Contributory benefits:
Bereavement Benefits
Employment and Support Allowance (contribution based)
Incapacity Benefit
Jobseeker’s Allowance - contribution based
Retirement Pension
Non contributory benefits:
Attendance Allowance
Carers Allowance
Child Benefit
Disability Living Allowance
Employment and Support Allowance in youth and Incapacity Benefit in youth
Guardians Allowance
Industrial Injuries Benefit
Industrial Death Benefit
Maternity Allowance
Severe Disablement Allowance
Statutory Adoption Pay
Statutory Maternity Pay
Statutory Paternity Pay
Additional Statutory Paternity Pay
Statutory Sick Pay
War Pensions/Armed Forces Compensation Scheme
Each of these benefits has different rules. Once a person satisfies these rules they usually get the benefit regardless of any other income that they have. But there are exceptions. See also the overlapping benefits rules. For some, additional amounts may be claimed for dependants - although additions for children were replaced by Child Tax Credit for new claimaints from 7 April 2003. They are split into 2 main headings of contributory and non - contributory.
In order to qualify a person must have paid enough National Insurance contributions
The main contributory benefits are:
Paid to some people whose spouse has died. Entitlement depends mainly on the national insurance contribution record of the late spouses or if they died as a result of an industrial accident or disease and the claimant's age at death. There are three different bereavement benefits:
Bereavement Allowance
Paid to bereaved over 45 but under pensionable age who are not receiving Widowed Parents Allowance and it is within 52 weeks of spouse dying. It is taxable.
Bereavement Payment
A tax-free lump sum payment of £2,000. The bereaved must be under 60 when their spouse dies or if older, the spouse was not entitled to a Category A Retirement Pension when they died.
Widows Benefits - no new claims from 9.4.2001 however some women will continue to receive these benefits.
Widowed Parents Allowance
Paid to bereaved with children, or who are pregnant by late husband and under pension age when spouse died. It is taxable.
Employment and Support Allowance (contribution based) (ESA(C)) replaced Incapacity Benefit for people who cannot work because of illness or disability, for new claims from 27 Ocotber 2008. It can be topped up by Employment and Support Allowance (income related)
ESA(C) can be claimed by people who have "limited capability for work". It is paid at a basic rate for the first 13 weeks. An additional component is paid from the 14th week.
The National Insurance contributions rules do not apply to 16 to 19 or 25 year olds under the ESA in youth rules. This exception ends for claims from April 2012.
More information about Employment and Support Allowance.
Contact Employment and Support allowance
Incapacity Benefit was replaced for new claims from 27 October 2007 by Employment and Support Allowance (ESA).
People already getting it on 27 October 2008 stay on in it until they stop being entitled or are gradually tested under the ESA test. This will start to happen from February 2011.
More details on the abolition of incapacity benefit
Some people can still claim Incapacity Benefit after 27 October 2008.
Incapacity Benefit is paid to people who cannot work because of illness or disability. This has to be shown, in most cases, by completing a long form and satisfying the 'Personal Capability Assessment'. This is where the claimant has to score a certain amount of points for not being able to do certain physical and mental activities. Some people are exempt from this test. More on how incapacity is tested.
The National Insurance contributions rules do not apply to 16 to 19 or 25 year olds under the Incapacity Benefit in youth rules. This exception ends for claims from April 2012.
Incapacity Benefit is paid at one of three rates depending on how long a person has been unable to work: Short-term lower rate for the first 28 weeks, short-term higher rate from week 29 to week 52 and long-term rate after 52 weeks (or after 28 weeks if terminally ill or on Disability Living Allowing high care rate). It can be reduced by an occupational or private pension - unless for example, the claimant gets highest care rate of DLA. It is taxable after 28 weeks. Dependents additions may be claimed.
It cannot be paid at the same time as Statutory Sick Pay (SSP) but can be paid when SSP runs out or is not payable at all. Incapacity Benefit can be paid ontop of wages being paid when on the sick.
Normally it cannot be awarded if working but there are exemptions.
Contact Incapacity Benefit
Paid to people who are unemployed or who are working less than 16 hours a week but only if they have paid enough National Insurance contributions at the right time. It is paid for 6 months and is taxable. There are three different age-based rates. There are strict labour market conditions that must be satisfied. For example, having to be available for work. Earnings and occupational and personal pensions are taken into account.
Paid to those people over pensionable age. A common pension age of 65 for both men and women has been introduced. This change will be phased in for women born on or after 6 April 1950 between 2010 and 2020. More information on the pension changes. There are two main categories of Retirement Pension: A or B. Category A pensions are payable on a person's own National Insurance contribution record throughout his/her working life. Both categories are taxable. A dependent addition may be payable.
To get these, a person does not have to have paid National Insurance contributions, they just have to satisfy the basic conditions. The benefits are also usually paid whatever other income a person has. This means they share the general title of “non-means-tested benefits” with contributory benefits. The main non-contributory benefits are:
Paid to ill or disabled people who first claim aged 65 and over, who have care or supervision needs. There are two rates of payment depending on the level of care needed. It is non-taxable.
