Contribution Based ESA Changes

Hi, i dont understand Liz Kendalls speech today regarding changes to Contribution Based ESA. It says you will be expected to look for work and it will be time limited?
I am currently receiving contribution based ESA in the support group, high rates of PIP and no other income related benefits.
I am stressed i think with a lot of other people not understanding what is happening.
If anyone knows more or understands the speech better please let me know.
Thank you for any help

Comments

  • Muttleythefrog
    Muttleythefrog Posts: 20,288 Forumite
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    edited 18 March at 6:29PM
    Hi, i dont understand Liz Kendalls speech today regarding changes to Contribution Based ESA. It says you will be expected to look for work and it will be time limited?
    I am currently receiving contribution based ESA in the support group, high rates of PIP and no other income related benefits.
    I am stressed i think with a lot of other people not understanding what is happening.
    If anyone knows more or understands the speech better please let me know.
    Thank you for any help
    It's not entirely clear but refer to the Green paper (which many disabled people myself included are going through now).. my first reading is merge both together, no test, give different name, pay at ESA rate, time limit but not established (the minister was asked today and said it will be consulted on), possible time limit affecting only new claims... requirement to engage in seeking work but with caveats for disabled. 

    https://www.gov.uk/government/consultations/pathways-to-work-reforming-benefits-and-support-to-get-britain-working-green-paper/pathways-to-work-reforming-benefits-and-support-to-get-britain-working-green-paper
    "Do not attribute to conspiracy what can adequately be explained by incompetence" - rogerblack
  • Spoonie_Turtle
    Spoonie_Turtle Posts: 9,970 Forumite
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    Per the government's Green Paper, that seems to be* basically all we know.  Once someone's unemployment insurance ends people will either have to claim UC or - as is sort of the case now for people who don't have the NI credits to be able to claim ESA but have too much income or savings for UC - have no financial support (other than PIP) if they don't qualify for means-tested benefits. 

    "53. Unemployment insurance would be a new non-means tested entitlement for people who have contributed into the system. It would be created by replacing contribution-based Jobseeker’s Allowance (JSA) and Employment and Support Allowance (ESA) with a new single entitlement, paid at the current ESA rate (currently £138pw) and will be time-limited. … People claiming this would be expected to actively seek work, with easements for those with work-limiting health conditions.

    54. Alongside levelling up the rate, this change would end the indefinite entitlement to contributory ESA for those assessed as having limited capability for work-related activity (for new people claiming). Those unemployed after the time-limited period would be able to claim UC, depending on their personal circumstances. … "

    https://www.gov.uk/government/consultations/pathways-to-work-reforming-benefits-and-support-to-get-britain-working-green-paper/pathways-to-work-reforming-benefits-and-support-to-get-britain-working-green-paper   (Warning: it may be a distressing read.  I for one am livid.)

    *NOTE: I have not read it all thoroughly yet, only skimmed it.  So I may have missed whether there's anything about protections for current ESA.  Also while some measures are planned to be brought in soon, some will take years as new systems will need to be designed and implemented.


  • Cyclamen
    Cyclamen Posts: 706 Forumite
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    I am also unsure what all this means for ESA .  Thank you for asking and those that have replied.

    So its looking like one outcome may be that once the 'time limit' runs out I would lose ESA yet still not be well enough to work?  So I would need to claim UC but would that replace the ESA amounts? 

    Financial insecurity is scary.  I've already cut my bills a lot.  Sold stuff and am now scared


  • Muttleythefrog
    Muttleythefrog Posts: 20,288 Forumite
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    edited 19 March at 11:37AM
    Cyclamen said:

    I am also unsure what all this means for ESA .  Thank you for asking and those that have replied.

    So its looking like one outcome may be that once the 'time limit' runs out I would lose ESA yet still not be well enough to work?  So I would need to claim UC but would that replace the ESA amounts? 

