[F1Ending of transitional protectionU.K.
Textual Amendments
F1Pt. 4 inserted (24.7.2019) by The Universal Credit (Managed Migration Pilot and Miscellaneous Amendments) Regulations 2019 (S.I. 2019/1152), regs. 1(2), 3(7) (with reg. 2)
Circumstances in which transitional protection ceasesU.K.
56.—(1) A transitional capital disregard or a transitional element does not apply in any assessment period to which paragraph (2) or (4) applies, or in any subsequent assessment period.
Cessation of employment or sustained drop in earnings
(2) This paragraph applies to an assessment period if the following condition is met—
(a)in the case of a single claimant—
(i)it is the assessment period after the third consecutive assessment period in which the claimant’s earned income is less than the amount specified in regulation 99(6)(a) of the Universal Credit Regulations (“the single administrative threshold”), and
(ii)in the first assessment period of the award, the claimant’s earned income was equal to or more than that threshold; or
(b)in the case of joint claimants—
(i)it is the assessment period after the third consecutive assessment period in which their combined earned income is less than the amount specified in regulation 99(6)(b) of the Universal Credit Regulations (“the couple administrative threshold”), and
(ii)in the first assessment period of the award, their combined earned income was equal to or more than that threshold.
(3) For the purposes of paragraph (2) a claimant is to be treated as having earned income that is equal to or more than the single administrative threshold (or, as the case may be, the couple administrative threshold) in any assessment period in respect of which regulation 62 (minimum income floor) of the Universal Credit Regulations applies to that claimant or would apply but for regulation 62(5) of those Regulations (minimum income floor not to apply in a start-up period).
Couple separating or forming
(4) This paragraph applies to an assessment period in which—
(a)joint claimants cease to be a couple or become members of a different couple; or
(b)a single claimant becomes a member of a couple, unless it is a case where the person may, by virtue of regulation 3(3) of the Universal Credit Regulations (claimant with an ineligible partner), claim as a single person.
Application of transitional protection to a subsequent awardU.K.
57.—(1) Where—
(a)a transitional capital disregard is applied, or a transitional element is included, in the calculation of an award, and that award terminates; or
(b)the Secretary State determines (in accordance with regulation 50) that a transitional capital disregard is to apply, or a transitional element is to be included in the calculation of an award, but the decision on the qualifying claim is that there is no entitlement to an award,
no transitional capital disregard is to apply and no transitional element is to be included in the calculation of any subsequent award unless paragraph (2) applies.
(2) This paragraph applies if—
(a)the reason for the previous award terminating or, as the case may be, there being no entitlement to an award, was that the claimant (or joint claimants) had earned income on account of which the financial condition in section 5(1)(b) or 5(2)(b) of the Act (income is such that the amount payable is at least 1p) was not met; and
(b)the claimant becomes entitled to an award within the period of three months beginning with—
(i)where paragraph (1)(a) applies, the last day of the month that would have been the final assessment period of the previous award (had it not terminated), or
(ii)where paragraph (1)(b) applies, the day that would have been the last day of the first assessment period had there been entitlement to an award.
(3) Where paragraph (2) applies in a case where a previous award has terminated, the new award is to be treated for the purposes of regulation 51 (transitional capital disregard), 55 (transitional element – initial amount and adjustment where other elements increase) and 56 (circumstances in which transitional protection ceases) as if it were a continuation of that award.]