Effect of sanctions on assistance

The tables below give examples of the effect on the benefit and supplementary assistance rates when a client's benefit has been sanctioned due to an obligations failure.

Note for a grade 1 obligation failure if a non-financial sanction is imposed, the client’s rate of payment will not be affected.

See Example 2 for information on how Money Management changes the way payments are made.

Example 1 - client fails their obligations, has a financial sanction imposed

	Main Benefit	Supplementary Assistance (including Winter Energy Payment)
Grade 1 financial sanction	50% reduction	Not affected
Grade 2 financial sanction	50% reduction	Not affected
Grade 3 financial sanction	50% cancellation	Not affected

Note Winter Energy Payment continues when a portion of qualifying benefit is still paid.

Example 2 - client fails their first obligation, Money Management imposed

Main benefit

Extra help
(including Winter Energy Payment)

Grade 1 financial sanction

(Money Management)

50% payment in bank account

50% payment on payment card

Not affected

Note Non-financial sanctions can only be imposed as an alternative to a Grade 1 financial sanction

Example 3 - client refuses an offer of suitable employment

A client refuses an offer of suitable employment and so is subject to a 13 week non-entitlement period.

Main benefit	Supplementary assistance (including Winter Energy Payment)
50% cancellation	Not affected