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Top Income Support & Jobseeker's Allowance topic #767

Subject: "Actual Capital" First topic | Last topic
Robbo
                              

Welfare Rights Officer, Stockport Advice
Member since
22nd Jan 2004

Actual Capital
Wed 03-Nov-04 08:12 AM

Looking for any help with the following situation :

A man comes for assistance, after a tribunal has refused his appeal against a decision that he has significant actual capital. No clear evidence was offered as to where the capital has gone - but it does appear that he no longer has it. The tribunal decision is not appealable to the Commissioners, on the evidence given.

Does this mean that his actual capital remains at this figure indefinitely? When his next claim to IS is refused, does that put him back to the starting point of having to demonstrate where it's gone?

I'm struggling at the moment to offer anything helpful. Then again, it would be better if he could tell me where all the money's gone, let alone the DWP...

  

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Replies to this topic
RE: Actual Capital, keith venables, 03rd Nov 2004, #1
RE: Actual Capital, Robbo, 05th Nov 2004, #2

keith venables
                              

welfare rights caseworker, leicester law centre
Member since
22nd Jan 2004

RE: Actual Capital
Wed 03-Nov-04 12:54 PM

Recently had something very similar. Client came to us having lost an appeal against a decision that she had very large amount of capital. Well out of time for appealling to Commissioner, and no real grounds for doing so in any case.

We put in a fresh IS claim, which was refused, and then appealed.
We ran the case on the basis we needed to account for all the capital, right back to the date it was first received. I think this has to be right, since my client had £150,000 in mid 2000, and clearly needs to explain why she now has no capital.

DWP applied a dimishing capital calculation to the capital identified at the first appeal, which accepted she'd accounted for £50,000. At hearing of second appeal, chair commented that this was clearly wrong, as this was actual capital, not notional. Still awaiting a decision from the tribunal, but they clearly accepted that we could provide evidence that the capital had been spent by the time of the first IS refusal.There would be no entitlement to benefit before the second claim, but all the evidence we had, and most of it was simply the client's statements, showed that the capital had been spent very quickly after it was received.

I think you need to account for all the capital, whenever it was spent. The claimant isn't necessarily fixed with what the first tribunal decided.

  

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Robbo
                              

Welfare Rights Officer, Stockport Advice
Member since
22nd Jan 2004

RE: Actual Capital
Fri 05-Nov-04 07:43 AM

Thanks for that - it was the answer I was hoping for!

  

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