§ Mr. BoswellTo ask the Secretary of State for Work and Pensions when the weekly earnings disregard for incapacity and invalidity benefit(a) was introduced and (b) has subsequently been amended; at what level it stands in real terms compared with that of the time of introduction; and what plans he has to review the level of the disregard. [101726]
§ Mr. Nicholas BrownWeekly earnings disregards are not a feature of incapacity benefit (IB). Entitlement is based primarily on a person's national insurance contribution record, and generally no account is taken of any income that a person may have.
336WThere has, however, always been provision within the rules governing incapacity benefit and its predecessors for people wishing to undertake some work for therapeutic purposes.
We modernised the rules governing therapeutic work from April 2002, giving people greater freedom to try out work without fear of losing their benefit. For the first time, people claiming IB can work for up to and including £20 a week for an unlimited period. In addition, a person may work for less than 16 hours a week and earn up to and including £67.50 from a week for 26 weeks. This can be extended for a further 26 weeks where a job broker, disability employment advisor, or personal adviser supports the extension.
The earnings limit is regularly uprated to keep pace with the national minimum wage, and has increased from £48 per week in 1998 to its current limit. We have no plans to change these arrangements at present.