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UK faces European Court over immigrants' benefits
A source close to Iain Duncan Smith said he would see the commission in court
The UK is to be taken to the European Court of Justice over its alleged failure to correctly assess whether EU migrants are entitled to benefits.
Britain is accused of discriminating against those from EU member states who have been living and working in the UK.
It is alleged an extra residency test applied by the UK to see if migrants are eligible to claim breaches EU law.
A source close to Cabinet minister Iain Duncan Smith told the BBC he would not "cave in" to the commission.
A government spokesman added the test was a "vital and fair tool" to ensure benefits were paid only to people who were legally allowed to live in the UK.
Fight to keep test
The EU has a standard test that is supposed to be applied by countries to determine a migrant's eligibility for welfare payments.
But the British right-to-reside test goes further and restricts access to a number of social security benefits that would otherwise be available to those coming to the UK from another EU member state.
The BBC understands the commission is convinced the UK is breaking EU law and thousands of people may have been unfairly denied benefits as a result.
Introduced in 1994 for any recent arrivals to the UK who claim means-tested benefits, including returning UK nationals
Allowed under EU rules
Looks at length of time in the UK, employment prospects, reasons for coming to the country, and future intentions
Not applied to European Economic Area (EEA) nationals classed as workers or self-employed, nor their families
Refugees and those with exceptional leave remain exempt
Right-to-reside test
Introduced by Labour in 2004 in response to concerns about EU enlargement Places further restrictions on payments including housing benefit, council tax benefit, child tax credit and child benefit
A person has a right-to-reside if they are economically active or able to support themselves and their family
The European Commission believe the right-to-reside discriminates against EU nationals by making it more difficult for them to access social security than for UK nationals
The commission will announce it is taking Britain to the European Court of Justice because of the way it assess whether EU nationals are entitled to benefits.
But a source close to the Work and Pensions Secretary Iain Duncan Smith told the BBC: "Iain feels very strongly about this and will not be dictated to by the commission.
The source said the minister "will fight to keep" the test.
Refused allowance
In one case it is claimed an EU national who had been working and paying taxes in the UK was refused jobseekers' allowance after she was made redundant.
One UK-based charity - Advice on Individual Rights in Europe - said it had dealt with a number of women who had worked in the UK but were denied income support when they became pregnant.
"British and Irish citizens always pass this so-called right-to-reside test," the charity's legal director Adam Weiss told BBC Radio 4's Today programme.
"Other EU citizens do not always pass that test and as a result they are often refused certain benefits in circumstances when British citizens and Irish citizens would receive them."
The BBC's Matthew Price in Brussels says it is unusual for such cases to be brought before the European Court and that a final judgement could take years.
The case has infuriated some who already believe Brussels interferes too much in UK government policy.
'Specifically excluded'
Peter Lilley was the Conservative minister in charge of social security when the "habitual residence" test, which is allowed under EU law, was introduced in the UK.
Action at the European Court of Justice could take years to complete
He said the European Commission was "creeping" into areas of policy that were "specifically excluded" from European treaties, adding that the move would "strengthen the case for David Cameron to get powers back to this country".
The government recently announced plans for additional curbs on what migrants to the UK should be allowed to access.
The Queen's Speech included a bill to make short-term migrants pay for NHS care, force landlords to check immigration statuses and prevent illegal migrants from obtaining driving licences.
A source close to Iain Duncan Smith said he would see the commission in court
The UK is to be taken to the European Court of Justice over its alleged failure to correctly assess whether EU migrants are entitled to benefits.
Britain is accused of discriminating against those from EU member states who have been living and working in the UK.
It is alleged an extra residency test applied by the UK to see if migrants are eligible to claim breaches EU law.
A source close to Cabinet minister Iain Duncan Smith told the BBC he would not "cave in" to the commission.
A government spokesman added the test was a "vital and fair tool" to ensure benefits were paid only to people who were legally allowed to live in the UK.
Fight to keep test
The EU has a standard test that is supposed to be applied by countries to determine a migrant's eligibility for welfare payments.
But the British right-to-reside test goes further and restricts access to a number of social security benefits that would otherwise be available to those coming to the UK from another EU member state.
The BBC understands the commission is convinced the UK is breaking EU law and thousands of people may have been unfairly denied benefits as a result.
Introduced in 1994 for any recent arrivals to the UK who claim means-tested benefits, including returning UK nationals
Allowed under EU rules
Looks at length of time in the UK, employment prospects, reasons for coming to the country, and future intentions
Not applied to European Economic Area (EEA) nationals classed as workers or self-employed, nor their families
Refugees and those with exceptional leave remain exempt
Right-to-reside test
Introduced by Labour in 2004 in response to concerns about EU enlargement Places further restrictions on payments including housing benefit, council tax benefit, child tax credit and child benefit
A person has a right-to-reside if they are economically active or able to support themselves and their family
The European Commission believe the right-to-reside discriminates against EU nationals by making it more difficult for them to access social security than for UK nationals
The commission will announce it is taking Britain to the European Court of Justice because of the way it assess whether EU nationals are entitled to benefits.
But a source close to the Work and Pensions Secretary Iain Duncan Smith told the BBC: "Iain feels very strongly about this and will not be dictated to by the commission.
The source said the minister "will fight to keep" the test.
Refused allowance
In one case it is claimed an EU national who had been working and paying taxes in the UK was refused jobseekers' allowance after she was made redundant.
One UK-based charity - Advice on Individual Rights in Europe - said it had dealt with a number of women who had worked in the UK but were denied income support when they became pregnant.
"British and Irish citizens always pass this so-called right-to-reside test," the charity's legal director Adam Weiss told BBC Radio 4's Today programme.
"Other EU citizens do not always pass that test and as a result they are often refused certain benefits in circumstances when British citizens and Irish citizens would receive them."
The BBC's Matthew Price in Brussels says it is unusual for such cases to be brought before the European Court and that a final judgement could take years.
The case has infuriated some who already believe Brussels interferes too much in UK government policy.
'Specifically excluded'
Peter Lilley was the Conservative minister in charge of social security when the "habitual residence" test, which is allowed under EU law, was introduced in the UK.
Action at the European Court of Justice could take years to complete
He said the European Commission was "creeping" into areas of policy that were "specifically excluded" from European treaties, adding that the move would "strengthen the case for David Cameron to get powers back to this country".
The government recently announced plans for additional curbs on what migrants to the UK should be allowed to access.
The Queen's Speech included a bill to make short-term migrants pay for NHS care, force landlords to check immigration statuses and prevent illegal migrants from obtaining driving licences.
