09 March 2009 – Consultation: Social Security Regulations 2008/2009
Consultation: The Social Security (Housing Costs Special Arrangements) (Amendment and Modification) Regulations 2008 (SI 2008/3195) and The Social Security (Housing Costs Special Arrangements) (Amendment) Regulations 2009.
The Social Security Advisory Committee (SSAC) has been asked by the Secretary of State for Work and Pensions to consider the two sets of regulations named above.
The Social Security (Housing Costs Special Arrangements) (Amendment and Modification) Regulations 2008 (SI 2008/3195) were laid on the 15 December 2008 under the provisions of S.173(1)(a) of the Social Security Administration Act 1992 and came into effect on the 5 January 2009.
These regulations have the following effects:
- an increase in the capital limit up to which mortgage interest can be met from £100,000 to £200,000;
- a reduction in the waiting period to 13 weeks; and
- the introduction of a two-year limit on the payment of Support for Mortgage Interest (SMI) for customers claiming Jobseeker’s Allowance.
The proposed Social Security (Housing Costs Special Arrangements) (Amendment) Regulations 2009 amend unintentional anomalies in the above regulations. In short, they would:
- incorporate minor amendments to make the legislation gender neutral to ensure consistency with current drafting practice;
- ensure that a claimant already in receipt of a relevant benefit which includes housing costs under the old rules continues with support calculated on this basis when moving to another relevant benefit where there is no gap in entitlement rather than getting assistance under the new rules;
- ensure that a claimant who is continuously entitled to the same benefit which includes support for housing costs under the old rules continues to be dealt with under those rules; and
- ensure that a claimant who is in continuous receipt of a Jobseeker’s Allowance cannot access a new 104 week period of payment of housing costs.
Before the Committee considers and reports on both the regulations brought into effect on 5 January 2009 and the proposed amending set, it would like to hear from organisations and individuals who have views, in particular on the following aspects of the proposed changes:
- the introduction and use of the two-year limit;
- the increase to £200,000 on the capital limit up to which mortgage interest can be met;
- the use of the 52 week linking period, which may adversely affect both temporary and seasonal workers; and
- the removal of 50 per cent of SMI at the 8 week stage for vulnerable customers.
Those wishing to make representations to the Committee may obtain copies of the Department’s explanatory memorandum and draft regulations from our website http://www.ssac.org.uk or from the Committee Secretariat (contact Natalie Harwood on 0207 412 1508).
Representations should be sent to the Committee at New Court, 48 Carey Street, London, WC2A 2LS, or by email, or via the consultation response facility on our website, to arrive no later than Friday 3 April 2009.
Note for Editors
The SSAC is the main UK advisory body for all social security matters except those relating to industrial injuries, war pensions, occupational pensions, and National Insurance contributions. Most proposals for social security regulations have to be submitted to the SSAC before they are made. In the case of the Social Security (Housing Costs Special Arrangements) (Amendment and Modification) Regulations 2008, these regulations were submitted for the Committee’s consideration after they were made under the ‘urgency’ provisions. When the Committee reports on proposed regulations, the report is laid before Parliament with the regulations and a statement from the Secretary of State responding to any recommendations the Committee has made. When the regulations have already been made it is customary for the Secretary of State to lay the Committee’s report and his response to it in the libraries of both Houses of Parliament.
