The Welfare Reform (Northern Ireland) Order 2015 (Commencement No. 8 and Transitional and Transitory Provisions) Order 2017

EXPLANATORY NOTE

(This note is not part of the Order)

This Order brings into force provisions of the Welfare Reform (Northern Ireland) Order 2015 (S.I. 2015/2006 (N.I. 1) (“the 2015 Order”) that relate to universal credit (“UC”) and the abolition of income related employment and support allowance and income-based jobseeker’s allowance.

Article 3 brings into force on 27th September 2017 various provisions of Parts 3, 6 and 7 of, and Schedules 7, 8 and 12 to, the 2015 Order, mainly in relation to jobseeker’s allowance (“JSA”), employment and support allowance (“ESA”) and the extension of powers to recover benefit overpayments to apply in relation to UC.

Paragraphs (1) and (2) of Article 4 bring into force on 27th September 2017 various provisions relating to UC including certain supplementary and consequential provisions set out in Schedule 2 to the 2015 Order. Paragraphs (3) and (4) bring into force the provisions in Part 2 of the 2015 Order (“the UC provisions”), as set out in Schedule 1, in relation to the different cases as set out below.

Under Article 4(3) and (4)(a), the UC provisions come into force in relation to a claim for UC, and any award that is made in respect of the claim, where the claim is made on or after 27th September 2017 with respect to a period that begins on or after 27th September 2017 and, on the date on which the claim is made, the claimant resides in one of the No. 1 relevant districts.

The postcodes in the No. 1 Relevant Districts are set out in the table contained in the document entitled the List of the No. 1 Relevant Districts, issued by the Department for Communities on the date of making of this Order. The document is available in the libraries of both Houses of Parliament and may also be obtained free of charge from the Social Security and Legislation Division, Department for Communities, Level 8 Causeway Exchange, 1-7 Bedford Street, Belfast, BT2 7EG, in hard copy, or from the Department for Communities website, in soft copy, at: https://www.communities-ni.gov.uk/publications/universal-credit-roll-out-by-postcode.

Under Article 4(3) and (4)(b), the UC provisions come into force in relation to a claim for UC, and any award that is made in respect of the claim, where the claimant claims UC on or after 27th September 2017 in respect of a period that begins on or after 27th September 2017 and provides incorrect information regarding the claimant residing in one of the No. 1 relevant districts, but this is only discovered once payments of UC have been made.

Under Article 4(5), the day appointed for the coming into force of the UC provisions in the above cases is the first day of the period in respect of which the claim is made.

Article 5 contains provision with respect to the position where a person claims UC and provides incorrect information as to their place of residence.

Article 6 brings into force provisions of the 2015 Order relating to the abolition of income-related employment and support allowance and income-based jobseeker’s allowance (“the amending provisions”), in relation to a number of different cases as referred to below.

Under Article 6(1) and (2)(a), the amending provisions come into force in relation to a claim for UC, and any award that is made in respect of the claim, where the claim is made on or after 27th September 2017 with respect to a period that begins on or after 27th September 2017 and, on the date on which the claim is made, the claimant resides in one of the No. 1 relevant districts.

Under Article 6(1) and (2)(b), the amending provisions come into force in relation to a claim for UC, and any award that is made in respect of the claim, where a claimant claims UC on or after 27th September 2017 in respect of a period that begins on or after 27th September 2017 and provides incorrect information regarding the claimant residing in one of the No. 1 relevant districts, but this is only discovered once payments of UC have been made.

Under Article 6(1) and (2)(c), the amending provisions come into force in relation to a claim for ESA or JSA, and any award that is made in respect of the claim, where the claim is made on or after 27th September 2017 and, on the date on which the claim is made, the claimant resides in one of the No. 1 relevant districts.

Under Article 6(1) and (2)(d), the amending provisions come into force in relation to the case of a claim for ESA or JSA where the claim is not a claim for ESA or JSA as referred to in Article 6(2)(c) and where the claim is made during the “relevant period” (mainly the period when a claim for UC is being considered or an award of UC is extant).

Under Article 6(3), the day appointed for the coming into force of the amending provisions in the above cases is the first day of the period in respect of which the claim is made.

