The following paragraph shall be inserted after subsection (1)(b)—

“(bb)

disability working allowance;”.

The following subsections shall be inserted after subsection (6)—

“(6A)

A person in Great Britain who has attained the age of 16 and qualifies under subsection (6B) below is entitled to a disability working allowance if, when the claim for it is made or is treated as made—

(a)

he is engaged and normally engaged in remunerative work;

(b)

he has a physical or mental disability which puts him at a disadvantage in getting a job;

(c)

his income—

(i)

does not exceed the applicable amount; or

(ii)

exceeds it, but only by such an amount that there is an amount remaining if the deduction for which section 21(3B) below provides is made; and

(d)

except in such circumstances as may be prescribed, neither he nor, if he has a family, any member of it, is entitled to family credit.

(6B)

Subject to subsection (6E) below, a person qualifies under this subsection if—

(a)

for one or more of the 56 days immediately preceding the date when the claim for a disability working allowance is made or is treated as made there was payable to him one or more of the following—

(i)

an invalidity pension under section 15 of the M2Social Security Act 1975;

(ii)

an invalidity pension under section 15 or 16 of the M3Social Security Pensions Act 1975;

(iii)

a severe disablement allowance under section 36 of the Social Security Act 1975;

(iv)

income support, housing benefit or community charge benefit,

or a corresponding benefit under any enactment having effect in Northern Ireland;

(b)

when the claim for a disability working allowance is made or is treated as made, there is payable to him one or more of the following—

(i)

an attendance allowance under section 35 of the Social Security Act 1975;

(ii)

a disability living allowance under section 37ZA of that Act;

(iii)

an increase of disablement pension under section 61 of that Act (constant attendance allowance);

(iv)

an analogous pension increase under a war pension scheme or an industrial injuries scheme,

or a corresponding benefit under any enactment having effect in Northern Ireland; or

(c)

when the claim for a disability working allowance is made or is treated as made, he has an invalid carriage or other vehicle provided by the Secretary of State under section 5(2)(a) of the M4National Health Service Act 1977 and Schedule 2 to that Act or under section 46 of the M5National Health Service (Scotland) Act 1978 or provided under Article 30(1) of the M6Health and Personal Social Services (Northern Ireland) Order 1972.

(6C)

For the purposes of subsection (6A) above a person has a disability which puts him at a disadvantage in getting a job only if he satisfies prescribed conditions or prescribed circumstances exist in relation to him.

(6D)

In subsection (6A)(c) above “the applicable amount” means the applicable amount at such date as may be prescribed.

(6E)

If the only benefit mentioned in paragraph (a) of subsection (6B) above which is payable to a person as there mentioned is—

(a)

a benefit mentioned in sub-paragraph (iv) of that paragraph; or

(b)

a corresponding benefit under any enactment having effect in Northern Ireland,

he only qualifies under that subsection in prescribed circumstances.

(6F)

A disability working allowance shall be payable for a period of 26 weeks or such other period as may be prescribed and, subject to regulations, an award of a disability working allowance and the rate at which it is payable shall not be affected by any change of circumstances during that period or by any order under section 63 below.”.

In the application of subsection (6B) of section 20 to claims made or treated as made before the first day in respect of which disability living allowance is payable paragraph (b) of that subsection shall have effect as if the following sub-paragraph were substituted for sub-paragraph (ii)—

“(ii)

a mobility allowance under section 37A of that Act;”.

The following paragraph shall be inserted after subsection (12)(f)—

“(ff)

specifying the descriptions of pension increases under war pension schemes or industrial injuries schemes that are analogous to the benefits mentioned in subsection (6B)(b)(i) to (iii) above;”.

The following subsections shall be inserted after subsection (3) of section 21 of the 1986 Act (amount of income-related benefits)—

“(3A)

Where a person is entitled to a disability working allowance by virtue of section 20(6A)(c)(i) above, the amount shall be the amount which is the appropriate maximum disability working allowance in his case.

(3B)

Where a person is entitled to a disability working allowance by virtue of section 20(6A)(c)(ii) above, the amount shall be what remains after the deduction from the appropriate maximum disability working allowance of a prescribed percentage of the excess of his income over the applicable amount.”.

The following paragraph shall be inserted after subsection (6)(a) of that section—

“(aa)

the appropriate maximum disability working allowance;”.