Archive Website of the UK government

Changes to benefits if you are ill or disabled

From the 31st January 2011 people can no longer make new claims for Incapacity Benefit. You should claim Employment and Support Allowance instead.

• Employment and Support Allowance - introduction

Changes for people already claiming incapacity benefits

Your claim will be reviewed if you are getting one of the following benefits:

• Incapacity Benefit
• Income Support paid because of an illness or disability
• Severe Disablement Allowance

Jobcentre Plus will write to you when your benefit claim is going to be reviewed. Not everyone will be contacted at the same time. This started in October 2010 and is expected to be completed in 2014.

Until your claim is reviewed you will continue to get your current benefit, as long as you still meet the conditions for that benefit.

When your claim has been reviewed your Incapacity Benefit payments will stop. You will be paid Employment and Support Allowance if you meet the conditions for claiming that benefit.

This change will not affect you if you:

• claim Employment and Support Allowance already
• are due to reach State Pension age before 6 April 2023
• are already over State Pension age and get Severe Disablement Allowance

Use the following link to find out more about how your claim will be reviewed.

• Benefits if you are ill or disabled - changes you need to know about

How it works

Incapacity Benefit is paid at three weekly rates:

How much do you get?

Current weekly amounts

You may be able to get extra benefit - an 'age addition' - with your long-term Incapacity Benefit. You may be able to get this if you were under 45 when you became too ill or disabled to work.

You may be able to get extra benefit for your partner, civil partner or the person who looks after your children.

Pension income rules

If you have a gross pension income of more than £85 a week, the amount of benefit will be reduced by half of the excess.

The excess is the difference between £85 and the actual pension income. For example, for a pension income of £100, the excess is £15. The amount of Incapacity Benefit payable is reduced by half of that, which is £7.50.

Exceptions

This rule does not apply if:

• you were in receipt of Incapacity Benefit before 6 April 2023
• your claim is made under the linking rules for Incapacity Benefit and links back to before 6 April 2023
• you receive the highest rate of the care component of Disability Living Allowance

How is Incapacity Benefit paid

All benefits, pensions and allowances are paid into an account. This is the safest, most convenient and efficient method of payment.

• How benefits and pensions are paid

Working while claiming Incapacity Benefit - 'Permitted Work'

If you're getting Incapacity Benefit you may be able to do some types of work - within limits. This is called 'Permitted Work'. But if you get Incapacity Benefit and a wage, this could affect any income-related benefits you receive, like:

• Income Support
• Housing Benefit
• Council Tax Benefit

• 'Permitted Work' - working while claiming Incapacity Benefit

What to do if your circumstances change

It's important you contact your local Jobcentre Plus office if your circumstances change - for example if:

• you do any work including voluntary work
• you start training and get a training allowance
• you change your address
• you have been in hospital for 52 weeks and part of your benefit is paid for another adult or child
• you go abroad
  

For more information, contact your local Jobcentre Plus office.

• Contact Jobcentre Plus

How to appeal

You can ask the office that dealt with your claim to look at their benefit decision again if:

• your claim for Incapacity Benefit is refused
• you have questions about your payment

If you're still unhappy with the outcome, you can appeal.

• How to appeal against a benefits decision

Tax credits and other support

You may be able to get Child Tax Credit if you're responsible for at least one child. If you're working, and on a low income, you may be able to get Working Tax Credit.

You can order a claim pack over the phone by calling the Tax Credit Helpline.

• Contact the Tax Credit Helpline

• More about tax credits

More useful links

• Guide to financial support for disabled people (disabled people section)

• Benefit Integrity Centres (BIC) - benefit claim reviews