Incapacity Benefit

If you fall ill or have a disability that stops you from being employed and if you are of working age, you may be able to claim Incapacity Benefit.

Who can claim it?

If any of the following circumstances apply, you may be able to claim Incapacity Benefit:

• 1. You have been on Statutory Sick Pay and it is no longer being paid but you are still too ill to return to work. 2. You are self-employed or have no employment.
• 3. After receiving Statutory Maternity Pay, you have not been able to go back to work because you are too ill.
• 4. Although you are now eligible to claim a State Pension, when you first fell ill, you were under State Pension age.

The following must also apply:

• 1. Your National Insurance Contributions have been paid.
• 2. You have been ill or disabled for at least four consecutive days.
• 3. Your illness or disability has stopped you working for two or more consecutive days in seven.
• 4. You have been receiving medical treatment.

Or:

• 1. You are aged between 16 and 20 (or less than 25 if in education up to three months before you turned 20).
• 2. You have been unable to work due to illness or disability for at least 28 weeks.
• 3. You have been unable to work due to illness or disability before the age of 20 (or 25 if in education up to three months before you turned 20).

How to Claim

A claim form can be collected from your local Jobcentre Plus office or downloaded from the Department for Work and Pensions’ website at http://www.dwp.gov.uk/eservice After making a claim you will have a Personal Capability Assessment which usually involves a medical examination.

How much will you get?

There are three weekly rates of Incapacity Benefit:

• The short-term lower weekly rate is paid for the first 28 weeks. The rate for the year 2007/2008 is £61.35 if you are under State Pension age and £78.05 if older.
• The short-term higher weekly rate is paid for the next 28 weeks. The rate for the year 2007/2008 is £72.55 if you are under State Pension age and £81.35 if older.
• The long-term weekly rate is paid after the first year. The rate for the year 2007/2008 is £81.35 if you are under State Pension age and you are not eligible for the long-term rate if you are older

It is possible to be allowed an ‘age addition’ to the long-term benefit if you have been unable to work since before you reached the age of 45. You may also be eligible for an additional amount if your spouse or someone else looks after your children. Incapacity Benefit is usually paid directly into a bank or building society account.

Working and Claiming Incapacity Benefit

Generally speaking, if your circumstances change and you decide that you are capable of working, you must let your local Jobcentre Plus know and you will no longer be able to claim. However, there are some types of Permitted Work that you can do even if you claim Incapacity Benefit. But what you earn could affect any other income assessed benefits such as Income Support, Housing Benefit or Council Tax Benefit.

Refusal of Incapacity Benefit Claim

After you apply for Incapacity Benefit, you will receive a decision letter. If this is a refusal and you feel the decision is unfair, you can ask for it to be re-assessed. If this doesn’t help, you can appeal against the decision. The method of making an appeal will be detailed in the decision letter and any arguments will be assessed through an independent tribunal.

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