lighting Cooking All fuel Fuel charge deductions for one room Heating and hot water and/or lighting Cooking (HB Sched 1, para 6(2) refers) Three or more meals a day Single claimant Each person in family aged 16 or over Each child under Less than 3 meals a day Single claimant Each person in family aged 16 or over Each child under Breakfast only claimant and each member of family Earnings disregards Child care charges Child care charges (2 or more children) Additional earnings disregard Capital Limit Upper Capital Limit 16, , Lower Capital Limit 6, ,000.00

19 Appendix B HB/CTB rates for people aged 60 and over Personal allowances Single claimant -Aged Lone parent aged Aged 65 or over Lone parent aged 65 or over One or both aged 60 or over, but both under one member or both members aged 65 or over Polygamous marriages (HB spc Regs Schedule 3 para 1(4)/ CTB spc Regs Schedule 1 para 1(4) If the claimant is a member of a polygamous marriage and none of the members of the marriage have attained the age of 65 For the claimant and the other party to the marriage For each additional spouse who is a member of the same household as the claimant If the claimant is a member of a polygamous marriage and one or more members of the marriage are aged 65 or over For the claimant and the other party to the marriage For each additional spouse who is a member of the same household as the claimant Child or young person Premiums Severe Disability Premium -Single couple one qualifies couple both qualify Enhanced Disability Premiums Single rate

20 Appendix B Child rate Disabled child premium Carer premium Non-dependant deductions HB (Thresholds April 2008) -in receipt of Pension Credit Nil Nil -aged 25 or over and on IS or JSA(IB), or aged 18 or over and not in remunerative work aged 18 or over and in remunerative work -gross income less than gross income to gross income gross income gross income gross income 369 and above Non-dependant deductions CTB (Thresholds April 2008) -aged 18 or over and in remunerative work -gross income greater than gross income gross income gross income less than others aged 18 or over in receipt of IS/JSA(IB), Pension Credit Nil Nil

21 Appendix C: Annex Income Support rates Personal allowances Single Under 18 usual rate Under 18 higher rate paid in specific circumstances or over Lone parent Under 18 usual rate Under 18 higher rate paid in specific circumstances or over Couple Both under Both under 18, one disabled Both under 18, with responsibility for a child One under 18, one aged One under 18, one aged Both 18 or over Dependent children Birth to September following 16 th birthday From September following 16 th birthday to day before 20 th birthday Premiums Family premium Family (lone parent rate) Pensioner premium couple Pensioner (Enhanced) Premium couple Pensioner (Higher) Premium couple

22 Appendix C: Annex 1 Disability Premium Single Couple Enhanced Disability Premium single rate Disabled child rate Couple Severe disability premium Single Couple (one qualifies) Couple both qualify Disabled Child Premium Carer Premium Capital Limit Upper Capital Limit 16, , Lower Capital limit 6, , Care Home Limit 10, ,000.00

23 Appendix C: Annex 2 Main income-based Jobseeker s Allowance rates Personal allowances Under or over Lone parent Under 18 usual rate Under 18 higher rate payable in specific circumstances or over Couple Both under Both under 18, one disabled Both under 18 with responsibility for a child One under 18, one One under 18, one Both 18 or over Dependent children From birth to September following 16 th birthday From September following 16 th birthday to day before 20 th birthday Family Premium Family (lone parent) rate Capital Limit Upper Capital Limit 16, , Lower Capital Limit 6, ,000.00

24 Appendix C: Annex 2 Premiums Pensioner Premium Single Couple Pensioner (enhanced) Premium couple Pensioner (higher) Premium Single Couple Disability Premium Single Couple Enhanced Disability Premium single rate Disabled child rate Couple Severe Disability Premium Single Couple one qualifies Couple both qualify Disabled Child Premium Carer Premium

