External
Departmental Instruction

DATE OF ISSUE:  4 April 2011

Indexation of British War Pensions (Disability Pensions)

Replaced by DI No.

C17/2011

Amends DI No.

N/A

Replaces DI No.

C07/2010

Purpose

The purpose of this Departmental Instruction is to advise of processing arrangements for the manual indexation of British war pensions.

War pensions to increase
11 April 2011

The UK Veterans Agency has advised that British war pensions will rise from 11 April 2011.  The Veterans Agency has published their rates chart at:

http://www.veterans-uk.com/pdfs/publications/va_leaflets/valeaflet9.pdf

Effective date and payday

The effective date for the variation should be 12 April 2011, for payday
21 April 2011.  Due to the fluctuations in exchanges rates, the increase in British War Pension will result in a decrease in the amount of Australian dollars received by clients.

Cases affected

These changes will affect the following cases:

  •       Composite cases (with or without income support)
  •       Empire Air Training Scheme (EATS) cases (with or without income support)
  •       British war pension in assessments of rent assistance, age pension or income support supplement

Exchange rate for EATS and composite cases

The exchange rate to use for EATS and composite cases (DP paid by Australia on behalf of the UK) is £1 = A$1.537.  These cases are now subject to the daily exchange rate variation of plus or minus 2.5%.  For further information refer to DI C22/2005.

Exchange rate for British DP paid direct from the UK

The exchange rate to use for British DP paid direct from the UK is
£1 = A$1.537

This is the same exchange rate used for British Official Public Service and Armed Forces Pensions.  For further information refer to DI C03/2011.

Rates charts in Australian dollars and AIS reports

British war pension rates converted to $A at both old and new rates have been e-mailed to the Income Support Management group along with the AIS report.  EATS and composite cases have been provided to the Rehabilitation Compensation & Systems Support Group.

There have been occasional problems with the AIS results.  If for any reason the list provided appears inconsistent with your expectations please contact the Income Support officer listed below

Manual examination

No cases will be processed automatically.  All cases will be listed for manual examination and updated in PIPS.

Contact officer

The Income Support contact officers for this exercise are Greg Doube
(ext 50559) and Martin Wright (ext 48636).

John Sadeik

National Manager

Income Support

4 April 2011