Chapter 6 - Benefits & Tax Credits

If you are under 18 there are different rules for some of the benefits listed here. To find out what you might be entitled to, call the Lone Parent Helpline on 0800 018 5026 and ask for a copy of Money for Teenage Parents.

If you are studying, ask for our factsheets Money for further education students or Money for higher education students. Benefits and tax credits for day-to-day living expenses

Make sure you are getting Child Benefit for any dependent children who live with you as this could affect whether you are entitled to other benefits and tax credits for your children. Dependent children are children you are responsible for, aged up to 16, or 20 if they are in ‘non-advanced’ full-time education (that is, at a school or a college of further education) or in approved training.
If you do not work or work less than 16 hours a week, claim Income Support from your local Jobcentre Plus office. If you are pregnant with your first child you can claim from 11 weeks before your baby is due or earlier than that if you are incapable of work because of ill health. From October 2008, lone parents whose youngest child is 12 will have to claim Jobseeker’s Allowance (see below) unless there is another reason which means they should claim Income Support, for example, because they are ill or disabled or a carer.
If you do not work or work less than 16 hours a week and your only or youngest child is aged 16 or over (from October 2008, when your youngest child is aged 12 or over), you will normally have to register at the Jobcentre Plus office as available for work and claim income-based Jobseeker’s Allowance, which is paid at the same rates as Income Support. You can continue to claim Income Support if, for example, you are unable to work because of sickness or disability or you are receiving Carer’s Allowance.
If you do not work or work less than 16 hours a week and have paid National Insurance contributions you may qualify for contribution-based Jobseeker’s Allowance if you are available for and actively seeking work. This would make you better off only if you did not qualify for Income Support (for example, because your other income or savings were too high).
Claim Child Tax Credit for each of your dependent children. You can get the form from a Jobcentre Plus Office, or by calling the Tax Credit Helpline on 0845 300 3900.
If you work 16 or more hours a week also claim Working Tax Credit (paid with Child Tax Credit, see above) to top up your wages. Working Tax Credit can include an amount towards the costs of certain registered or approved childcare. The childcare element of Working Tax Credit helps with up to 80 per cent of your childcare costs, up to costs of £175 a week for one child or £300 for two or more children. This means that you could get up to £140 per week for one child and £240 per week for two or more children. You can get help with childcare costs up to the September following a child’s 15th birthday, or 16th birthday if the child receives Disabled Living Allowance or is registered blind.
If your husband, wife or civil partner has died, check at your local Jobcentre Plus office if you are entitled to any bereavement benefits and/or the Funeral Expenses Payment.
If you are pregnant or have had or adopted a baby recently, you may be entitled to maternity, paternity or adoption benefits and/or the Sure Start Maternity Grant. Call the Lone Parent Helpline and ask for the factsheet Financial help during maternity and adoption.
If someone in the family is long-term sick, disabled or a carer you may be entitled to extra benefits and a higher amount of other benefits and tax credits, call the Lone Parent Helpline on 0800 018 5026 for more about this.

Benefits and other help for your housing costs

Claim Housing Benefit (if you pay rent) and Council Tax Benefit. If you are claiming Income Support or income-based Jobseeker’s Allowance, fill in a Housing Benefit and Council Tax Benefit application form that is included in your claim pack. Otherwise, apply directly to your local authority’s Housing Benefit and Council Tax Benefit department. You can claim whether or not you work but you may not qualify unless you are on a fairly low income.
If you are already receiving Housing Benefit or Council Tax Benefit and you need extra financial help so you can pay your housing costs, you can ask the Housing Benefit department for Discretionary Housing Payments. You do not have an automatic right to these payments, it is up to the local authority to decide, although there are some cases where they cannot make a payment, for example, if it is to cover arrears of rent or service charges that you owe. Get advice from a benefits adviser when you apply and also if you are refused these payments.
If you do not work or work less than 16 hours a week and you are a homeowner, amounts can be added to your Income Support or income-based Jobseeker’s Allowance for mortgage interest and interest on loans to pay for certain repairs and improvements, service charges (although some may be excluded) and ground rent. There is a waiting period before these payments start. For more information call the Lone Parent Helpline on 0800 018 5026.
You may be eligible for a housing grant or a home insulation grant. Contact your local authority for information about these.
If you do not live with another adult, you will qualify for a 25 per cent discount on your Council Tax bill. Contact your local authority for information.

