Loosing council tax reduction due to migration to UC

TimeLord1

So @Newcad what he's saying about closing his fortnightly new style ESA to get one monthly UC payment won't change his entitlement to any council tax reduction. But what happens to his National Insurance credits do they continue as Class 3 National Insurance credits because of receiving all Universal Credit?

TimeLord1

KxMx said:

TimeLord1 said:

What caused your migration notice if your ESA is all contribution related and you don't mention housing benefit. Was you receiving disability income guarantee also ?

Previous ESA IR +CB turns into UC & New Style ESA after migration. 
UC replaces the IR & CB converts automatically into NS ESA. 

Yes that's right I couldn't workout what or if he had an income related entitlement or if he was LCW or LCWRA I think the way he put it confused me 

Polarbearmarsh

TimeLord1 said:

So @Newcad what he's saying about closing his fortnightly new style ESA to get one monthly UC payment won't change his entitlement to any council tax reduction. But what happens to his National Insurance credits do they continue as Class 3 National Insurance credits because of receiving all Universal Credit?

As I understand it the national insurance credits continue as before but I will update once the cancellation of ESA is completed and communicated to UC. I should now qualify for council tax reduction. Although I will receive the same amount of money the fact it will be 100% means tested qualifies me to receive the same reduction as when I was on ESA prior to the migration. I think for Bradford council the maximum reduction is 70%.

Chrysalis

It might be worth asking the council for the breakdown of their calculations, some have failed to add element of UC for housing costs as disregarded income.

sammyjammy

I would say don't act hastily with cancelling the ESA, there are circumstances that may arise where you could be glad you kept it separate.  I would first contact a local benefits support organisation, it seems beyond to me that they remove your discount (completely?) when your income hasn't changed and your only income is still benefits adding up to the same amount. 

Polarbearmarsh

sammyjammy said:

I would say don't act hastily with cancelling the ESA, there are circumstances that may arise where you could be glad you kept it separate.  I would first contact a local benefits support organisation, it seems beyond to me that they remove your discount (completely?) when your income hasn't changed and your only income is still benefits adding up to the same amount. 

As many people have said for working age adults each council can set their own reduction rules and discount. Bradford council will only apply reductions for those solely on income based benefits. Even though there is no difference in the amount I receive as UC deducts ESA £/£. I was advised by UC to find out why I had been placed on NS ESA and how long it would last. As I am in the support group it is an indefinite award for as long as I meet the requirements. NS ESA does have some benefits such as continuing whilst in hospital for stays over 4 weeks. It also is paid regardless of spousal income and allows income upto £85pw (I think) and reduces at 50p per £1 earned (or pension) over that amount. As I am single it doesn't benefit me to keep it (as long as UC is unaffected, which I have been assured it won't). £60pcm extra council tax is too much to absorb when I haven't budgeted for the increase just to keep the payments if I end up in hospital long term. I was in hospital in 2014 for about 6 weeks but other than that I've been lucky. It would be better for me to put a bit of money aside each month to build up a small amount to cover for a hospital stay. Having said all that I fully agree that getting advice from independent sources is definitely the best way to go with all benefit decisions.

TimeLord1

So off your council Tax bill you get 25% single occupancy 
But because you've moved to UC they removed your qualifying as disabled income have they calculated the daily living PIP as the 70% reduction also.

kkkklinky

Unfortunately some councils so treat UC differently to legacy benefits...my reduction has been affected since migrating from iRESA to UC, whilst claiming ESA I received a 75% discount but on UC I was only getting a 50% discount purely because Carers Allowance is classed as income on one benefit but not the other. I have now cancelled my CA and now get the full 75% reduction even though I still receive the exact same amount of money.

PIP doesn't impact the CTR where I live.

TimeLord1

I think with ESA any letters you send them with rent changes, savings they see the extras added Support group, Disability income Guarantee, then use those and PIP to reduce amounts also the percentage your allocated must be out of that councils allowance so more people less allowance.

Polarbearmarsh

TimeLord1 said:

So off your council Tax bill you get 25% single occupancy 
But because you've moved to UC they removed your qualifying as disabled income have they calculated the daily living PIP as the 70% reduction also.

The loss of council tax reduction was due to the migration from income based ESA to UC, which somehow put me in New style ESA, that was the reason I lost the reduction. NS ESA is not means tested, so even though I got UC top up (which is income based) I was still unable to claim the reduction. I don't get the single occupancy as I live in a joint tenancy property. A while ago there was a possibility that under 35 single claimants would only be eligible for rent for a bedsit (I don't know if it was ever actioned). As I needed help to manage daily activities, I and my friend got a joint tenancy.