§ Mrs. Angela KnightTo ask the Secretary of State for Social Security if he will review the decision to abolish reduced earnings allowance for people claiming industrial injuries benefit; and if he will make a statement.
§ Mr. ScottReduced earnings allowance for new accidents and diseases was abolished in October 1990 as part of a package of measures designed to focus benefit on those with the most severe disabilities. The REA may still be claimed for accidents occurring before October 1990 or prescribed diseases which were listed before then and where the onset of the disease was earlier.
A defect in the legislation also enables claims to be made in respect of diseases added to the prescribed list since October 1990, although only where the onset was before that date. This was never the policy intention. We shall bring forward an amendment with effect from October 1994 so that the REA will not be payable for any further extension of the prescribed list.
In the meantime, the Benefits Agency will carry out a special exercise to identify people who have been awarded an assessment of at least 1 per cent. for diseases added to the list since October 1990 and where the date of onset was earlier. Those people will be invited to make a claim for REA.