ESA Income based vs contributions

JamesGeorge

I am confused by the differences between the two. I have not worked since 02/17  and still receive contributions ESA. I read on a post on here that it is paid for a maximum of 365 days. It's related to national insurance contributions , yes? Yet, being on income based appears to be more beneficial? I don't receive anything different to anyone else, I have no income other than ESA and yet contributions based seems to penalise those who receive it. Two Examples are free prescriptions and the differences when receiving PIP. I just don't understand it if anyone can clearly explain it as it baffles me and if I'm now in the wrong group, it could make a huge difference to me financially. Thanks 

Paddock59

My contribution based esa was stopped Feb 17. Was led to believe I would get reduced rate while I'm awaiting my court appeal. Then told I wouldn't as it was contribution based. I'm still waiting my court date and haven't received any payment. But I've been told numerous times cb esa last 365 days. Seams like another case of the dwp not noing what they are doing. Hope it continues for you as I'm struggling financialy. When I ring to ask regarding date I'm told your in a cue.

wilko

PIP has nothing to do with ESA and doesn't affect the amount of ESA you do or can get. If you are claiming ESA and put into the support group you get a higher rate because you have been accessed as unfit or medically unable to work. Whereas the work support group are paid benefits for 365 days and go for work interviews to try and get them back into work. The fact you are claiming PIP will not affect your other benefits.

whistles

He's talking about the premuims which are available to income related.

JamesGeorge

@wilko ESA & PIP are separate benefits, however, being entitled to PIP can mean entitlement to ESA premiums depending on whether receiving income based ESA or contribution based ESA. I understand the two groups you mentioned - the reference to 'groups' in my post is with regard  to the different ESA types I have mentioned. 

JamesGeorge

@wilko PIP & ESA are two separate benefits; however, being entitled to PIP can mean entitlement to ESA premiums depending on whether receiving contributions based ESA or income based ESA. I understand the ESA groups you mention. The mention of groups in my original post is with reference to the two types of ESA: income based vs contributions

whistles

And I am with you @JamesGeorge in that I don't understand either.
Before ESA it was the other way round, contribution based was slightly better off, regardless of DLA.
You can apply for a pre paid percription thingy, which makes it less money/check if anything is available over the counter for less.

It's 'assumed' that a CB claimant has access to savings. 

The nuts and bolts of it though. The premuims are going because Income related is being scrapped with UC rolling out. 

susan48

I don’t understand it either.
when I first claimed ESA I was on income related even though I’d worked for 30 years, I did ask why it wasn’t contribution esa and was told it’s because I’d get more money on income related!

JamesGeorge

@whistles @susan48 it really has driven me mad. I think we all know that the DWP make the simplest of steps as difficult to  take as they possibly can. 

JamesGeorge

@Paddock59 it just doesn't make any sense. I think you should seek some advice. Perhaps from citizens advice as you need some peace of mind in the mean time..  They should be able to help I expect instead of getting that response from the Dwp

Paddock59

Thanks JamesGeorge for advice. I've just had my court date it's in 3 weeks hope I get things sorted then.