Welfare Benefits Up-rating Act 2013 : Chapter 16, explanatory notes

Welfare expenditure is a significant driver of public spending, and the Government has made a commitment to deliver a more sustainable welfare system.

In the Autumn Statement 2012 (Cm. 8480, ISBN 9780101848022), it was announced that in light of the national economic situation, certain working-age social security benefits and payments, and certain elements of tax credits, would be up-rated by 1 per cent, rather than prices (as measured by the Consumer Prices Index ('CPI'), 2.2 per cent), for the tax year 2013-14.

The working-age social security benefits and payments in question are: the main rates of Income Support, Jobseeker's Allowance, Employment and Support Allowance and Housing Benefit; and the work-related activity group component of Employment and Support Allowance; Maternity Allowance; and Statutory Adoption, Maternity, Paternity and Sick Pay.

Also for 2013-14, the Government has decided that the basic State Pension should be up-rated by 2.5 per cent as under the 'triple lock' commitment.