in touch – September 2010
Each month, in touch keeps you up to date with the latest news from Jobcentre Plus.
In this edition:
- Mortgage interest support changes
- Consultation on proposed changes to benefits and Tax Credits
- Work Programme update
- Changes to the in touch and Touchbase newsletters.
Change in support for mortgage interest
Support for Mortgage Interest (SMI) helps people with their eligible interest on loans they have taken out to buy their home (up to certain limits) and on certain home improvement loans.
A Standard Interest Rate (SIR) is used to calculate SMI. From December 2004, this was the Bank of England Base Rate plus 1.58 per cent. At the beginning of November 2008, the SIR was 6.08 per cent and was frozen, as a temporary measure.
In June’s emergency Budget, the Chancellor announced the intention that in the future, the Standard Interest Rate will be the same as the average mortgage rate charged by bank and building societies as calculated monthly by the Bank of England. The starting rate that will apply from 1 October will be 3.63% (the rate published by the Bank of England on 31 August 2010).
Any subsequent changes to SIR will be triggered only when the Bank of England average goes up or down by 0.5 per cent or more.
21st Century Welfare consultation launched
The Department for Work and Pensions launched a consultation on the proposed reforms to benefits and Tax Credits and the idea of a Universal Credit. DWP is seeking views from as broad a range of people and organisations as possible. The deadline for submitting comments is 1 October 2010.
Work Programme update for providers
Organisations considering becoming providers or working with others to take part in the Work Programme should visit the Indus Delta website hosted by the Centre for Economic and Social Inclusion (CESI). The Framework Forum on this site will help providers begin their discussions on the DWP Work Programme Framework competition and the Work Programme itself.
Newsletters from Jobcentre Plus and DWP
DWP and Jobcentre Plus will be combining the Touchbase and in touch newsletters from November 2010. The aim is to provide a better service to our stakeholders by producing a single news source on policy and services covering welfare, benefits, pensions, policy developments and corporate news. There will be further details in the October edition of in touch.
To ensure we provide the right information, we would be grateful for your help.
Please complete our short survey
- Survey – news from Jobcentre Plus and DWP (43KB) Rich Text Format
Please email your views to Julian.Anderson@Jobcentreplus.gsi.gov.uk
