An “acceptable level of increase in NDDs”

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  • #43870
    seanosul
    Participant

    I can see how the DWP arrived at the £9.40 ndd for 2011 but how did they get to £11.45?

    These are the NDDs if they had been uprated in accordance with the CPI

     

    2011 9.39436 4.5
    2010 8.98982 3.3
    2009 8.70263 2.2
    2008 8.5153 3.6
    2007 8.2194 2.3
    2006 8.0346 2.3
    2005 7.85396 2
    2004 7.69996 1.3
    2003 7.60115 1.4
    2002 7.4962 1.3
    2001 7.4 1.2

    Where did the increase to £11.45 come from? I'm trying to estimate what the NDDs would be for next year if we had kept CTB.

    #124645
    guy
    Participant

    May be CPI September 2012 (2.1%) minus 1%*!!! Sadly we will not know soon enough to publish draft schemes based on the DCLG timetable and your own budget setting. perhaps you will just have to make it clear that an amendment to your draft CTR scheme regarding the specified rules (local version of regulations) and schedules (or whatever you call them)at a later stage, when it becomes clear what central Government will use for their uprating of social security benefits including Housinbg Benefit.

    Strange thing is that LHA rates are set to be increased by CPI next April 2013, I think. :~

    * David Cameron actually quoted to the press at the Conservative Conference RPI minus 1% was being considered, but I presume we will only know on 22 November 2012 Autumn Budget Statement.

    #124661
    chris harvey
    Participant

    They said they would catch up with the non dep charges over 3 years but they seem have front loaded the increase. In April 2011 the increase was rpi (3.1%) + 20%, April 2012 rpi (5.2%) + 10% so maybe next April will be cpi + 10%?. This is pure guesswork.

    #124662
    seanosul
    Participant

    Well it is easy to see how they got to £9.40 but at that stage as that would have been the rate if NDDs had been uprated with RPI but the subsequent jump was not in line.

    #124667
    guy
    Participant

    It is possible the amended default CTR scheme regulations due at the end of November 2012 may just sneak the uprated amounts in, otherwise they will still be current April 2012 CTB NDDs. DCLG guidance in their FAQs version 18/10/2012 just states “Government would not expect local authorities to make large increases in non dependant deductions.” It would not be unreasonable to apply the same percentage increase that HB NDDs will attract, but it is your local scheme. 🙁

    #124668
    seanosul
    Participant

    The solution could be as simple as specifying in the local rules, working age NDDs will be increased in line with the higher of pension age reductions, Housing Benefit Non Dep deductions, RPI, etc. If the DCLG continue the DWP policy then what is reasonable for them must(???) be reasonable for us?

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