Test case

Underpayments of disability element of child tax credit

CTC/1422/2018 and CTC/1809/2018
CPAG has brought a challenge in the Upper Tribunal to HMRC's refusal to backdate payments of the disability element of child tax credit (CTC), following underpayments of benefit prior to April 2016. A decision is currently awaited. 
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Relevant to
all of the UK
Test case

DWP offers and how Tribunals should deal with them

DO v Secretary of State for Work and Pensions (PIP) [2021] UKUT 161 (AAC)
This case concerned the approach a First-tier Tribunal should take in a case where the DWP had offered to revise the decision under appeal but the claimant had elected instead to continue straight to appeal. The Upper Tribunal held an FTT should treat the offer made to the claimant as its starting point and should ensure that if it was minded to award less than had been offered it would warn the claimant and possibly allow an opportunity for an adjournment.
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Relevant to
England, Northern Ireland, Wales,
Test case

30 hours free childcare: term time only workers assessment of income

HMRC v JS, EL and LG [2021] UKUT 264 (AAC)
The Upper Tribunal in this case gives guidance on how HMRC should calculate the earnings in a period of a term time worker and advises that this should not be done by looking at the wages they receive in a period but rather by looking at the wages they expect to receive for work done in a period. This should mean more term time workers on low incomes who are paid a monthly salary should now qualify for 30 hours free childcare.
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Relevant to
England,
Test case

Universal Credit, disability and transitional protection

R (TD & Ors) v Secretary of State for Work and Pensions [2020] EWCA Civ 618; R (TD & Ors) v Secretary of State for Work and Pensions [2019] EWHC 462 (Admin)
On 12 May 2020, the Court of Appeal handed down judgment in favour of the appellants in this case. The appellants were originally in receipt of legacy benefits but had to claim universal credit (UC) when the Secretary of State for Work and Pensions (SSWP) decided that they were no longer entitled to legacy benefits and terminated their awards.  Even though those decisions were ultimately overturned on revision, the appellants were stuck on UC and received less than they would have if they had remained on legacy benefits.  The Court found that there had been a difference in treatment of the appellants compared with legacy benefit claimants who had not had any wrongful decision terminating their legacy benefit awards and therefore would be moved to UC through managed migration and benefit from transitional protection. This difference in treatment was found by the Court to be manifestly without reasonable foundation and the Article 14 non-discrimination rights of the appellants (in conjunction with Article 1 to the First Protocol) had been breached. The SSWP applied directly to the Supreme Court for permission to appeal but that application was refused on 26 February 2021. 
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Relevant to
all of the UK
Test case

Two child limit challenge

R (SC and Ors) v SSWP [2021] UKSC 26
This was a challenge to the two child limit, introduced by the Welfare Reform and Work Act 2016, which restricts support for children in families claiming child tax credit or universal credit to the first two children (subject to limited exceptions). The limit applies to families where the third or subsequent child is born after 5 April 2017. The legal challenge was partially successful in the High Court but an appeal to the Court of Appeal on the lawfulness of the overall policy was unsuccessful. An appeal to the Supreme Court was heard remotely across 20-22 October 2020 and judgment given on 9 July 2021 dismissing the appeal. Complaints were filed with the European Court of Human Rights (Dec 2021) on behalf of three different families.
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Relevant to
all of the UK