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Ways to avoid losing Employment and Support
Allowance (ESA)
This factsheet looks at how you can keep Contribution Based Employment and Support Allowance or
get it back. You may even be entitled to more ESA!
What is ESA?
Employment and Support Allowance (ESA) is for people who
cannot work due to ill health or disability. It has two parts:
Contribution based ESA 52 week limit
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Contribution Based ESA (CB-ESA) which you get if you
have paid enough national insurance contributions; and
On the 1 May 2012, a new rule meant that Contribution
based ESA (CB-ESA) stops after 365 days. Time spent on
CB-ESA immediately before 1 May will count towards the
365 days.
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Income Related ESA (IR-ESA) which you get if you
can’t get CB-ESA or you get as a top-up of CB-ESA.
This time limit also applies if you have been moved from
Incapacity Benefit to CB-ESA.
After you claim ESA, you enter the assessment phase which
lasts for 13 weeks and receive a basic rate of ESA. During
which time the Department for Work and Pensions (DWP)
decides if you are able to work or not. From week 14, you are
placed in one of two groups. If you can think about work, you
are placed in the 'work related activity group' and receive the
additional work related activity component. If you are too ill or
disabled to do this, you go into the ‘support group’ and get the
extra support component.
But all is not lost!
There are reasons CB-ESA should continue beyond the 365
days and there are ways to get it back. And, it may be that
income related ESA can be paid instead. Read on…
Can income related ESA be paid instead?
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If CB-ESA stops you may be entitled to income related
ESA instead. To make sure, you should claim it from
Jobcentre Plus. Phone 0800 055 6688.
It may be that you are already getting it on top of your
CB-ESA. If so, Jobcentre Plus should increase it to the
same level.
It may be that you are already entitled to income related
ESA but not getting it. If so, phone Jobcentre Plus or
contact an independent advice service.
Can Income Related ESA be paid instead?
•
If CB-ESA stops you may be entitled to income related
ESA instead. To make sure, you should claim it from
Jobcentre Plus. Phone 0800 055 6688.
•
It may be that you are already getting it on top of your
CB-ESA. If so, Jobcentre Plus should increase it to the
same level.
•
It may be that you are already entitled to income related
ESA but not getting it. If so, phone Jobcentre Plus or
contact an independent advice service
Can Contribution Based ESA continue
beyond 365 days?
Days in the support group do not count towards the 365
days. So long as you stay in the support group, your CB-ESA
should continue.
If you are not in the support group, you should check if you
should be. Our factsheet 1 “Being assessed for ESA”
explains the rules. Here is a link to the factsheet on our
website
See the last page for more information.
Are there ways to get it back after it has stopped?
There are two ways you can return to CB-ESA after the time limit has been reached and it has stopped. You may be able to satisfy
both methods outlined below:
Method one
You remain on the sick but your health gets worse - enough to go into the support group.
Once your CB-ESA has stopped after 365 days, if your condition gets worse you should ask to be considered for the support
group. However, you must have remained on the sick. Here is a link to the test for the support group on our website or, you
can get independent advice
or
Method two
You stop signing on as sick for a period and then reclaim ESA. But it depends upon your national insurance contributions.
You may be able to re-qualify for a further 365 days of Contribution based ESA (CB-ESA) if:
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it has been over 12 weeks since your ESA stopped, and your new claim passes the national insurance contribution test. This
requires a bit more explanation.
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to get Contribution Based ESA you must normally have paid enough national insurance contributions in certain years. This
new claim must relate to payments made in different years. You can get details about your national insurance contribution
from HMRC. Phone 0845 302 1479 or, you can get independent advice.
Challenging decisions
If you are unhappy with an ESA decision or you have had a
decision refusing you ESA because of time limiting or any
other reason, you can challenge the decision. You can do
this yourself or you can get help from an advice service. See
our factsheet 4 for “what to do if you disagree with a
decision to stop your ESA”
Carers Allowance warning
If you are a carer and think the above might affect you, get
advice. The person you care for may lose benefit too - or you
may be able to claim Carers Allowance instead.
The impact of this change
There are currently 2.6 million people aged 16 to 64 on ESA
and incapacity benefits.
Approximately 480,000 are on ESA (February 2010 figures) of
which 204,000 have some contributory element.
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Around 60% of all those claiming ESA come off benefit
within a year.
By 2016/17 the DWP estimate a total of around 1 million
people will be affected by this time limiting change, but:
Around half of all contributory ESA claimants would qualify
for some income-related ESA, so would not see the loss of
their entire benefit;
And around two-thirds would lose over £90 per week ESA,
although for some this will be partially offset by increases
to income-related ESA, Housing Benefit or Tax Credits,
with an average net loss of around £50pw.
In Newcastle there are over 1,000 residents on
Contribution based ESA. About half of them may lose
some or all of it due to this change.
Need more advice?
Jobcentre Plus
Phone 0845 604 3719
Gov.uk
https://www.gov.uk/employmentsupport-allowance
Newcastle Welfare Rights
www.newcastle.gov.uk/welfarerights
Disability Rights UK
http://disabilityrightsuk.org/