PolicyEngine-UK 2.153.2__tar.gz → 2.153.3__tar.gz

{policyengine_uk-2.153.2 → policyengine_uk-2.153.3}/CHANGELOG.md

@@ -1,3 +1,10 @@
+## [2.153.3] - 2026-10-24
+
+### Fixed
+
+- - Count statutory sick, maternity and paternity pay in the legacy Income Support means test.
+
+
 ## [2.153.2] - 2026-10-24
 
 ### Fixed

{policyengine_uk-2.153.2 → policyengine_uk-2.153.3}/PKG-INFO

@@ -1,6 +1,6 @@
 Metadata-Version: 2.5
 Name: policyengine-uk
-Version: 2.153.2
+Version: 2.153.3
 Summary: PolicyEngine tax and benefit system for the UK.
 Project-URL: Homepage, https://github.com/PolicyEngine/policyengine-uk
 Project-URL: Repository, https://github.com/PolicyEngine/policyengine-uk

policyengine_uk-2.153.3/policyengine_uk/parameters/gov/dwp/income_support/README.md

@@ -0,0 +1,21 @@
+# Income Support
+
+The means test includes the claimant's and partner's gross statutory sick,
+maternity and paternity pay through the separate `statutory_sick_pay`,
+`statutory_maternity_pay` and `statutory_paternity_pay` inputs. These payments
+count as other income: [regulation 35(2)(b)](https://www.legislation.gov.uk/uksi/1987/1967/regulation/35)
+excludes employer illness and statutory leave pay from earnings, while
+[regulation 40(4)(a)](https://www.legislation.gov.uk/uksi/1987/1967/regulation/40)
+includes it in income other than earnings. [Schedule 9, paragraphs 1 and 4](https://www.legislation.gov.uk/uksi/1987/1967/schedule/9)
+provides for deductions for relevant income tax, primary Class 1 National
+Insurance and half of qualifying pension contributions.
+
+The model currently deducts annual income tax, National Insurance and pension
+contributions without attributing them to particular payments. It also applies
+one claimant-type earnings disregard to combined income. As a result, a case
+with statutory pay but unused earnings disregard can have understated assessable
+income. Including gross statutory pay does not resolve these existing deduction
+and disregard limitations.
+
+The activation parameter turns off on 1 April 2026. The full-year 2027 award is
+zero.

policyengine_uk-2.153.3/policyengine_uk/tests/policy/baseline/finance/benefit/family/income_support/statutory_pay.yaml

@@ -0,0 +1,343 @@
+# IS Regs 1987 reg 35(2)(b) excludes sickness and parental-leave remuneration
+# from earnings; reg 40(4)(a) counts it as other income. Schedule 9 paras 1
+# and 4 permit tax, primary Class 1 NI and half of pension contributions.
+# https://www.legislation.gov.uk/uksi/1987/1967/regulation/40
+# https://www.legislation.gov.uk/uksi/1987/1967/schedule/9/paragraph/4
+#
+# Ordinary earnings independently consume the Schedule 8 disregard in these
+# targeted cases: £20 x 52 = £1,040 for lone parents, £10 x 52 = £520 for a
+# couple. Statutory pay then counts in full. The existing model applies its
+# disregard to all income; statutory-only cases with unused earnings disregard
+# require a separate correction and are not asserted here as current law.
+# The 2025/26 lone-parent allowance is £92.05 x 52 = £4,786.60 (DWP rates).
+# https://www.legislation.gov.uk/uksi/1987/1967/schedule/8/paragraph/5
+# https://www.legislation.gov.uk/uksi/1987/1967/schedule/8/paragraph/6
+# https://www.gov.uk/government/publications/benefit-and-pension-rates-2025-to-2026/benefit-and-pension-rates-2025-to-2026
+
+- name: Case 1, a claimant's statutory sick pay reduces a lone-parent award.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 1_040
+        statutory_sick_pay: 1_000
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # £1,040 earnings - £1,040 earnings disregard + £1,000 SSP = £1,000.
+    employment_income: [1_040, 0]
+    statutory_sick_pay: [1_000, 0]
+    income_tax: [0, 0]
+    national_insurance: [0, 0]
+    income_support_tariff_income: 0
+    income_support_applicable_amount: 4_786.60
+    income_support_applicable_income: 1_000
+    income_support_entitlement: 3_786.60
+    income_support: 3_786.60
+
+- name: Case 2, a claimant's statutory maternity pay reduces a lone-parent award.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 1_040
+        statutory_maternity_pay: 2_000
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # £4,786.60 - £2,000 SMP = £2,786.60.
+    income_support_applicable_income: 2_000
+    income_support_entitlement: 2_786.60
+    income_support: 2_786.60
+
+- name: Case 3, a claimant's statutory paternity pay reduces a lone-parent award.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 1_040
+        statutory_paternity_pay: 300
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # £4,786.60 - £300 SPP = £4,486.60.
+    income_support_applicable_income: 300
+    income_support_entitlement: 4_486.60
+    income_support: 4_486.60
+
+- name: Case 4, the partner's statutory sick pay counts in the couple's income.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_claimant_or_partner: true
+        employment_income: 520
+        social_security_income: 0
+      person2:
+        age: 32
+        is_claimant_or_partner: true
+        statutory_sick_pay: 1_000
+        social_security_income: 0
+    benunits:
+      benunit:
+        members: [person1, person2]
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # Reg 23(1): £520 ordinary earnings - £520 disregard + £1,000 SSP.
+    income_support_applicable_income: 1_000
+
+- name: Case 5, statutory payments add across the claimant and partner.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_claimant_or_partner: true
+        employment_income: 520
+        statutory_sick_pay: 500
+        statutory_paternity_pay: 300
+        social_security_income: 0
+      person2:
+        age: 32
+        is_claimant_or_partner: true
+        statutory_maternity_pay: 700
+        social_security_income: 0
+    benunits:
+      benunit:
+        members: [person1, person2]
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # £520 - £520 + £500 SSP + £300 SPP + £700 SMP = £1,500.
+    income_support_applicable_income: 1_500
+
+- name: Case 6, another adult's statutory pay does not reduce the claimant's award.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 1_040
+        statutory_sick_pay: 1_000
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+      person3:
+        age: 38
+        is_claimant_or_partner: false
+        statutory_maternity_pay: 1_500
+        income_tax: 300
+        national_insurance: 100
+        pension_contributions: 200
+        social_security_income: 0
+    benunits:
+      benunit:
+        members: [person1, person2, person3]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2, person3]
+  output:
+    # Only the claimant and partner count (reg 23(1)); the excluded adult's
+    # £1,500 SMP and deductions do not change Case 1's income or award.
+    income_support_applicable_income: 1_000
+    income_support: 3_786.60
+
+- name: Case 7, zero statutory pay leaves the ordinary earnings disregard unchanged.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 1_040
+        statutory_sick_pay: 0
+        statutory_maternity_pay: 0
+        statutory_paternity_pay: 0
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    income_support_applicable_income: 0
+    income_support: 4_786.60
+
+- name: Case 8, statutory pay retains the tax NI and half-pension deductions.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 3_040
+        statutory_sick_pay: 1_000
+        # Enter actual deductions to isolate the IS calculation. This case
+        # does not assert how the annual tax and NI models calculate them.
+        income_tax: 100
+        national_insurance: 50
+        pension_contributions: 200
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # £3,040 + £1,000 - £100 - £50 - (0.5 x £200) - £1,040 = £2,750.
+    # Ordinary earnings still exceed the disregard after all deductions.
+    income_support_applicable_income: 2_750
+    income_support: 2_036.60
+
+- name: Case 9, earnings and statutory sick pay above the allowance leave no award.
+  period: 2025
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 6_040
+        statutory_sick_pay: 1_000
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    # £6,040 - £1,040 earnings disregard + £1,000 SSP = £6,000.
+    income_support_applicable_income: 6_000
+    income_support_entitlement: 0
+    income_support: 0
+
+- name: Case 10, statutory pay does not reopen Income Support after closure.
+  # 2027 is wholly after 31 March 2026. This avoids assuming that an annual
+  # 2026 formula selects the parameter after its 1 April closure boundary.
+  period: 2027
+  absolute_error_margin: 0.01
+  input:
+    people:
+      person1:
+        age: 30
+        is_parent: true
+        is_claimant_or_partner: true
+        income_support_reported: 1_000
+        hours_worked: 0
+        employment_income: 1_040
+        statutory_sick_pay: 1_000
+        social_security_income: 0
+      person2:
+        age: 3
+        is_claimant_or_partner: false
+    benunits:
+      benunit:
+        members: [person1, person2]
+        would_claim_IS: true
+        would_claim_uc: false
+        income_support_assessable_capital: 0
+    households:
+      household:
+        members: [person1, person2]
+  output:
+    income_support: 0

