On behalf of the Secretary of State for Work and Pensions, I have signed regulations made under Part 1 of the Welfare Reform Act 2007, which are laid before the House today. This is an important set of regulations which provides the benefit structure and rules for the new employment and support allowance (ESA) which will be introduced from 27 October 2008.
This is a further significant step in the Government's welfare reform strategy and addresses a key area for simplification by providing a single income replacement benefit for people who are not working and have a health condition or disability.
The Employment and Support Allowance Regulations 2008 prescribe the conditions of entitlement and benefit regulations for those who claim on the basis that their capability for work is limited by their physical or mental condition. ESA will be payable in respect of new claims arising from 27 October and will replace incapacity benefit and income support paid on the grounds of incapacity or disability. Incapacity benefit and income support will continue in payment to existing customers.
For ESA, new medical and capability assessments, collectively to be known as the work capability assessment, will focus on what a person can do and identify what steps they might take towards taking up work. We intend to apply the new medical test to existing claimants, as their benefit entitlement comes up for reassessment, starting in 2010. We expect all existing claimants to have been assessed using the new test by 2013.
For the majority of new claimants, ESA will provide, through a series of six mandatory work-focused interviews, the necessary personal adviser and other support to enable them to realise their potential and gain independence by moving into the job market. This will be delivered through the successful pathways to work initiative, which will be extended and available nationally from next month and which has already helped over 64,000 people into work.
ESA will be payable to those with the most severe health conditions or disabilities without them having to undertake any mandatory work-focused interviews—they will be part of the support group. However, no one in the support group will be written off. They will be able to volunteer to receive the same support as the majority of claimants, who will be in the work-related activity group.
The regulations set out the rates of new benefit and ensure that a single person in the support group claiming income-related ESA will be guaranteed an income of at least £102.10 a week—£17.60 a week more than the long-term rate of incapacity benefit. This will be done by automatically passporting them to the enhanced disability premium, as part of our commitment to fairness for the most severely disabled.
http://www.theyworkforyou.com/wms/?id=2008-03-27a.19WS.1
seen at 11:08, 28 March in Written Ministerial Statements.