To ask the Secretary of State for Work and Pensions, with reference to the draft Universal Credit (Transitional Provisions) (Managed Migration) Regulations 2018, which criteria her Department used to calculate the proposed flat rate of £80 per month to cover the shortfall to claimants' income moving from Employment Support Allowance to universal credit.
As outlined in the Explanatory Memorandum submitted to Social Security Advisory Committee (SSAC), the £80 per month flat rate payment is an additional transitional payment to support people who have a disability and who live alone. In setting the rate for this additional payment, we have had regard to the rates of Severe Disability Premium, and also have taken into account whether the claimant receives additional support through being in the Limited Capability for Work and Work-Related Activity Group (LCWRA) as part of their Universal Credit award.
This is due to the policy design of Universal Credit, and the LCWRA payment, which is set at a much higher rate than its Employment and Support Allowance equivalent to ensure financial support, is available for those who are severely disabled.
Full details on the method of calculation can be found in the documents sent to the SSAC at:
We are committed to ensuring severely disabled claimants have transitional protection during their migration from the legacy system. These changes and the protection proposed in the the Universal Credit (Transitional Provisions) (Managed Migration) Amendment Regulations 2018, will be subject to Parliamentary approval.