Regulation 90 Claimants subject to no work-related requirements - the earnings thresholds

England, Wales and Scotland

(1)

A claimant falls within section 19 of the Act (claimants subject to no work-related requirements) if the claimant's F1monthly earnings are equal to or exceed the claimant's individual threshold.

(2)

A claimant's individual threshold is the amount that a person of the same age as the claimant would be paid at the hourly rate applicable under F2regulation 4 or regulation 4A(1)(a) to (c) of the National Minimum Wage Regulations for—

(a)

16 hours per week, in the case of a claimant who would otherwise fall within section 20 (claimants subject to work-focused interview requirement only) or section 21 (claimants subject to work-preparation requirement) of the Act; or

(b)

the expected number of hours per week in the case of a claimant who would otherwise fall within section 22 of the Act (claimants subject to all work-related requirements)F3,

converted to a monthly amount by multiplying by 52 and dividing by 12.

(3)

A claimant who is a member of a couple falls within section 19 of the Act if the couple's combined F4monthly earnings are equal to or exceed whichever of the following amounts is applicable—

(a)

in the case of joint claimants, the sum of their individual thresholds; or

(b)

in the case of a claimant who claims universal credit as a single person by virtue of regulation 3(3), the sum of—

(i)

the claimant's individual threshold, and

(ii)

the amount a person would be paid for 35 hours per week at the hourly rate specified in F5regulation 4 of the National Minimum Wage Regulations F6, converted to a monthly amount by multiplying by 52 and dividing by 12.

(4)

A claimant falls within section 19 of the Act if the claimant is employed under a contract of apprenticeship and has F7monthly earnings that are equal to or exceed the amount they would be paid for—

(a)

30 hours a week; or

(b)

if less, the expected number of hours per week for that claimant,

at the rate specified in F8regulation 4A(1)(d) of the National Minimum Wage Regulations F9, converted to a monthly amount by multiplying by 52 and dividing by 12.

F10(5)

A claimant falls within section 19 of the Act if they are treated as having earned income in accordance with regulation 62 (minimum income floor).

(6)

F11A person’s monthly earnings are—

(a)

F12the person’s earned income calculated or estimated in relation to the current assessment period before any deduction for income tax, national insurance contributions or relievable pension contributions; or

(b)

in a case where the person's earned income fluctuates (or is likely to fluctuate) the amount of that income F13, calculated or estimated before any deduction for income tax, national insurance contributions or relievable pension contributions, taken as a monthly average—

(i)

where there is an identifiable cycle, over the duration of one such cycle, or

(ii)

where there is no identifiable cycle, over three months or such other period as may, in the particular case, enable the F14monthly average to be determined more accurately

F15and the Secretary of State may, in order to enable monthly earnings to be determined more accurately, disregard earned income received in respect of an employment which has ceased.

F16(7)

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Annotations

Textual amendments

F1: Word in reg. 90(1) substituted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(a)
F2: Words in reg. 90(2) substituted (25.7.2016) by The Social Security (Jobseeker's Allowance, Employment and Support Allowance and Universal Credit) (Amendment) Regulations 2016 (S.I. 2016/678), regs. 1, 5(4)(a)
F3: Words in reg. 90(2) inserted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(b)
F4: Word in reg. 90(3) substituted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(c)(i)
F5: Words in reg. 90(3)(b)(ii) substituted (25.7.2016) by The Social Security (Jobseeker's Allowance, Employment and Support Allowance and Universal Credit) (Amendment) Regulations 2016 (S.I. 2016/678), regs. 1, 5(4)(b)
F6: Words in reg. 90(3)(b)(ii) inserted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(c)(ii)
F7: Word in reg. 90(4) substituted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(d)(i)
F8: Words in reg. 90(4) substituted (25.7.2016) by The Social Security (Jobseeker's Allowance, Employment and Support Allowance and Universal Credit) (Amendment) Regulations 2016 (S.I. 2016/678), regs. 1, 5(4)(c)
F9: Words in reg. 90(4) inserted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(d)(ii)
F10: Reg. 90(5) substituted (with effect in accordance with reg. 1(2) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments (No.2) Regulations 2014 (S.I. 2014/2888), regs. 1(1), 4(7)
F11: Words in reg. 90(6) substituted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(e)(i)
F12: Words in reg. 90(6)(a) substituted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(e)(ii)
F13: Words in reg. 90(6)(b) inserted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(e)(iii)
F14: Word in reg. 90(6)(b)(ii) substituted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(e)(iv)
F15: Words in reg. 90(6) inserted (with effect in accordance with reg. 1(3) of the amending S.I.) by The Universal Credit and Miscellaneous Amendments Regulations 2015 (S.I. 2015/1754), regs. 1(1), 2(6)(e)(v)
F16: Reg. 90(7) omitted (25.7.2016) by virtue of The Social Security (Jobseeker's Allowance, Employment and Support Allowance and Universal Credit) (Amendment) Regulations 2016 (S.I. 2016/678), regs. 1, 5(4)(d)