Citation, commencement, extent and interpretation

1.—(1) These Regulations may be cited as the Social Security Benefits Up-rating Regulations 2023 and come into force on 10th April 2023.

(2) These Regulations extend to England and Wales and Scotland, subject as follows.

(3) Regulation 2 (insofar as it applies to a benefit which is devolved under Part 3 of the Scotland Act 2016( 7)) and regulations 4 and 5 extend to England and Wales only.

(4) The revocation under regulation 8 has the same extent as the provisions that are revoked.

(5) In these Regulations, “ the Up-rating Order” means the Social Security Benefits Up-rating Order 2023( 8).

Exceptions relating to payment of additional benefit by virtue of the Up-rating Order

2.  Section 155(3) of the Social Security Administration Act 1992 (effect of alteration of rates of benefit under Parts 2 to 5 of the Social Security Contributions and Benefits Act 1992) shall not apply if a question arises as to either—

(a) the weekly rate at which the benefit is payable by virtue of the Up-rating Order, or

(b) whether the conditions for receipt of the benefit at the altered rate are satisfied,

until that question has been determined in accordance with the provisions of the Social Security Act 1998( 9).

Persons not ordinarily resident in Great Britain

3.  Regulation 5 of the Social Security Benefit (Persons Abroad) Regulations 1975( 10) (application of disqualification in respect of up-rating of benefit) and regulation 21 of the State Pension Regulations 2015( 11) (entitlement to state pension for overseas residents) shall apply to any additional benefit payable by virtue of the Up-rating Order and to any up-rating increase as defined in section 22(1) of the Pensions Act 2014( 12) respectively.

Amendment of the Social Security (Invalid Care Allowance) Regulations 1976

4.  In regulation 8(1) of the Social Security (Invalid Care Allowance) Regulations 1976( 13) (circumstances in which a person is or is not to be treated as gainfully employed) for “£132”, in both places where it occurs, substitute “£139”.

Amendment of the Social Security Benefit (Dependency) Regulations 1977

5.  In paragraph 2B of Part I of Schedule 2 to the Social Security Benefit (Dependency) Regulations 1977( 14) (increase of carer’s allowance for child dependants)—

(a) for “£255”, in both places where it occurs, substitute “£280”; and

(b) for “£34” substitute “£37”.

Amendment of the Social Security (Claims and Payments) Regulations 1987

6.  In paragraph 4(2A) of Schedule 9 to the Social Security (Claims and Payments) Regulations 1987( 15) (deductions from benefit and direct payment to third parties) for “£27.00”, in each place where it occurs, substitute “£29.75”.

Amendment of the Universal Credit (Transitional Provisions) Regulations 2014

7.—(1) In paragraph 5 of Schedule 2 to the Universal Credit (Transitional Provisions) Regulations 2014( 16) (claimants previously entitled to a severe disability premium)—

(a) for “£120”, in both places where it occurs, substitute “£132.12”;

(b) for “£285”, in both places where it occurs, substitute “£313.79”; and

(c) for “£405” substitute “£445.91”.

(2) The amounts in paragraph (1) apply only in relation to an award of universal credit where the first assessment period begins on or after 10th April 2023.

Revocation

8.  The Social Security Benefits Up-rating Regulations 2022( 17) are revoked.

EXPLANATORY NOTE

(This note is not part of the Regulations)

This instrument contains provisions necessary to give full effect to the 2023 benefits and pensions up-rating exercise.

Regulation 2 provides that where a question has arisen about the effect of the Social Security Benefits Up-rating Order 2023 ( S.I. 2023/316) on a benefit already in payment, the altered rates will not apply until that question is determined by the Secretary of State, the First-tier Tribunal or the Upper Tribunal.

Regulation 3 applies the provisions of regulation 5 of the Social Security Benefit (Persons Abroad) Regulations 1975 ( S.I. 1975/563) and regulation 21 of the State Pension Regulations 2015 ( S.I. 2015/173) so as to restrict the application of the increases specified in the Social Security Benefits Up-rating Order 2023 in cases where the beneficiary is not ordinarily resident in Great Britain.

Regulation 4 increases from £132 to £139 the amount which a person eligible for payment of carer’s allowance can earn in the immediately preceding week without being deemed to be gainfully employed and, therefore, losing their entitlement to carer’s allowance. The Social Security Amendment (Carer’s Allowance) Regulations 2002 ( S.I. 2002/2497) replace references to “invalid care allowance” with references to “carer’s allowance” in certain legislative provisions, but “Invalid Care Allowance” remains part of the title of the Social Security (Invalid Care Allowance) Regulations 1976 ( S.I. 1976/409) for statutory purposes.

Regulation 5 raises from £255 to £280, and from an additional £34 to £37 (in respect of each subsequent child or qualifying young person), the earnings limit for child dependency increases payable with a carer’s allowance. This means that where the claimant’s partner has earnings of £280 or more, no increase is paid for the first child or qualifying young person. After that the rule operates in steps of £37. For each multiple of £37 by which the earnings exceed £280, the increase for a further child or qualifying young person is not payable. These increases were abolished by section 1(3)(e) of, and Schedule 6 to, the Tax Credits Act 2002 (c. 21)but are saved for transitional cases by virtue of article 3 of the Tax Credits Act 2002 (Commencement No. 3 and Transitional Provisions and Savings) Order 2003 ( S.I. 2003/938).

Regulation 6 increases from £27.00 to £29.75 the amount allowed for personal expenses for a person in certain accommodation, where that person’s benefit is paid to the accommodation provider.

Regulation 7 increases the amounts specified for the transitional severe disability premium element in paragraph 5 of Schedule 2 to the Universal Credit (Transitional Provisions) Regulations 2014 ( S.I. 2014/1230). These increased amounts will apply in the first assessment period of an award of universal credit that begins on or after 10th April 2023.

Regulation 8 revokes the Social Security Benefits Up-rating Regulations 2022 ( S.I. 2022/342).

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, public or voluntary sector is foreseen.