The MoJ is consulting on making changes to the means tests for civil and criminal legal aid. Currently universal credit is a passporting benefit for all levels and types of legal aid. However, as roll-out continues and more people receive it, the MoJ proposes changing that.
Universal credit replaces a range of benefits, not all of which are passporting. Maintaining universal credit as a passporting benefit would therefore bring into passporting people who would not be passported before – such as those in receipt of tax credits or housing benefit but not income support or jobseekers’ allowance. The government estimates that would cost £14million per year in increased legal aid.
It is therefore proposing amending the passporting rules so that only those in receipt of universal credit and no household earnings would be passported. Other recipients who earn any money outside universal credit would have to go through the full means test and potentially pay contributions. The housing element of universal credit would be disregarded in the same way that housing benefit is now – so that only net housing costs are included in the assessment.
The consultation can be found here, and closes on 11 May 2017.