Reduced Earnings Allowance

Who is it for?
People whose earnings potential is reduced by industrial accidents or disease occurring before 1 October 1990.

Who pays it?
Job Centre Plus.

Which leaflet? And how is it claimed?
N16. Form on request from Job Centre Plus office.

What are the age limits?
None.

National Insurance based?
No.

Means tested?
No.

How long does it last?
Indefinite, but linked to a current award of disablement benefit and reduced to ‘retirement allowance’ for pensioners if no longer in ‘regular employment’.

What is effect on other benefits?
As with industrial injuries disablement benefit.

Is it taxable?
No.

Increases for dependants?
No.

Payable if in EU or other?
Yes, but get advice to avoid losing Reduced Earnings Allowance altogether.

Points to watch
Although abolished for post October 1990 accidents or diseases, still relevant for earlier ones. Three months backdating only.

The A-Z of Benefits 2009 was compiled by Gary Vaux and Community Care Inform