Help with the costs of your child’s education

If you receive Income Support or incomebased Jobseeker’s Allowance, you do not work 16 hours a week or more, and are on a low income, you can get free school meals for your children.
Contact your local education authority to ask if you will qualify for financial help towards the costs of school uniforms. In Wales, if your child is entering their first year of secondary school and qualifies for free school meals, you will receive a grant of £85.
16-19 year olds who are in full-time education may qualify for an Education Maintenance Allowance (EMA). For more information call the EMA Helpline on 0808 101 6219 (or, in Wales, 0845 602 8845) or see www.direct.gov.uk/ema (for England), www.emascotland.com (for Scotland), www.studentfinancewales.co.uk (for Wales).

Health benefits

You may be entitled to Healthy Start vouchers, which you can exchange for fresh fruit and vegetables as well as milk and infant formula if you receive Income Support or income-based Jobseeker’s Allowance or you do not work 16 hours a week or more have a low income. Find out more from the Healthy Start website (www.healthystart.nhs.uk) or call 0870 155 5455.
If you receive Income Support or income-based Jobseeker’s Allowance or are on a low income you are entitled to free prescriptions, dental treatment, sight tests and glasses, fares to hospital, free wigs and fabric supports. If you do not automatically qualify you may still be entitled to help towards these costs. Ask for form HC1 from Jobcentre Plus.

Grants and loans from the Social Fund

The Social Fund is part of Jobcentre Plus and is there to make payments to people in need.

If you are entitled to Income Support or income-based Jobseeker’s Allowance, you may qualify for a Community Care Grant or an interest-free Budgeting Loan for items such as furniture, clothing or rent in advance. Always apply for a grant first and get advice if you are refused.
If you are entitled to Income Support or income-based Jobseeker’s Allowance or if you receive Child Tax Credit of more than £545 a year (or £1,090 if your youngest child is under 1 year) or the disability element of Working Tax Credit, you can qualify for the Sure Start Maternity Grant (if you are pregnant or have just had a baby). This is a one-off payment of £500.
If you are entitled to Income Support; income-based Jobseeker’s Allowance; Housing Benefit; Council Tax Benefit; the disability element of Working Tax Credit, or if you receive Child Tax Credit of more than £545 a year (or £1,090 if your youngest child is under 1 year), you can qualify for a Funeral Expenses Payment. You must be the person responsible for the costs of the funeral.
In an emergency or disaster anyone (whatever their income) can apply for a Crisis Loan at the local Jobcentre Plus office if they do not have enough money for the family’s immediate needs, for example, for food or fuel.
If you are entitled to Income Support or income-based Jobseeker’s Allowance and have a child under 5 years or you receive the disability or severe disability element of Child Tax Credit, you will automatically receive a Cold Weather Payment. It is only paid in periods of very cold weather (as defined by the government).

Maintenance/Child Support

Both parents are legally responsible for financially maintaining their children. If you do not have an arrangement for the other parent to pay child maintenance, consider applying to the Child Support Agency for them to calculate and collect maintenance on your behalf.

At the moment, if you claim Income Support the Child Support Agency will automatically process a claim for maintenance unless you stated you wish to opt out. If Jobcentre Plus do not think you have a good cause for opting out (that is, because there is a risk of harm or undue distress to you or your child if the Child Support Agency contact the other parent), your benefit may be reduced.

The Government have proposed that at some time in 2008 it will be up to you whether you want to make your own arrangements or whether you want to use the Child Support Agency. This means you will not have to give reasons if you choose not to use the Child Support Agency and your benefit will not be reduced. If you claim means-tested benefits some of the maintenance you receive will reduce your benefits.

Maintenance does not affect tax credits. For more information about maintenance, dealing with the Child Suport Agency and how maintenance affects benefits, call the Lone Parent Helpline on 0800 018 5026.