SOCIAL SECURITY Citation, commencement and interpretation 1 1 These Regulations may be cited as the Social Security (Income Support, Claims and Payments and Adjudication) Amendment Regulations 1995 and shall come into force on 12th December 1995. 2 In these Regulations— a “the Adjudication Regulations ” means the Social Security (Adjudication) Regulations 1995 ; b “the Claims and Payments Regulations ” means the Social Security (Claims and Payments) Regulations 1987 ; and c “the Income Support Regulations ” means the Income Support (General) Regulations 1987 . Amendment of the Adjudication Regulations 2 After paragraph (6) of regulation 63 of the Adjudication Regulations (review in income support cases) there shall be inserted the following paragraphs— 7 Where— a a claimant is in receipt of income support and his applicable amount includes an amount determined in accordance with Schedule 3 to the Income Support Regulations (housing costs), and b the conditions referred to in paragraph (8) are satisfied, any reduction in the amount of eligible capital owing in connection with a loan which qualifies under paragraph 15 or 16 of Schedule 3 to those Regulations shall not constitute a relevant change of circumstances for the purposes of section 25(1)(b) or (c) of the Administration Act. 8 The conditions are that the reduction in eligible capital occurs— a in the period between the date when housing costs are first met under Schedule 3 to the Income Support Regulations and the first anniversary of that date; b in the period between each subsequent anniversary of the date when the housing costs referred to in sub-paragraph (a) were first met. 9 Where a claimant is in receipt of income support and payments made to that claimant which fall within paragraph 29 or 30(1)(a) to (c) of Schedule 9 to the Income Support Regulations have been disregarded in relation to the determination or review of the claim and the conditions in paragraph (10) are satisfied, any change in the amount of interest payable, whether— a on a loan qualifying under paragraph 15 or 16 of Schedule 3 to those Regulations to which those payments relate, or b on a loan not so qualifying which is secured on the dwelling occupied as the home to which those payments relate, shall not constitute a relevant change of circumstances for the purposes of section 25(1)(b) or (c) of the Administration Act. 10 The conditions are that the change in the amount of interest payable occurs— a in the period between the date the disregarded payments are first made to the claimant and the date when housing costs are first met under paragraphs 6(1)(a), 8(1)(a) or 9(2)(a) of Schedule 3 to the Income Support Regulations, b in the period between the date when housing costs are first met under paragraphs 6(1)(a), 8(1)(a) or 9(2)(a) of Schedule 3 to the Income Support Regulations and the date of the first subsequent change in the standard rate, c in the period between the dates of each subsequent change in the standard rate. 11 In paragraph (10), “standard rate” has the same meaning as it has in paragraph 1(2) of Schedule 3 to the Income Support Regulations. . Amendment of Schedule 9 to the Claims and Payments Regulations 3 In sub-paragraph (2A) of paragraph 3 of Schedule 9 to the Claims and Payments Regulations (deductions from benefit and direct payment to third parties), before “paragraph 18”in the first place where those words occur, there shall be inserted “paragraph 4(8) or (11) or”. Amendment of regulation 3A of the Income Support Regulations 4 In paragraph (1) of regulation 3A of the Income Support Regulations (permitted period for cessation of entitlement to income support), “paragraph 7(10) of Schedule 3,”shall be omitted. Amendment of Schedule 3 to the Income Support Regulations 5 1 Schedule 3 to the Income Support Regulations (housing costs) shall be amended in accordance with the following paragraphs. 2 In paragraph 1 (housing costs)— a in sub-paragraph (2), in the definition of “existing housing costs”, “to a third party” shall be omitted; b in head (b) of sub-paragraph (3), “who is a non-dependant but” shall be omitted. 3 In head (c) of sub-paragraph (11) of paragraph 3 (circumstances in which a person is to be treated as occupying a dwelling as his home), in part (x), for “from another”there shall be substituted “, or by a person”. 4 In paragraph 4 (housing costs not met)— a for sub-paragraph (4), there shall be substituted the following sub-paragraph— 4 The “relevant period” for the purposes of this paragraph is any period during which the person to whom the loan was made — a is entitled to income support, or b is living as a member of a family one of whom is entitled to income support, together with any linked period, that is to say a period falling between two such periods of entitlement to income support separated by not more than 26 weeks. ; b in sub-paragraph (8), “new”shall be omitted; c in sub-paragraph (11), for “in accordance with this Schedule” there shall be substituted “by way of housing costs”. 