Employment and Support Allowance (ESA) claimants will be limited to one year of benefit payments for those expected to prepare to return to work, the Chancellor George Osborne has announced.
The ESA reform could impact one million people and applies to those placed in the Work Related Activity Group. Only the most severly disabled claimants, who are placed in the support group which includes those terminally ill and on certain types of chemotherapy, will be exempt. Osborne said the measures should save £2bn a year. Disability Living Allowance (DLA) claimants in residential care will see the two forms of the benefit merged while a new overall cap on benefits will also be introduced. Osborne said: "We will time-limit contributory ESA for those in the Work Related Acti...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes