DLA rates

50Twuncle

Received a letter this morning from DWP
DLA rates are the same as last year !
I had expected a 1% rise but no !!

Linty

Unfortunately there's been a 4 year freeze on all working-age benefits, so you won't see any up rating for another few years!

50Twuncle

Linty wrote: »

Unfortunately there's been a 4 year freeze on all working-age benefits, so you won't see any up rating for another few years!

I thought that DLA was a disability benefit and exempt ?

System

The freeze does not apply to the extra disability additions/premiums that are paid as part of tax credits and means-tested benefits, nor to disability and carers benefits such as DLA, PIP and Carer's Allowance.

HOWEVER.

Disability benefit rises are now based on the CPI and not the RPI. The September 2015 CPI rate which is used for calculating the rise was actually negative at -0.1% hence no rise for these benefits

50Twuncle

So the reason is CPI not Working age benefits freeze ?

schrodie

50Twuncle wrote: »

So the reason is CPI not Working age benefits freeze ?

Yes. As the CPI last September was 0% DLA/PIP and the Support Group component of ESA will not increase this April.

50Twuncle

schrodie wrote: »

Yes. As the CPI last September was 0% DLA/PIP and the Support Group component of ESA will not increase this April.

Thanks - Frankly - I am surprised that they don't try to reduce it, if CPI is negative (-0.1%) !!

schrodie

50Twuncle wrote: »

Thanks - Frankly - I am surprised that they don't try to reduce it, if CPI is negative (-0.1%) !!

No doubt they would but that would take primary legislation as it isn't written into the Welfare Reform Act.

The tories dropped the ball on that one!! Even so they were mean enough to change the uprating from RPI to CPI because CPI is invariably lower than RPI.

unforeseen

The government have moved lots of things from RPI to CPI. Forces pensions is another.

The freeze of other benefits is also caused by the negative CPI