25 Appendix D: Annex 1 Contributory and non-contributory social security rates Attendance Allowance Higher rate Lower rate Carer s Allowance Carer s Allowance Carer s Allowance: adult dependant Child Benefit -only, elder or eldest for whom child benefit is payable (couple) each subsequent child Disability Living Allowance Care component Highest Middle Lowest Mobility component higher Mobility component lower Incapacity Benefit Long term Incapacity Benefit single person Spouse or adult dependant (when appropriate) Short term Incapacity Benefit (under pension age) Lower rate Higher rate Spouse or other adult dependant (where appropriate) Short term Incapacity Benefit (over pension age) Lower rate Higher rate

26 Appendix D: Annex 1 Spouse or other adult dependant (where appropriate) Increase of long-term Incapacity Benefit for age Higher rate Lower rate Invalidity Allowance (Transitional) Higher rate Middle rate Lower rate Permitted earnings limit (former therapeutic earnings limit) Child Dependency Increases Rate of child addition to Retirement Pension, Widow Benefit; Long Term Incapacity Benefit (higher rates); Carer s Allowance and Severe Disability Allowance; also Short Term Incapacity Benefit (lower rate) if claimant is over pension age Only, elder or eldest child for Child Benefit purposes couple* Other children * In certain circumstances, a child dependency addition may not be payable in respect of this child. Guardians Allowance Industrial Injuries Benefit Disablement benefit (100% assessment) Unemployability supplement Reduced Earnings allowance (maximum) Industrial Death Benefit Widows Pension Higher rate Lower rate Widower s Pension

27 Appendix D: Annex 1 Jobseeker s Allowance Contribution-based JSA personal rates Under or over Maternity Allowance Standard rates Threshold State Pension Single person Spouse or adult dependant Over 80s pension (non contributory based on residence) Severe Disablement Allowance Basic rate Spouse or other adult dependant (where appropriate) Age addition Higher rate Middle rate Lower rate State Pension Credit Guarantee credit rates Single Couple Premiums Disability Single Couple (1 qualifies) Couple (both qualify)

28 Appendix D: Annex 1 Carers Savings credit Threshold - single Threshold - couple Maximum single Maximum couple Statutory Adoption Pay Earnings threshold Standard Rate Statutory Maternity Pay Earnings threshold Standard rate Statutory Paternity Pay Earnings threshold Standard rate Statutory Sick Pay Earnings threshold Standard rate

29 Appendix D: Annex 1 Main increased War Pension rates Disablement Pension (100% rates) Officer ( per annum) 7, , Other ranks Age allowances 40% - 50% Over 50% but not over 70% Over 70% but not over 90% Over 90% Unemployability allowances Personal Adult dependency increase Increase for first child Increase for subsequent children Constant Attendance Allowance Exceptional rate Intermediate rate Full day rate Part-day rate Comforts Allowance Higher rate Lower rate Mobility Supplement Allowance for lowered standard of occupation (maximum) Exceptionally severe disablement allowance Severe disablement occupational allowance

30 Appendix D: Annex 1 Clothing allowance ( per annum) War Widow(er)s Pension Widow(er)s - private Childless widow(er) under 40s (other ranks) Rent Allowance (maximum) Age Allowance for elderly widows (a) age (b) age (c) age 80 and over Supplementary 1973 war Widows/Widowers Pension

31 Appendix D: Annex 2 Bereavement benefits Bereavement payment (lump) sum 2, , Widowed parents allowance Bereavement Allowance Standard rate Age related Age Age Age Age Age Age Age Age Age Age

32 Appendix E Main National Insurance Contribution rates 2008/09 April 2008 Class 1 employees not contracted out Earnings 0 to 105 per week Nil to 770 per week 11% Over 770 per week 1% The lower earnings limit is 90. Contributions will be deemed to have been made though not actually paid, up to 105. For benefit purposes. Class 2 self employed Below small earnings exceptions ( 4, per year) Nil Weekly rate above small earnings exceptions 2.30 Special class 2 weekly rates for share fishermen 2.95 Class 4 self employed Profits or gains Lower limit 5, per year Upper limit 40, per year Rate (between lower and upper limit) 8% Rate (above upper limit) 1%