    Financial insecurity is scary.  I've already cut my bills a lot.  Sold stuff and am now scared


    I'm carefully focussed on the wording of 
    "54. Alongside levelling up the rate, this change would end the indefinite entitlement to contributory ESA for those assessed as having limited capability for work-related activity (for new people claiming). Those unemployed after the time-limited period would be able to claim UC, depending on their personal circumstances. "

    The reference to new people claiming suggests to me existing claimants may not be time limited but I'm wary that it is the only such reference I can find in the green paper.

    In terms of claiming UC... that might depend on timing of your application and any rules regarding protection in transferring over to UC. It gets messy because entitlement to the health component of UC will depend on rules applicable... for existing claimants before April 2026 it looks like they'd protect the LCWRA amount indefinitely and freeze it until 2029/30.... but for new claims they'd only get £50 a week for what is now the LCWRA (soon to be health element)... however there is a poorly defined potential premium to top up for the most severely disabled.

    So it's a case of watching the detail, protections for existing claimants and timelines I'd say. Importantly if you claim ESA and UC the ESA is deducted in full from UC award.... but whether UC (for someone inherently eligible due to low income and savings etc) will replace in full a previous award of ESA seems to come down to details not known... and if that remains the case I do wonder if we'll see a spike in ESA claimants applying for UC early next year to gain potential protections that are still unclear.
    "Do not attribute to conspiracy what can adequately be explained by incompetence" - rogerblack
  • Mikki6468
    Mikki6468 Posts: 1 Newbie
    First Post
    I think everyone needs to realise that this means the end of the benefit because she is intending axing the WCA which is used to gain access to ESA.  It is only at the 'discussion' stage so you need to write to her at the House of Commons and to your MPs to make sure it is STOPPED!  All the fuss is being made over PIP whilst this is much more impactful because it is a main income benefit and the only exportable income benefit (I live abroad!).  UC is none exportable so I will lose over €8500 a year if this happens.  I am writing to her today because I think she is in breach of the Brexit WA by not having an exportable sickness benefit.  Don't just sit back and wait you must ACT to get it stopped now while it is still in discussion.  Make sure to reply to the Green Paper discussion (the link is at the end of the paper) to point out the scale of the poverty you will be facing if this is axed.  Please DO NOT BE COMPLACENT because it's a devastating cut by stealth and it must be stopped!!!
  • JKS$(
    JKS$( Posts: 121 Forumite
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    I can't face reading the green paper today, & have a hospital appointment tomorrow, which may give me some bad news.

    Do the changes to CB ESA cover all 'forms' of the benefit? I'm still on the old-style CBESA (support group) rather than the new-style, & no amount of governmental wishful thinking will improve my health or transform me into a person that an employer would want to employ. 

  • Muttleythefrog
    Muttleythefrog Posts: 20,288 Forumite
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    edited 23 March at 11:29PM
    JKS$( said:
    I can't face reading the green paper today, & have a hospital appointment tomorrow, which may give me some bad news.

    Do the changes to CB ESA cover all 'forms' of the benefit? I'm still on the old-style CBESA (support group) rather than the new-style, & no amount of governmental wishful thinking will improve my health or transform me into a person that an employer would want to employ. 

    Contribution based likely would be considered alongside New Style ESA and NS JSA for merge into the new time limited employment insurance. But there is reference in the green paper to suggest existing claimants may be protected from changes... it really is up in the air on the detail and it is still to be consulted on and go through primary legislation. So not possible to give you any guarantees on what will happen. Importantly focus on what is in front of you which is managing your health situation.
    "Do not attribute to conspiracy what can adequately be explained by incompetence" - rogerblack
  • JKS$(
    JKS$( Posts: 121 Forumite
    Sixth Anniversary 100 Posts Name Dropper
    Thanks @Muttleythefrog, like many of us I'm trying not to worry about it all, while waiting for clarity & trying to work out how I'd manage if my CBESA & PIP were cut (spoiler alert - my health would worsen as both pay for private physio & osteopathy, & cabs to get me there & back) while reminding myself not to worry.....
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