Changes to non-dependant deductions from April 2012

A non-dependant is normally any adult who lives with you and is not your partner. In some cases we make a deduction from your benefit to represent the contribution the Government expects them to make to your household. This is called a non-dependant deduction.

 

The non-dependant deduction is taken off of the maximum benefit before we work out how much help we can give you with the remaining amount.

 

Non-dependant deduction rates were frozen for 11 years between April 2001 and April 2011.

 

In the June 2010 Budget, the Government announced that non-dependant deductions will be increased over a phased three year period starting in April 2011.

 

The increase is intended to mean a fairer deal for taxpayers and provide an expectation that adults make a reasonable contribution towards their housing costs.

 

The second of the increases come into effect from 1 April 2012.

 

The tables below show the new deductions that come into effect from 1 April 2012.

 

Council Tax Benefit

Non-dependant income

Deduction from April 2012

On State Pension Credit, Income Support, Job Seeker’s Allowance (Income-Based), or Employment and Support Allowance (Income-Related)

Nil

Aged 18 or over and in paid work:

 

Gross weekly income of £394.00 or more

£9.90

Gross weekly income of between £316.00 and £393.99

£8.25

Gross weekly income of between £183.00 and £315.99

£6.55

Gross income of less than £183.00

£3.30

Others aged 18 or over

£3.30

 

Housing Benefit

Non-dependant income

Deduction from April 2012

On State Pension Credit, Income Support, Job Seeker’s Allowance (Income-Based), or Employment and Support Allowance (Income-Related)

£11.45

On main phase Employment and Support Allowance (Income-Related)

£11.45

Not on the main phase Employment and Support Allowance (Income-Related) rate

Nil

On Pension Credit

Nil

Aged 18 or over and in paid work:

Gross weekly income £394.00 or more

£73.85

Gross weekly income of between £316.00 and £393.99

£67.25

Gross weekly income of between £238.00 and £315.99

£59.05

Gross weekly income of between £183.00 and £237.99

£36.10

Gross weekly income of between £124.00 and £182.99

£26.25

Gross weekly income of less than £124.00

£11.45