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Income Support report published for 2011

19 October 2012

The Social Security department is publishing its first annual report on the Income Support scheme today, 19 October 2012.

The report provides a detailed analysis of all the Income Support claims which were being paid at the end of December 2011. It includes information on the design of the scheme, including how each component is calculated and how claimants’ income is assessed.

The report explains in detail how the £90 million tax-funded expenditure for Income Support benefit in 2011 was allocated. The department intends to report on the scheme alongside its other activities in a single document next year, as part of the Social Security Fund and Health Insurance Fund annual report and accounts.

Comprehensive benefit

The Social Security Minister, Senator Francis Le Gresley, said “When Income Support was established in 2008 it replaced 14 separate income-related benefits and created a comprehensive, means-tested benefit for Island residents.

“I hope this report will be useful in explaining how taxpayers’ money is used to support the more vulnerable in our society, and to supplement the incomes of the many hard-working families on low incomes.

“We want to make it clear that Income Support is not a barrier to work. This is because an earnings disregard of 20% is allowed against an Income Support calculation. This provides an incentive for working age adults in low income families to take up and remain in work.

"At the end of last year, 1,865 claims included one or more working age adults in work, with total annual earnings estimated at £32 million.”

Senator Le Gresley welcomes feedback on this first annual report on the Income Support scheme, and is keen to hear suggestions for additional analysis or information which could be included in future editions.

Income Support report 2011 (government and administration section)

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