Clients must report change of circumstance triggered by living wage increase

This week sees the adoption of a new minimum living wage of £7.20 per hour in Northern Ireland.   Research suggests that 13% of workers in NI should see their wages increase as a result of the new National Living Wage being adopted in November of this year.  However, this increase will only apply to workers aged 25 or older.  

The National Living Wage will cause the earnings of many low paid workers to increase.  However, this increase in earnings may impact on any benefits that the person is receiving.   Clients should be reminded to alert the relevant benefits agencies as soon as there has been a change in their personal or financial circumstances.

Notify the Housing Executive of any change in circumstances

It is important that any change in circumstances that may trigger a change in benefit entitlement be communicated to relevant benefits agencies. 

Failing to notify the Housing Executive of a change in circumstances could result in the claimant receiving an overpayment of Housing Benefit and in the claimant being asked to repay a lump sum in later months. 

Clients often neglect to inform NIHE of any change in their circumstances because they have already informed their local Jobs & Benefits Office and mistakenly believe that this office will share the information with the Housing Executive. 

Clients should each of the following agencies about any increase in earnings:

• HMRC if they are in receipt of any tax credits
• NIHE Housing Benefit unit if they rent their property and receive Housing Benefit or rates relief
• LPS if they own their property and receive Housing Benefit for rates or Rates Relief
• their local Jobs & Benefits office if they receive any income related benefits