What Is The Permitted Work Scheme UK?

The Permitted Work Scheme is an initiative run by the UK government. Designed to support disabled people and encourage them to engage in paid meaningful employment, it promotes social inclusion and financial independence. 

This comprehensive guide covers everything you need to know about the scheme, including:

• What is Permitted Work UK?
• The benefits of the scheme
• Eligibility criteria
• Tips on navigating the scheme 

What Is The Permitted Work Scheme?

The Permitted Work Scheme is a programme in the UK that allows people who receive certain disability benefits to engage in paid employment without impacting their benefit entitlement. This means that individuals can keep their payments and National Insurance credits for Employment and Support Allowance (ESA). 

The aim of the scheme is to support and encourage disabled people to broaden their career opportunities or work more hours while still receiving financial support from the government.

In short, the programme allows disabled people to:

• Work for up to 16 hours per week
• Earn up to  £167.00 each week (after tax and National Insurance)
• Receive their normal disability benefits
• Get support while they work (known as supported permitted work)

There is no limit on how long an individual can do permitted or supported permitted work in the UK.

What Are The Benefits of the Permitted Work Scheme?

The scheme offers significant advantages for disabled people, creating opportunities for skill enhancement, career progression, and independence. Therefore, by allowing disabled workers to supplement their income and gradually transition into employment, it empowers them to grow professionally.

Here are the four biggest benefits of Permitted Work.

1. Financial independence

It gives people with disabilities the chance to earn an income without losing their disability benefits. As such, they can improve their financial stability and gradually reduce their reliance on welfare support.

2. Skill development 

It opens doors for disabled job seekers to gain valuable work experience. In the process, they can develop new skills, build their CVs, and boost their employability. As a result, they increase their chances of finding sustainable employment.

3. Independence 

It promotes independence by empowering people with disabilities to find paid work. In turn, participants regain a sense of purpose, independence, and fulfilment. By empowering disabled people to participate in the workforce and contribute to society, the scheme bolsters social inclusion.

4. Social connection

Working provides people with opportunities to foster social connections, which creates a sense of belonging and support. As such, it reduces feelings of isolation and loneliness amongst disabled people, enhancing overall mental well-being and quality of life.

What Are The Main Types Of Permitted Work?

Permitted Work has specific rules and regulations that all participants must comply with. Since these include limitations on the number of hours individuals in the scheme can work, failing to follow the guidelines could lead to fines. Here’s a breakdown of the main types of permitted work and the rules surrounding each one.

Permitted Work lower limit

This limit allows individuals to work for up to 16 hours per week and earn up to a certain threshold without affecting their disability benefits. However, the threshold amount can vary depending on the benefits the individual is receiving. So, consult the Department for Work and Pensions (DWP) for more information on the specific threshold amounts based on your personal circumstances.

Permitted Work higher limit 

Some individuals on Employment and Support Allowance (ESA) may be eligible for the higher limit. This limit enables them to work for more than 16 hours per week, and earn over the lower limited threshold for up to 52 weeks.

Supported Permitted Work

If an individual requires additional support to participate in the scheme, they may be eligible for programmes like Access to Work. This programme offers assistance with workplace accommodations, equipment, and support workers.

What’s The Eligibility Criteria For the Permitted Work Scheme?

Individuals must be receiving disability benefits in the UK to be eligible for the Permitted Work Scheme. Examples of these benefits include:

• Employment and Support Allowance (ESA)
• Incapacity Benefit
• Severe Disablement Allowance

Rules, regulations, and eligibility criteria may vary depending on the type of benefit you are receiving, so consult the DWP to double-check if you qualify for the scheme. 

How Can Permitted Work Impact Other Benefits?

It’s important to look into how Permitted Work could change your existing benefits. For instance, people who receive other benefits like Income Support may notice a reduction or a halt of these payments. Your Jobcentre Plus work coach can advise you on this.

In addition, people who receive Housing Benefit or Council Tax Reduction should speak to their local authority immediately to understand how their payments may change.

Tips On Navigating the Permitted Work Scheme

The programme comes with strict rules and limitations, meaning it’s essential that participants do their research. So, to help you stay compliant and understand what you’re entitled to, we’ve compiled a list of best practices to follow.

• Research: Get to know the specific thresholds, reporting requirements, and limitations of the scheme before you apply.
• Consider your existing benefits: Consult with your local authorities to see how the scheme could impact your other benefit payments.
• Fill in a PW1: Before you start any work, you must first fill out a Permitted Work form (PW1) and send it to the address you see at the top of any ESA correspondence you have received.
• Notify Jobcentre Plus: In addition, you must tell Jobcentre Plus immediately about any paid work you are doing to avoid fines and having to backpay ESA.

A Final Word On Permitted Work In The UK

The Permitted Work Scheme is instrumental in promoting employment opportunities for disabled people in the UK. As such, it allows disabled individuals to pursue paid work without losing their benefit entitlement. In the long run, this encourages financial independence, social inclusion, and more equal opportunities. 

If you’re a disabled person currently seeking work, contact the DWP to see if the scheme is the right fit for you.

Alternatively, browse our disability-friendly job board for inclusive opportunities near you.

Our resource hub is packed with advice and support on everything from knowing your rights to job application tips to applying for grants and schemes. 

Have a question? Feel free to contact our team. And don’t forget to sign up for our newsletter below for all the latest news and opportunities from Careers with Disabilities.