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April – Increases to State Benefits

Posted on Sunday, March 29, 2009

April – Increases to State Benefits, Introduction of new rights and tougher enforcement of National Minimum Wage:

· A 5 per cent increase in the state pension (based on the September RPI) despite RPI now standing at 0 per cer cent, the biggest rise since 2001. The pension will increase from £90.70 to £95.25. Pension credit will increase by the highest amount ever from £124.05 to £130 per week for a single pensioner.  Working Tax Credit also up by 5 per cent.

· Introduction of the Health in Pregnancy Grant, a one-off payment of £190, available from the 25th week of pregnancy, to help support the general health and well-being of pregnant women in the later stages of pregnancy, and to help them meet some of the costs in the run up to the birth.

· The child element of the Child Tax Credit will increase by £75 above indexation from April 2009. This includes the extra £25 which has been brought forward from April 2010.

· A 7.3 per cent increase in income tax personal allowances.

· Child Benefit for the first child increases by 6.4 per cent.

· The right to request flexible working extended to parents of children aged 16 or under.

· Tougher enforcement of the national minimum wage, with a new automatic penalty of up to £5,000 on employers when they are found to be in arrears in addition to any arrears of pay owed to the workers.  The most serious cases could lead to a criminal sentence or an unlimited fine.