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<p>Our deductions policy strikes a fair balance between a claimant’s need to meet
their obligations and a claimant’s ability to ensure they can meet their day-to-day
needs. From October 2019, deductions will be capped at 30% of a claimant’s standard
allowance down from 40% to better achieve this balance.</p><p> </p><p>In the scenario
outlined, if a person has no other deductions, the most that would be deducted for
a court fine in the following assessment period is £108.35. This is because the maximum
deduction for court fines is based on a fixed figure in regulations rather than a
percentage. If the £108.35 figure were more than 30% of the claimant’s standard allowance,
the deduction would be reduced to 5% of the standard allowance, ensuring the 30% cap
was not exceeded. The policy was designed to deduct either the minimum or maximum
set out in regulations and avoid inconsistencies that may arise if discretion was
to be exercised for each claimant’s deduction.</p>
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