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Deduct the amount produced by step 2 from the amount of the award of employment and support allowance for the benefit week.
59.—(1) The daily reduction rate for the purposes of regulation 58 is, unless regulation 60 applies, the amount prescribed for the claimant under regulation 62(1) or, where applicable, regulation 63(2), multiplied by 52 and divided by 365.
(2) The amount of the daily reduction rate is to be rounded down to the nearest 10p.
60.—(1) The daily reduction rate is 40 per cent. of the rate applicable under regulation 59(1) if, at the end of the benefit week, the claimant falls within—
(a)section 11E of the Act;
(b)section 11D(2)(c) of the Act; or
(c)regulation 47(1)(b), (c), (f) or (g).
(2) The daily reduction rate is nil if, at the end of the benefit week, the claimant falls within section 11D(2)(a) of the Act.
61.—(1) This regulation applies where—
(a)a person ceases to be entitled to universal credit;
(b)there is a reduction relating to the person’s award of universal credit under Article 31 or 32 of the Welfare Reform (Northern Ireland) Order 2015; and
(c)the person is entitled to an employment and support allowance.
(2) Any reduction relating to the award of the universal credit is to be applied to the award of the employment and support allowance.
(3) The period for which the reduction relating to the award of an employment and support allowance is to have effect is the number of days which apply to the person under regulation 99, 100, 101 or 102 of the Universal Credit Regulations minus any such days which—
(a)have already resulted in a reduction in the amount of universal credit; or
(b)fall after the date on which the person ceases to be entitled to universal credit and before the date on which the person becomes entitled to an employment and support allowance.
(4) The daily reduction rate for the reduction relating to the award of an employment and support allowance is—
(a)the amount referred to in regulation 60(1) where, on the date the claimant becomes entitled to an employment and support allowance, the claimant falls within—
(i)section 11E of the Act,
(ii)section 11D(2)(c) of the Act, or
(iii)regulation 47(1)(b), (c), (f) or (g);
(b)zero where the claimant falls within section 11D(2)(a) of the Act; or
(c)the amount referred to in regulation 59(1) in all other cases.
(5) The amount of the reduction of the claimant’s award of an employment and support allowance is the number of days arrived at under paragraph (3) multiplied by the daily reduction rate referred to in paragraph (4).
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