LRD guides and handbook April 2018

State benefits and tax credits 2018

Chapter 4

Reduced Earnings Allowance and Retirement Allowance



[ch 4: page 50]

These benefits are only available to people who have had accidents, or have diseases that started, before 1 October 1990. 



Reduced Earnings Allowance (REA) can be paid on its own or on top of IIDB. If you do not get IIDB because your disablement is less than 14% you can still get REA as long as your disablement is assessed at 1% or more. If you have been receiving REA because you could not return to your regular occupation as a result of an accident at work, or a prescribed industrial disease, you will continue to be entitled to it — the maximum rate is now £69.92 a week. 



Retirement Allowance replaces REA when you reach state pension age if REA is at least £2 a week and you are not in regular employment. The maximum rate is £17.48 a week.