Some claimants will have to work longer after January 30 in order to continue receiving their full payment. The policy, known as the administration earnings threshold (AET), determines which work group UC claimants are assigned to and whether they need to look for more work.
The ‘light touch’ group is exempt from having to look for work in order to receive benefits and has less contact with the JobCentre. To receive their money, the ‘intensive group’ must work or look for work for a set number of hours. To get their money, UC claimants must work 12 hours or less at the national minimum wage and meet with a work coach.
The new rule, which goes into effect on January 30, will raise this threshold to 15 hours or less at minimum wage, putting 120,000 people in this category. They may lose their benefits if they do not meet the DWP’s requirements.
Claimants who work more than 12 hours per week will now need to work more than 15 to keep their benefits.
Your qualification rate for each group will also change. The current monthly rate of £494 (or £782 for joint claimants) will be increased to £618 (or £988 for joint claimants). Those earning more than this will not be required to look for work, but those earning less will be assigned to the ‘intensive work search’ group and given a set number of job hunting hours per week.
The number of hours is determined by individual needs such as childcare obligations and health conditions. You may be required to submit applications, create an online history, register with an employment agency, or keep a job profile. Benefits may be terminated if you fail to meet a mandatory commitment without a valid reason.
Certain groups, such as those unable to work due to long-term illness or disability, and those over the state pension age of 66, will be exempt from sanctions, according to the government.