× Search rightsnet
Search options

Where

Benefit

Jurisdiction

Jurisdiction

From

to

Forum Home  →  Discussion  →  Other benefit issues  →  Thread

Carers allowance and rental income

PippaD
forum member

Benefits advisor - Maggie's South West Wales, Swansea

Send message

Total Posts: 54

Joined: 20 June 2013

Can anyone tell me whether getting rental income from a second property ( with no mortgage ) would be seen as self employment income for carers allowance, even though they aren’t registered with HMRC. It is over the £123 pw threshold if taken into account.

Their other income is occupational pension which is disregarded.

Thanks
Pippa

Mart
forum member

Welfare benefits, Peabody Trust

Send message

Total Posts: 10

Joined: 17 June 2010

I would assume it could be classed us unearned income!

PippaD
forum member

Benefits advisor - Maggie's South West Wales, Swansea

Send message

Total Posts: 54

Joined: 20 June 2013

So worth putting a claim in then.
Many thanks

Jon (CANY)
forum member

Welfare benefits - Craven CAB, North Yorkshire

Send message

Total Posts: 1362

Joined: 16 June 2010

Looked at another way, the owner of a single tenanted property is unlikely to have that property disregarded for means-tested benefits if they tried to class is as a business asset, eg see the reasoning in these cases:

https://www.rightsnet.org.uk/pdfs/rfc/2_92.pdf

https://assets.publishing.service.gov.uk/media/58e50091ed915d06b00000dd/_2017__AACR_5ws.pdf

dereksi
forum member

Welfare rights worker - Contact a Family, Glasgow

Send message

Total Posts: 47

Joined: 16 June 2010

Hi Pippa

If they are renting out a single property this is likely to be treated as investment income rather than earnings and consequently ignored for carer’s allowance.

This is made clear at para 15743 of Volume 3, Chapter 15 of the Decision Maker’s Guide. It states that

”A person who
1. has a single property that is not the home
and
2. lets the property to tenants
and
3. collects rents and does any repairs
is not conducting a business. The property is primarily an investment. “

The guidance goes on to contrast this with the situation where someone rents out several properties and is treated as engaged in self-employment.