5 In paragraph 6 (existing housing costs)— a in sub-paragraph (1), for “in receipt of” in both places where those words occur, there shall be substituted “entitled to”; b after sub-paragraph (1) there shall be inserted the following sub-paragraph— 1A For the purposes of sub-paragraph (1), the eligible capital for the time being owing shall be determined on the date the existing housing costs are first met and thereafter on each anniversary of that date. . 6 In sub-paragraph (7) of paragraph 7 (transitional protection), after “2nd October 1995”, there shall be inserted “provided the claim is made not more than 12 weeks after the last day of entitlement to housing costs relating to a claim made by the person to whom sub-paragraph (6) applies”. 7 In paragraph 8 (new housing costs)— a in sub-paragraph (1), for “in receipt of” there shall be substituted “entitled to”; b after sub-paragraph (1) there shall be inserted the following sub-paragraph— 1A For the purposes of sub-paragraph (1), the eligible capital for the time being owing shall be determined on the date the new housing costs are first met and thereafter on each anniversary of that date. . 8 In paragraph 11 (general provisions applying to new and existing housing costs)— a sub-paragraph (1) shall be omitted; b in sub-paragraph (3), for “Sub-paragraphs (1) and (2) do” there shall be substituted “Sub-paragraph (2) does”; c after sub-paragraph (9) there shall be inserted the following sub-paragraphs— 10 Where in any case the amount for the time being specified for the purposes of sub-paragraph (5) is exceeded and there are two or more loans to be taken into account under either or both paragraphs 15 and 16, then the amount of eligible interest in respect of each of those loans to the extent that the loans remain outstanding shall be determined as if each loan had been reduced to a sum equal to the qualifying portion of that loan. 11 For the purposes of sub-paragraph (10), the qualifying portion of a loan shall be determined by applying the following formula— R × S T where— R the amount for the time being specified for the purposes of sub-paragraph (4); S the amount of the outstanding loan to be taken into account; T the aggregate of all outstanding loans to be taken into account under paragraphs 15 and 16. . 9 In paragraph 12 (the standard rate), sub-paragraph (4) shall be omitted. 10 In paragraph 14 (linking rule)— a after sub-paragraph (3) there shall be inserted the following sub-paragraph— 3A Where, for the purposes of sub-paragraphs (1) and (3), a person is treated as being in receipt of income support, for a certain period, he shall be treated as being entitled to income support for the same period. ; b in sub-paragraph (5), for “less”there shall be substituted “more”; c after sub-paragraph (5), there shall be inserted the following sub-paragraphs— 5A Subject to sub-paragraph (5B), a person to whom sub-paragraph (4) applies and who is either a person to whom paragraph 4 of Schedule 1 applies (persons with caring responsibilities not required to be available for employment) or a lone parent shall, for the purposes of this Schedule, be treated as entitled to income support throughout any period of not more than 39 weeks following the refusal of a claim for income support made by or on behalf of that person. 5B Sub-paragraph (5A) shall not apply in relation to a person mentioned in that sub-paragraph who, during the period referred to in that sub-paragraph— a is engaged in, or is treated as engaged in, remunerative work or whose partner is engaged in, or is treated as engaged in, remunerative work; b is treated as not available for employment by virtue of regulation 10(1)(h) (circumstances in which students are not treated as available for employment); c is temporarily absent from Great Britain, other than in the circumstances specified in regulation 4(2) and (3) (temporary absence from Great Britain). ; d in sub-paragraph (6)— i for “sub-paragraph (5) applies” there shall be substituted “sub-paragraphs (5) and (5A) apply”, ii for “sub-paragraph (5)” there shall be substituted “sub-paragraphs (5) and (5A)”, iii for “less” there shall be substituted “more”; e sub-paragraph (7) shall be omitted; f in sub-paragraph (9), for “in receipt of” in both places where those words occur, there shall be substituted “entitled to”. 11 In paragraph 18 (non-dependant deductions)— a in head (a) of sub-paragraph (1)— i after “any”, there shall be inserted “remunerative”, ii “for which payment is made or which is done in expectation of payment” shall be omitted; b in sub-paragraph (2), before “work” there shall be inserted “remunerative”; c in sub-paragraph (8), before “work” there shall be inserted “remunerative”. Amendment of Schedule 9 to the Income Support Regulations 6 In head (d) of sub-paragraph (1) of paragraph 30 of Schedule 9 to the Income Support Regulations (sums to be disregarded in the calculation of income other than earnings), for “that policy” there shall be substituted— an insurance policy taken out to insure against the risk of being unable to make the payments referred to in (a) to (c) above; . Signed by authority of the Secretary of State for Social Security. Roger Evans Parliamentary Under-Secretary of State, Department of Social Security 14th November 1995