To approve the Minimum Income Guarantee (MIG) allowances for 2017/18 when charging for council arranged care and support other than in a care home.

THAT:

(a)        MIG allowances for 2017/18 remain at the levels set for 2016/17.

(b)        If the Department of Health continues to freeze the MIG allowances at the rates set out in circular LAC (DH) (2017) 1 for future years, the 2016/17 levels will continue to remain in place.

Freezing the MIG allowances for 2017/18 at the levels set for 2016/17 provides consistency with the Cabinet member for health and wellbeing policy decision taken in March 2016, and minimises the impact of increased charges for people of pension credit age.

Apply all MIG allowances as stated in Department of Health circular: Social Care – CHARGING FOR CARE AND SUPPORT LAC (DH) (2017)1. This will result in all people who have not reached pension credit age keeping the same allowances as  applied in 2016/17, but people of pension credit age could have their maximum charge increased by up to 5.3% in 2017/18, even though their income levels may only increase by up to 2.5%

Increase MIG allowances in line with the percentage increase applied to pension credit and premiums for disabled people. This will result in the council setting higher MIG allowances for all people of pension age and people of working age with disability premiums and will ensure that maximum charges are based on minimum income allowances that reflect current benefit rates with a 25% buffer. This would have a negative impact on the council meeting its budget income forecast of a 2% increase.