A6/2020: State Pension Adult Dependency Increase ending
Updated 10 February 2021
Who should read
Housing Benefit staff
Action
For information
Guidance Manual
The information in this circular does not affect the content of the HB Guidance Manual
Queries
For queries about the:
- general content of this circular, contact:
housing.benefitenquiries@dwp.gov.uk - technical content of this circular, contact:
dundee.pcproductleadsupportteam@dwp.gov.uk - distribution of this circular, contact:
housing.correspondenceandpqs@dwp.gov.uk
Background
1. State Pension Adult Dependency Increase is an additional payment paid to pensioners who have a partner who is under State Pension age and considered to be financially dependent on them. The Adult Dependency Increase was closed to new applications in 2010 and from 6 April 2020 no further Adult Dependency Increase payments will be included in any State Pension award.
2.The Department for Work and Pensions (DWP) wrote directly to affected customers to inform them of this change twice in 2019. An example copy of the first letter is attached alongside this circular as Appendix A. DWP plan to issue a third letter to customers just after the State Pension Adult Dependency Increase stops on 6 April 2020.
Pension Strategy Computer System uprating
3. The 5 April 2020 State Pension Adult Dependency Increase end date has been added to the Pension Strategy Computer System which will be broadcast to the Customer Information System between 10 February and 30 March 2020. As this change occurs at the same time as annual uprating the change will take effect from the same date that the affected claim is uprated, in other words, from 1 April 2020 or the first Monday in April 2020. See circular A1/2020 (second revision) for more details on 2020-21 uprating.
4. This means that currently a customer’s State Pension account will still show the Adult Dependency Increase income after 5 April 2020. When the correct State Pension amount is broadcast LAs will receive an Automated Transfer to Local Authority System notification to inform them that there has been a change of circumstances; with the date of change being 6 April 2020.
5. As the customers currently eligible for these payments are part of a Mixed Age Couple, when payments stop, they can apply for either:
- Pension Credit if their Housing Benefit award is paid under the Housing Benefit (persons who have attained the qualifying age for State Pension Credit) Regulations 2006 (SI 2006/214)
- Universal Credit if their Housing Benefit award is paid under the Housing Benefit Regulations 2006 (SI 2006/213)
6. For more information about Mixed Age Couples you can refer to circulars HB A3/2019 and HB A9/2019.