Why Has My Severe Disability Premium Stopped?

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Changes in benefits, such as the Severe Disability Premium (SDP), can cause significant stress, especially if you rely on it as part of your income.

If your SDP has suddenly stopped, it’s crucial to understand why this might have happened and what steps you can take to address the situation.

This guide explains the possible reasons behind the change and provides actionable advice to help you navigate the process.

What Is the Severe Disability Premium (SDP)?

The Severe Disability Premium (SDP) is an additional financial support provided to individuals with severe disabilities as part of certain means-tested benefits.

It’s designed to help people with higher living costs due to their disability.

Eligibility Criteria for SDP

To qualify for SDP, individuals must meet specific criteria. You must already be receiving the disability premium or income-related ESA, and one of the following qualifying benefits:

Personal Independence Payment (PIP) daily living component
Armed Forces Independence Payment (AFIP)
Disability Living Allowance (DLA) care component at the middle or highest rate
Adult Disability Payment – daily living component at the standard or enhanced rate
Attendance Allowance (or Constant Attendance Allowance paid with Industrial Injuries Disablement Benefit or War Pension)

Additionally, the following living arrangement requirements apply:

You usually cannot have anyone aged 18 or over living with you, unless they’re in one of these situations:

They receive a qualifying benefit
They’re registered blind
They’re a boarder or subtenant (but not a close relative)
They make separate payments to the landlord

Carer’s Allowance and Carer Support Impacts

You cannot receive the severe disability premium if someone is receiving any of the following benefits for looking after you:

Carer’s Allowance
The carers element of Universal Credit
Carer Support Payment

SDP for Couples

If you’re in a couple, the amount of SDP you receive depends on your circumstances:

You’ll receive the higher amount if both you and your partner are eligible.

You’ll receive the lower amount if:

Someone is receiving Carer’s Allowance, the carers element of Universal Credit, or Carer Support Payment for looking after only one of you.
Only one of you meets the eligibility criteria, and the other is registered blind.

Understanding these eligibility requirements is crucial, as any change to these conditions may result in your SDP payments stopping.

Common Reasons Why Your Severe Disability Premium May Have Stopped?

Several factors could lead to the sudden cessation of SDP payments. Below are the most common reasons:

Transition to Universal Credit (UC)

One of the primary reasons SDP may stop is due to the transition to Universal Credit. Universal Credit replaces several legacy benefits, including income-related ESA and Housing Benefit.

Unfortunately, SDP is not included in Universal Credit by default, which means it stops when you move to UC.

Universal Credit and New Style ESA Are Not Eligible for Premiums

You cannot get a disability premium if you are receiving:

Universal Credit
Contributory or New Style ESA

If you start claiming Universal Credit, your SDP will automatically stop. Furthermore, if you are already receiving Universal Credit, you cannot start claiming disability premiums.

Transitional Protection Payments for Moving to Universal Credit:

While SDP stops when you move to Universal Credit, you may qualify for transitional protection payments if:

You were previously receiving Severe Disability Premium and experience a change in circumstances, such as moving house.
The Department for Work and Pensions (DWP) sends you a letter notifying you of a ‘managed migration’ to Universal Credit. This requires you to make a new claim for UC.

Changes in Living Arrangements

SDP eligibility depends on living alone or only with others who also qualify for SDP. If you:

Move in with a carer, family member, or partner,
Share your home with someone who does not qualify for SDP, your payments may stop.

Long-Term Hospital Stays or Care Home Residency

Entering a care home or hospital for an extended period can also impact your SDP payments.
Typically, payments are paused if you’re in care for more than 28 days, as your financial needs are assessed differently in such situations.

Increase in Income or Financial Changes

A significant change in your income, whether through employment or other financial circumstances, can disqualify you from receiving SDP.

Administrative Errors or Benefit Reassessments

Finally, it’s not uncommon for payments to stop due to errors during reassessments or administrative mistakes by the Department for Work and Pensions (DWP).

