Reply To: New Non Dependant Deduction Rate


Well….here is the next (and final) instalment:

(a) We’re puzzled – to whom else do you envisage it might refer?

(b) Again we’re puzzled about what you’re getting at here. Non-deps on MIG will have a nil deduction assumed for them at the moment. If they were is remunerative work, they wouldn’t be on MIG (due to the remunerative work rules in MIG), therefore a deduction would be applied to them. If after 6th Oct and they are still in remunerative work and are on Pension Credit, a £2.30 rate of non-dep deduction would be applied. If they are in receipt of Pension Credit and not in remunerative work, no non-dep would be applied to them.

(c) Once again, we’re not clear what you mean. If someone is on Pension Credit they must be over 60. Similarly, the rules in SI 2003/325 apply to people/partners who are aged over 60. Which non-dep deduction applies to non-deps on Pension Credit is dependent on the status of that non-dependent, not on the age of the householder.

(d) the Miscelleaneous Amendment regs are scheduled for laying in week commencing 8th Sept.

(e) basically, the same amendments as are now carried in the Miscellaneous Amendment Regs. This was a list complied to keep software suppliers in the know about what was likely to come up.


Where does this leave us? Well – I do actually know the real answer now. Not from what you can read above mind you but from someone kindly sending me a copy of the strangely secretive summary of the proposed amendment regulations. It seems this was sent to software suppliers but not LA’s. Why there is an assumtion that we didn’t need it too is rather mystifying and certainly disappointing.

Here is my answer to my own query. If only I’d actually received it!:

“Mark – you are right. There is an error in the regulations and this was spotted by someone else some time ago. The amending regulations that will come out very soon will correct the error. It was never the intention that the rate of non dependant deductions as they apply to Pension Credit recipients would depend on the age of the claimant or partner. Once we have fixed the regs the special rates of non-dependant deduction if the non dependant gets Pension Credit will apply in all cases”.

Case closed!

P.S – I’m sure many of you will now want a copy of the Amendment Regs Summary. I did agree that I would not forward this to anyone because the provider was unsure whether the document was allowed to be circulated. I suggest you ask DWP for a copy.