My wife recently had a letter back from the DWP stating that her ESA will be discontinued, stating that we cannot pay you because you have not paid, or been credited with enough National Insurance Contributions We have used the tax years ending 5 April 2012 and 2013 to assess your claim.
In years 2011-12 and (2012-13)
The NI LEL was £102 (£107) per week
50x the LEL was £5,100 (£5,310)
In 2011-12 my wife had moved work and had a break between meaning she worked a total of 35 weeks that year and was paid £7,186 before tax for the year. (average £205/week over the 35 weeks)
In 2012-13 she had to finish work due to arthritis meaning she worked a total of 36 weeks that year and was paid £6,205 before tax for the year. (average £172/week over the 36 weeks)
Please can you advise if this is sufficient to comply with both the Contributory Based ESA National Insurance requirements as stated below. I dont quite follow what they both require.
First contribution condition - in one of the last two complete tax years, you must have paid Class 1 or 2 contributions on relevant earnings at the lower earnings limit for at least 26 weeks. This means you must have worked for at least 26 weeks of the last two complete tax years; and
Second contribution condition - in both of the last two complete tax years, you must have paid or been credited with, Class 1 or 2 contributions to the value of 50 times the lower earnings limit.
I assume the first one means she must have been earning at least the LEL for 26 weeks per year.
I assume the second means that overall she needed to earn at least 50xLEL over the whole year.
If this is the case then as far as I can see she complies with both.
Please advise