The Impact of Moving to Universal Credit on SDP

When Universal Credit was introduced, it replaced several legacy benefits and did not include SDP.
This has caused confusion and financial strain for many claimants.

Why Is SDP Not Included in Universal Credit?

Universal Credit combines multiple benefits into a single payment. However, SDP was not integrated into the UC system.
While transitional protection payments are available for those who had SDP before moving to UC, they are temporary and subject to review.

Can You Retain SDP During the Transition?

If you were receiving SDP before being moved to Universal Credit, you may qualify for transitional protection.
However, you cannot make a new claim for SDP under the Universal Credit system.

Steps to Take If Your SDP Has Stopped

If your SDP payments have been stopped, here’s what you can do:

Check Your Eligibility Status

Review any recent changes in your living situation, financial circumstances, or benefits to determine if you still meet the criteria.

Contact the Department for Work and Pensions (DWP)

Reach out to the DWP to inquire why your SDP has stopped.
They can provide clarity on whether it’s due to a reassessment, error, or policy change.

Appeal a Decision

If you believe your SDP was stopped unfairly, you have the right to appeal the decision.
Submit a mandatory reconsideration request and provide any necessary evidence to support your claim.

Update Your Details

Ensure that your personal information and living arrangements are up to date with the DWP.

How to Avoid Issues With Severe Disability Premium Payments?

To reduce the risk of your SDP payments being disrupted, consider the following:

Always report changes in your living arrangements, household income, or health condition promptly.
Seek advice from support organizations if you are unsure about your rights or eligibility.
Stay informed about Universal Credit policies and their potential impact on your benefits.

Key Support Resources for Disability Benefits in the UK

If you need further assistance, these organizations can help:

Scope: Offers tailored advice and support for people with disabilities, including navigating benefit changes.
Citizens Advice Bureau: Provides free financial and legal advice on benefits, appeals, and related matters.
Turn2us: A UK charity helping individuals access financial support and grants.

Example Scenarios Explaining Why SDP May Stop?

Case Study 1: Moving in With a Carer

Sarah was receiving SDP while living alone.
When her sister, who provides unpaid care, moved in, her SDP was stopped because her sister could claim Carer’s Allowance.

Case Study 2: Transition to Universal Credit

David was receiving SDP with ESA.
After moving to a new area, he was required to claim Universal Credit, which does not include SDP.
David now receives a transitional payment, but it’s lower than his previous benefit.

Conclusion

The cessation of Severe Disability Premium payments can be challenging, but understanding the reasons behind it can help you take the right steps.

Whether it’s due to changes in circumstances, transitioning to Universal Credit, or administrative errors, staying informed and seeking professional advice is essential.

Make sure to keep the Department for Work and Pensions (DWP) updated with any changes in your situation and take advantage of support resources like Scope and Citizens Advice if you need further guidance.

If you need more information, visit Universal Credit News for updates and insights into disability benefits and Universal Credit policies.

Frequently Asked Questions (FAQs)

What happens to my SDP if I move to Universal Credit?

If you transition to Universal Credit, your SDP will stop. You may be eligible for transitional payments if you previously received SDP.

Can I appeal a decision to stop my SDP?

Yes, you can appeal by submitting a mandatory reconsideration request. Contact the DWP for guidance on this process.

Does moving in with a carer affect my SDP?

Yes, moving in with someone who can claim Carer’s Allowance will likely disqualify you from SDP.

Will entering a hospital or care home end my SDP?

Payments are typically paused if you stay in a hospital or care home for more than 28 days.

Can I still claim SDP if I return to work part-time?

This depends on your overall income and benefits eligibility. Contact the DWP to check.

How do I contact the DWP about SDP issues?

You can call the DWP or visit their website for contact details and further assistance.

Are there any alternatives to SDP under Universal Credit?

Universal Credit does not include SDP, but you may qualify for additional support through other disability-related payments.