See our Detailed guide to Attendance Allowance and Disability Living Allowance
See also our AA claim and appeal submissions for Visually Impaired People and Deaf People
Paid to people who first claim between 16 and 65 years old and who spend at least 35 hours a week caring for someone who gets either Attendance Allowance or Disability Living Allowance care component - higher or middle rate. The carer must not be in full time education or earning above a certain amount. Dependents additions may be payable. It is taxable. Changes in 2002 and 2003.
Paid for children under 16 years old. For those who stay on at school or take up unwaged training, it can be extended up to their 20th birthday. It is non-taxable. Administered by Revenue and Customs.
Paid to some ill or disabled people. It is made up of 2 components -
Care component
for people who need attention or supervision due to an illness or disability, and
Mobility component
for people who have problems walking or need supervision while walking.
There are three rates of payment of the care component and two rates of the mobility component. The highest of each component can be paid at the same time. It is non-taxable.
Request our detailed guide to Disability Living Allowance and Attendance Allowance.
Also request our DLA claim and appeal submissions for Visually Impaired People and Deaf People
Contact Disibility Living Allowance
People who become incapable of work between the age of 16-19 (25 in some cases) do not have to satisfy any National Insurance contribution rules to get Incapacity Benefit or Employment and Support Allowance. This exception ends for claims from April 2012.
Contact Incapacity Benefit or Employment and Support Allowance
A tax free benefit paid to people looking after children who are effectively orphans or parents in prison. Administered by Revenue and Customs.
Paid to the widow or widow er and children of an employ ee w ho died before 11 April 1988 due to an ac cident or disability caused by work.
Contact Industrial Death Benef it
For people who are disabled because of their employment. There are various tax-free allowances including Disablement Benefit where the amount of benefit paid depends on the percentage of disability. Reduced Earnings Allowance is also payable in certain circumstances. Other schemes may apply. For example, possible lump sums for exposure to asbestosis causing mesothelioma.
Contact Industrial Injuries Benefit
For unemployed pregnant women who have recently worked. Generally this means having been employed or self employed for at least 26 weeks in the 66 weeks immediately before the expected week of confinement. And, average earnings must be at least £30 a week. It lasts for 39 weeks. It is paid at one of two rates depending on recent earnings from employment or self employment. Dependants additions were abolised on April 2010 for new claims. It is non-taxable. See changes in 2007 Benefit Bulletin
This non-taxable benefit was abolished in April 2001. People already on it before this date continue to receive it if still eligible. Paid to people who were incapable of work but had not paid sufficient National Insurance contributions to qualify for Incapacity Benefit. Additions were payable for a spouse and children.
Some people on SDA will eventually have to undergo the Employment and Support Allowance test.
Contact Severe Disablement Allowance
Paid by employers to some employees during adoption leave. It is paid for a maximum of 39 weeks. It is taxable. Additional SPP can be paid if the main carer is swapped. For changes see Benefit Bulletins generally and in 2003 and 2007
Paid by employers to some employees who are pregnant or who have recently given birth. They must remain in work until 11 weeks before the baby is due. It can be taxable in certain situations. It is payable for 39 weeks. See changes in 2007 Benefit Bulletin
Paid by employers to some employees for parental leave following the birth or adoption of a child. It is paid for a maximum of two weeks. It is taxable. Additional SPP may also payable. see below. For changes see Big benefit issues, Benefit Bulletins in 2003 and 2007
Mothers can give some of their maternity leave and pay to the father. This also applies to adoption pay and leave. If a birth is due or notification of an adoption match falls on or after 3 April 2011, a father, partner or carer can receive additional SPP of up to 26 weeks. It allows the parents to swap who is the main carer from 20 weeks after the child is born or adopted.
More information on Additional Statutory Paternity Pay
This benefit is for employed people who are sick for four or more days in a row. It is claimed from an employer and can be paid for a maximum of 28 weeks. A person may be entitled to contractual sick pay in addition to SSP. A person does not have to claim SSP. Their employer will arrange to pay the SSP usually when a person gives in medical certificates afte r more than seven days of sickness. If an employer cannot pay SSP or entitlement has been used up, Incapacity Benefit, or from 27 October 2008, Employment and Support Allowance, should be claimed. Incapacity Benefit or Employment and Support Allowance can be paid even if wages are still being paid.
There are no additions for dependants. It can be taxable in certain situations.
For people who are either injured or disabled whilst working or serving in the armed forces. It can also be paid to widows and widowers of those who have served or worked in the armed services. There are various tax-free allowances similar to Industrial Injuries Benefits. It changed to Armed Forces Pension and Compensation Scheme in April 2005 with equal treatment for other ranks and unmarried partners. Can choose to stay on War Pension.
More details from the Service Personnel and Veterans Agency website.
Contact Armed Forces Compensation Scheme
See also
Means tested benefits | other benefits | benefit administration | the rates | Introduction to benefits
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Page last updated: 19 April, 2012
