How volunteering affects your benefits

Voluntary work is unpaid work done for a charitable or voluntary organisation and it is reasonable to give services free of charge. Any payment to cover reasonable expenses is ignored. If the DWP think work should be paid (for example, if the employer is making a profit) they could treat the claimant as having a notional wage.

There are no specific rules limiting the number of hours of voluntary work a benefit claimant can do.

Employment and Support Allowance (ESA) claimants

ESA claimants can do voluntary work with no effect on their benefits. However, it should be noted that any activity could be considered as evidence of fitness to work in the next work capability assessment. 

ESA claimants cannot usually do paid work while they are receiving ESA. However, it is possible to do a limited amount of work under permitted work rules. If the work exceeds these limits ESA will stop.

The permitted work rules are intended to allow ESA claimants to test their ability to work and ease the transition back to full time work.  There are two levels of earnings limit. The lower limit is a maximum of £20 per week, with no time limit. The higher limit is £101 per week, for a maximum of 16 hours per week and with a time limit of 52 weeks. People who are in the support group of ESA or undertaking supported permitted work (supervised by an organisation which helps people with disabilities find work), or working under medical supervision as part of a hospital treatment program, can earn the higher earnings disregard for an unlimited period.

Although there are no rules about getting permission to do permitted work or voluntary work, any change of circumstances should be reported to DWP. It is advisable to discuss your plans with DWP before starting the work.

There is no provision for permitted work within Universal Credit. If an ESA claimant doing permitted work enters the Universal Credit scheme they should seek advice about the impact on their benefits.

Jobseekers Allowance (JSA) and Universal Credit (UC)

Jobseekers can do voluntary work but will still have to show that they are available for and actively seeking paid work. JSA claimants and UC claimants who must look for work as a condition of getting benefit will have to sign an individual claimant commitment setting out the activities they have to do for up to 35 hours every week to look for work. Voluntary work can count towards part of this commitment (no more than 50% of agreed hours of work search activities) by agreement with the DWP. It is essential for Jobseekers to discuss any plans with their Personal Adviser and make sure that their claimant commitment is reviewed and updated before starting the voluntary work.

Jobcentre plus can, in certain circumstances, require a jobseeker to do mandatory unpaid work for a fixed period as part of their claimant commitment.

Any earnings from paid work must be reported to DWP and will be taken into account when calculating benefits. Most Jobseekers Allowance claimants can earn a maximum of £5 per week before their benefit is affected, and will not be able to claim JSA at all if they work more than 16 hours. Depending on their circumstances other benefits may be payable while they are in work.  Many new jobseekers, including people moving off ESA will now be expected to claim Universal Credit, which replaces means tested benefits for people who are both in or out of work. This is intended to make taking part time and temporary work easier. Universal credit is being rolled out at different rates in different parts of the country. Anyone starting work should seek individual benefit advice before taking the job.