{policyengine_uk-2.153.2 → policyengine_uk-2.153.3}/policyengine_uk/variables/gov/dwp/income_support_applicable_income.py

@@ -7,7 +7,8 @@ class income_support_applicable_income(Variable):
     label = "Relevant income for Income Support means test"
     documentation = (
         "The claimant's and partner's income for Income Support, including "
-        "spousal maintenance. Child maintenance is disregarded."
+        "statutory sick, maternity and paternity pay and spousal maintenance. "
+        "Child maintenance is disregarded."
     )
     definition_period = YEAR
     unit = GBP
@@ -15,7 +16,10 @@ class income_support_applicable_income(Variable):
         "https://www.legislation.gov.uk/uksi/1987/1967/schedule/8",
         "https://www.legislation.gov.uk/uksi/1987/1967/regulation/36",
         "https://www.legislation.gov.uk/uksi/1987/1967/regulation/38",
+        "https://www.legislation.gov.uk/uksi/1987/1967/regulation/35",
         "https://www.legislation.gov.uk/uksi/1987/1967/regulation/40",
+        "https://www.legislation.gov.uk/uksi/1987/1967/schedule/9/paragraph/1",
+        "https://www.legislation.gov.uk/uksi/1987/1967/schedule/9/paragraph/4",
         "https://www.legislation.gov.uk/uksi/1987/1967/schedule/9/paragraph/15",
         "https://www.legislation.gov.uk/uksi/1987/1967/schedule/9/paragraph/16",
         "https://www.legislation.gov.uk/uksi/1987/1967/schedule/9/paragraph/73",
@@ -35,6 +39,10 @@ class income_support_applicable_income(Variable):
             "self_employment_income",
             "property_income_after_finance_costs",
             "private_pension_income",
+            # Employer statutory pay counts as other income (reg 40(4)(a)).
+            "statutory_sick_pay",
+            "statutory_maternity_pay",
+            "statutory_paternity_pay",
             # Reg 40 and Sch 9 para 15(3)(a): spousal maintenance is
             # non-earnings income, even when paid voluntarily. Child
             # maintenance (maintenance_income) is disregarded by para 73.

{policyengine_uk-2.153.2 → policyengine_uk-2.153.3}/pyproject.toml

@@ -1,6 +1,6 @@
 [project] 
 name = "policyengine-uk"
-version = "2.153.2"
+version = "2.153.3"
 description = "PolicyEngine tax and benefit system for the UK."
 readme = "README.md"
 authors = [

policyengine_uk-2.153.2/policyengine_uk/parameters/gov/dwp/income_support/README.md

@@ -1 +0,0 @@
-# Income Support