The Universal Credit (Extension of Coronavirus Measures) Regulations 2021

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations provide for further measures in response to the present outbreak of coronavirus disease in Great Britain.

Under regulation 2, modifications to the amount of the standard allowance in universal credit for the 2020-21 tax year, which essentially increases the underlying rates by £86.67 per assessment period, are continued. The modification will last for a further six months and take account of any up-rating order that takes effect during the period for which the modification is in force. The temporary amounts will not apply for the purposes of calculating transitional protection in relation to a claimant who has moved to universal credit under Part 4 (managed migration) of the Universal Credit (Transitional Provisions) Regulations 2014 (S.I. 2014/1230). Similarly, the temporary amounts will also not apply for the purposes of calculating transitional protection as a result of being a former Severe Disability Premium recipient who has naturally migrated to UC.

These Regulations also amend the provision by which regulation 2 of the Social Security (Coronavirus) (Further Measures) Regulations 2020 (S.I. 2020/371) (“the Further Measures Regulations”) is due to expire on 30th April 2021. Regulation 2 of the Further Measures Regulations provides a discretion for the Secretary of State to apply a number of measures in relation to the minimum income floor, which applies to self-employed claimants in universal credit. Following a review by the Secretary of State of the operation of that regulation, it will now expire on 31st July 2021.

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