General Increase in benefits : UK Government Claw backs

From 12th April 2012 there is scheduled to be an increase in the General Level of Benefits, this will mean that for example the basic rate of Incapacity benefit, long term will become £99.15 per week. The incapacity age addition will be £5.90 making to total weekly benefit for a single sick and disabled claimant over the age of 45 to be £105.05 per week, from a previous figure of £99.85

However those who are also in receipt of housing benefit, possibly the majority of such claimants face a considerable government claw back which will come into effect on 13th August 2012 when protection ends against the governments reduction in LHA to £80.77 This will be the second such reduction in LHA which will impact the sick and disabled during this government. Housing benefit is an essential form of income for benefit claimants and is being systematically targeted by this government for cuts. Housing benefit is calculated using a figure determined by government of how much the law says a sick and disabled person needs to live on, this figure is £67.50 plus £28.85 for sickness or disability. £96.35 in all.  If this figure is not increased on 12th April, or by 13th August sick and disabled people face a considerable reduction in the total amount of benefit awarded.

Housing benefit awarded prior to 12 April :         £84.02

Housing benefit projected after 12 April if the amount the law says a sick and disabled person need to live on remains the same :  £80.64

Housing benefit projected after 13th August :      £75.11

The net effect of all this is that the general increase in benefits for all those on incapacity benefit of £5.20 per week stands to be offset by a reduction of housing benefit of £8.91 per week, leaving them on average £3.71 per week worse off DESPITE the general increase in benefit. And that sick and disabled people will now have to pay on average £12 per week towards their rent to make up the housing benefits shortfall. Where prior to the incumbency of this UK government LHA in most cases covered all of their rent at its previous level.

This is simply the final straw in this governments’ scapegoating of the sick and disabled, the amounts seem tiny until you look at them as a percentage of weekly income, in this case a reduction of 11% during the course of this government.