New A2 Accession Countries (Bulgaria & Romania) from 1st Jan 07

     

From 1st January 2007, Bulgaria and Romania have acceded to the European Union. The new countries have been classified as A2 (replacing the previous A2 countries of Malta and Cyprus).

Their accession means that news rules have been introduced to restrict access to the labour market and also to the welfare state.

The following section highlights the key changes to the Housing & Council Tax Benefit scheme

Bulgarian & Romanian Workers

A Worker Authorisation Scheme (WAS) has been introduced for;

All workers from Bulgaria & Romania who will all require a Worker Registration Document of some description (as described below)

Basically workers have been divided into three groups;

Highly skilled migrants

A2 nationals who are highly skilled migrants have unrestricted access to the UK labour market.

Highly skilled migrants will be able to claim JSAIB and, if in receipt of that benefit, HB and CTB while they look for work as they are treated as full EEA nationals.

Highly skilled migrant work seekers will have a right to reside but will need to show that they are habitually resident & they are unlikely to be entitled to IS, PC or HB as this will be a non qualifying right to reside as defined in Habitual Residence Test Changes from 30th April 06

Highly skilled migrant workers are exempt from the habitual residence test. However they will need to provide the following documents to confirm their status for benefit purposes

If they satisfy the above and also undertake Genuine and Effective Work then they will have access to the Housing & Council Tax Benefit scheme.

Skilled migrants

Skilled workers are allowed to work in the UK once they have been authorised by the Home Office to work for a particular employer.

The employer will have to show that there is a skill shortage and that there is nobody else to do the job. If they are on a low income they may be able to claim HB and CTB.

While they are working they are exempt from the habitual residence test.

If they stop working before completing 12 months authorised employment they will no longer have a right to reside as a worker.

If they are temporarily sick or incapacitated they will retain their worker status if they are still employed so are exempt from the habitual residence test.

However, if they leave their job as a result of sickness or incapacity they will lose their right to reside as a worker and will not be entitled to benefit

They will need to produce the following documents to prove that they are working legally in the UK

If they satisfy the above and also undertake Genuine and Effective Work then they will have access to the Housing & Council Tax Benefit scheme.

Skilled migrants – post 12 months

Skilled migrants who have completed the 12 months work requirement will gain full EEA worker status and will no longer need permission to work in the UK.

They will, on request, be issued with a blue registration certificate annotated to show that they have unrestricted access to the UK labour market.

Treated as though they are full EEA worker.  

Documents to prove that they have legally worked in the UK for 12 months

Low skilled workers

Those who want to work under the sector based scheme in food processing or under SAWS Operators will need to apply for permission to work before starting work.

The SAWS Operators are as follows;

A2 nationals employed under SAWS will only be allowed to work for six months at a time and must have a break of three months between employment spells under SAWS.

During this break they will be allowed to stay in the UK if they are self-sufficient but will not be entitled to claim any income-related benefits as they will lose their EEA worker status.

Click on the image for more details on the SAWS scheme

Workers in food processing will be allowed to work for up to 12 months for one employer. They can also change employers subject to Home Office approval during this period but are not required to have a break between employment spells.

While they are working legally, low skilled A2 nationals will be able to claim HB and CTB if they are on a low income. They are exempt from the habitual residence test while they are working and must produce the following documents to confirm their status

Low skilled workers – post 12 months

Low skilled workers who are employed under the sector based scheme in food processing will gain full EEA worker status once they have completed 12 months as an authorised worker.

They will be issued with a blue registration certificate annotated to show that they have unrestricted access to the UK labour market as per other EEA workers

They will be exempt from the habitual residence test if they have retained their worker status.

They must provide the following

Nationals who are employed under SAWS will not gain full EEA worker status as they are only allowed to work for six months with three month break between employers so cannot accrue a continuous period of 12 months employment…so the rules don’t change for them

A2 nationals not subject to restrictions

The following persons will be exempt from the restrictions;

A2 Self-employed people

These are treated in the same way as other EEA nationals who are self-employed and will be able to claim HB and CTB if they are on a low income while they are working.

Self-employed A2 nationals will need to supply the following documents to confirm their status

A2 work seekers

Most A2 nationals must be self-sufficient while they look for work and are unlikely to be entitled to income-based Jobseeker’s Allowance, HB and CTB.

Economically inactive A2 nationals

Economically inactive A2 nationals for example lone parents or retired people can come to live in the UK in the same way as other EEA nationals. They have a right to reside here if they are self-sufficient and are unlikely to be entitled to income-related benefits.

Students

They are treated in the same way as students from other EEA countries. Their right to reside requires them to declare that they are self-sufficient and they are unlikely to be entitled to JSA(IB), Income Support (IS), HB or CTB.