Latest changes to AET, CET for parents and 'Light Touch'

jane_doe

I'm a single parent with my youngest child being eight. Currently working 26 hours a week at min wage and just been migrated from TC to UC (missed the deadline for transitional protection and currently still in first assessment period, so no idea how my UC will compare to the previous TC payments).

Now just seen that the UC rules/thresholds have been changed again? Now primary carers of young children aged between 3 and 12 are expected to work 30 hours per week? Also, the AET has been increased again, this time it's up to £812 for a single claimant. Huge increase over the past 12 months. And they've also toughened up on the 'light touch' regime - now they require 'regular work focussed interviews'? 

I'm wondering how all this is going to affect me and other single parents in the real world? It seems a brutal change for parents of 3 year olds to have to work 30 hours a week.

Also is AET and CET based upon gross income or net? Get the impression it should be gross, but everything in UC world seems to work off net income/take home pay?

Robbie64

AET and CET are both based on gross taxable pay and not net pay.

huckster

Yes from 25th October 2023, Government under UC requires lead parent carers to work/look for work for minimum of 30 hours per week. But, the Work Coach can tailor the claimant commitment for fewer hours to take into consideration such things as insufficient child care facilities in the local area, so if parent has letters/emails from childcare providers saying they have no spaces available this may help. 

Yamor

A few points:
1. The AET has not yet gone up to £812, although it is expected to go up to that amount in the near future.
2. Those in the light touch regime have not yet started being called in for work focussed interviews (nor expected to carry out work preparation activities). Although this was supposed to start in September, it will only actually start in 2024.
3. Although both the AET and CET are based on gross income, it appears that payroll giving deductions are supposed to be taken into account. Whether this is done in practice or not, I don't know.

GiroBoy

To note:

The proposed change is to amend Regulation 99 (6) of the Universal Credit Regulations 2013 to raise the AET to £812 for individual claimants and £1,309 for couples. This is equivalent to an individual working 18 hours per week at the NLW or the claimants in a couple working a total of 29 hours per week at the NLW. The timing of the change has not yet been decided and depends on a deliverability assessment. However, the Policy Costing Note works on the assumption of an autumn implementation date.

tifo

GiroBoy said:

To note:

The proposed change is to amend Regulation 99 (6) of the Universal Credit Regulations 2013 to raise the AET to £812 for individual claimants and £1,309 for couples. This is equivalent to an individual working 18 hours per week at the NLW or the claimants in a couple working a total of 29 hours per week at the NLW. The timing of the change has not yet been decided and depends on a deliverability assessment. However, the Policy Costing Note works on the assumption of an autumn implementation date.

In April 2024 the NMW is increasing to at least £11 an hour so these figures will probably change as it's based on a number of hours and not a figure.