Paragraphs (4) to (6) of Article 6 provide that a reference in paragraph (1) to a claim for UC includes a reference to any notice under the Employment and Support Allowance (Transitional Provision and Housing Benefit) (Existing Awards) Regulations (Northern Ireland) 2010 (S.R. 2010 No. 312) (“2010 Transitional Regulations”) that is issued to such a person, relating to the conversion of existing awards of incapacity benefit and severe disablement allowance to ESA, and to any award of ESA that is made as a result of a conversion decision, where the notice is issued within the period of the UC award. It also includes a reference to any claim for ESA or JSA, and any award that is made in respect of that claim, where the claim is made within the period of the UC award by a person to whom the award is made and with respect to a period that commences on or after the first day of entitlement to UC.

Article 7 contains provisions that apply in connection with Article 6.

Article 8 provides that, where a person claims ESA or JSA and they would not be able to claim UC by virtue of a determination made by the Department for Communities under regulation 2A of the Universal Credit (Transitional Provisions) Regulations (Northern Ireland) 2016 (S.R. 2016 No. 226) (claims for UC may not be made in a specified category of case or area), or by virtue of regulation 40 of those regulations (claims for UC prevented by persons with more than two children or qualifying young persons during specified period), then Part 1 of the Welfare Reform Act (Northern Ireland) 2007 (2007 c. 2 (N.I.)), the Jobseekers (Northern Ireland) Order 1995 (S.I. 1995/2705 (N.I. 15) ) and other relevant provisions apply in relation to the claim for ESA or JSA as if the amending provisions had not come into force. There is an exception where the claim for ESA or JSA is made during the period specified in Article 6(2)(d) (mainly, where the claim for ESA or JSA is made during the period when a claim for UC is being considered or an award of UC is extant).

Article 9 provides that the appointed day for the coming into force of the specified provisions in the 2015 Order that relate to claimant responsibilities in relation to a new style ESA award or a new style JSA award, as well as related transitional provisions, is, in relation to a particular case, the day the amending provisions come into force.

Article 10 and Schedule 3 provide for transitional provisions whereby, in relation to cases with respect to which the amending provisions have come into force, the 2010 Transitional Regulations are to be read as if the amendments set out in Schedule 3 were made; the amendments substitute references to provisions that apply to new style ESA awards including the Employment and Support Allowance Regulations (Northern Ireland) 2016 (S.R. 2016 No. 219).

Articles 11 and 12 provide for transitional provisions with respect to assessments of limited capability for work or for work and work-related activity where a person has a new style ESA award and previously had an old style ESA award, or vice versa.

Articles 13 and 14 provide for transitional provisions with respect to the continuity of jobseeking periods where a person has a new style JSA award and previously had an old style JSA award, or vice versa.

Articles 15 to 17 provide for transitional provisions in relation to sanctions where a person has a new style ESA award and previously had an old style ESA award and was subject to sanctions. Articles 18 to 20 make similar provision for JSA.

Article 21 provides that where a person has a new style ESA award or new style JSA award, is subject to sanctions and subsequently becomes entitled to an old style ESA award, old style JSA award or income support, the sanctions cease to have effect.

Article 22 provides for a transitory provision with respect to appeals where a person is sent a notice relating to a new style ESA award or a new style JSA award.

Article 23 contains a transitional provision providing that, in relation to a case with respect to which the amending provisions have come into force under Article 6(1), references in certain Acts to a contributory employment and support allowance or to a contribution-based jobseeker’s allowance are to be construed as if they included a reference to a new style ESA award or to a new style JSA award respectively.

Article 24 contains transitional provisions that provide that, save in specified cases, a person may not make a claim for housing benefit, income support or a tax credit on any date where, if that person made a claim for universal credit on that date, the UC provisions would come into force in relation to the claim by virtue of Article 4(3) and (4)(a) of this Order.

Article 25 makes provision relating to the possible revision of a decision to make a UC award, where an appeal against a decision not to award old style ESA or old style JSA is finally determined, or a decision relating to a claimant’s entitlement to such an award is revised, after a UC award has been made.