Proposed changes to contribution-based Employment and Support Allowance

The Welfare Reform Bill currently going through Parliament is proposing two changes to contribution-based Employment and Support Allowance (ESA):

• to limit the amount of time that people in the Work Related Activity Group can receive contribution-based ESA to 12 months; and
• to remove the special contribution criteria for ESA "youth".

If passed by Parliament these changes will be introduced in Spring 2012.

These proposed changes are not yet law. However, given their possible effect, Jobcentre Plus have decided to write to claimants to prepare them to this possible change. Starting on 19 September 2011 and running over a 4 week period, we will write to all claimants receiving contribution-based ESA to advise them that their contribution-based benefit may be limited to 12 months.

Claimants in the Work Related Activity Group whose entitlement to contribution-based ESA ends after 12 months will be able to get income-related ESA if they are eligible. There will always be a safety net to support those who have no means of supporting themselves.

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