Bereavement benefit for the 21st century

Download or read book Bereavement benefit for the 21st century written by Great Britain: Department for Work and Pensions and published by The Stationery Office. This book was released on 2011-12-12 with total page 36 pages. Available in PDF, EPUB and Kindle. Book excerpt: This consultation seeks views on proposals to: simplify the bereavement benefits payment system by moving to a uniform payment structure for all recipients, with support focused on the period immediately following bereavement; simplify the contribution conditions by basing full payment on a single year of National Insurance contributions; and rename the benefit so that the benefit name reflects the function of the payment. Payments made under the War Pensions Scheme or Armed Forces Compensation Scheme will not be affected, nor will it impact those already in receipt of bereavement benefits at the point at which a new scheme is introduced. Bereavement benefits have been through a series of reforms since state protection for widows was initially introduced as part of the Widows', Orphans' and Old Age Contributory Pension Act of 1925. The incremental nature of this change has blurred the principles behind the benefits and their function. This has resulted in a complicated payment and contribution system which, at its worst, can harm people's long term job prospects by distancing recipients from the labour market. Although some elements of the system are highly regarded, clearly more can be done to ensure that bereavement benefits better serve their purpose. The complicated payment system and eligibility conditions make it difficult for people to understand what they are entitled to receive. The ongoing nature of payments under Widowed Parent's Allowance, which can continue for up to 20 years in extreme cases, without any encouragement to maintain contact with the labour market, risks creating welfare dependency