Capital and Disability Payments

I have a vague memory of reference to a recent case where disability benefits for a child paid into the parent’s account were not to be counted when assessing the parent’s savings for the purposes of means-tested benefits. Have I imagined this? I can’t track this case down .

I don’t know what case you are thinking of or if it exists, but the principle is surely correct. The parent is acting as an appointee for the child, but it remains the child’s money. If the claimant was appointee for an adult friend or family member, there could be no suggestion that the money was their own to spend.

(Obviously this would only apply to the DLA/PIP itself. If the claimant is receiving other sums such as carer’s allowance or disabled child elements, that would be their own money).

Thank you Elliot that is really helpful (although I now face the prospect of having to make whole new set of calculations on reduction of capital! )

The case in question, though not terrifically recent, might be MC v SSWP (IS) [2015] UKUT 600 (AAC), which dealt with just this general situation, where the claimant was an appointee for her child on her DLA award and had saved up the benefit in an account in her own name.

Thanks John that’s really helpful to know.  I am not sure at the minute whether she was saving the benefit up at the time in question (it is not the main reason for her savings going over the limit) but it could have contributed and even if we are only looking at the weekly amount it might bring it down below the limit a bit more quickly or lower the overpayment once it falls below £16,000.