ESA3 issues

I have a client who was not assessed for IRESA on transfer. Since then, he has received intermittent (roughly monthly) payments of £100 from his sister when he was struggling. If I complete the ESA3 they will ask about these payments and require proof which he may not have going right back. Also worried that he didn’t declare these payments to HB and now they may come to light. Any advice?

p.290 CPAG WBH 2017/18, voluntary payments are payments made without getting anything back in return and are disregarded as income if they are made, or due to be made, regularly, ESA Regs Sch 8 para 16

I saw that but assumed that it would be from a charity or something. Would it be OK from a relative then as that would be a voluntary payment, as opposed to a charitable one? They are not regular as in same day every month or even every single month so does that mean they are treated as capital?

Irregular voluntary payments are treated as capital.

Voluntary payments is not defined in law but case law suggests it refers to a payment for which the person making the payment gets nothing in return. In R(H) 5/05, irregular payments received by a claimant from a friend and his parents following the claimant having a stroke were voluntary.

Many thanks. As he is an IB transfer case, should I await DWP contacting him before sending in ESA3 in case it interferes with their process and me putting 2014 date prejudices any subsequent further backdating

Not for me to say really. As noted, I don’t think voluntary payments made by his sister should have any effect whatsoever, but probably something to discuss with your client.

Thanks. I have discussed it with him but he’s unable to decide because i’m am not 100% sure if me pre-empting them contacting him could be detrimental. I will hang fire and keep an eye for further developments

For what it’s worth DWP don’t want people contacting them first - not that that is in itself any reason not to. But it may not speed things up.

Thanks, Daphne. This was a concern, that they would prioritise their own process

For what it’s worth - I’ve been advising clients to complete ESA 3 now and not wait for contact from DWP.  As far as I know, the DWP have yet to confirm how backdated entitlement to free prescriptions, Cold Weather Payments etc will be identified.  So the longer the client waits the more they miss out on from these at the very least.  Most of the clients I see need to access free prescriptions.

Thanks, Helen. Are you finding the claims being processed when you submit them?

Yes they are.  It takes a bit of chasing, but nothing more than every other item sent to the DWP.  They are being backdated too, but mostly to the Oct 2014 date.

Thanks. The free prescriptions aren’t an issue in Scotland but the other passported benefits would be.