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Forum Home  →  Discussion  →  Housing costs  →  Thread

Notional Capital

Kat
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Welfare Benefits Advisor, Shelter North East

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Total Posts: 1

Joined: 22 June 2010

Can anyone give me any case law (with links if possible!) relating to notional capital decisions? In particular, what would constitute ‘reasonable expenditure’ and also relating to intent, i.e. the client not intending to secure entitlement to HB/CTB.

Thanks!

Kat
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Welfare Benefits Advisor, Shelter North East

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Total Posts: 1

Joined: 22 June 2010

I think we have a pretty good shot at this one - the client came out of a very controlling and abusive relationship, sold the house and paid off her debts. The only advice she got from the LA was “once your capital drops to £16k we can pay you HB again” (I have requested call logs to prove this as she was essentially encouraged to dispose of the money) and she set up a new (rented) home with new furniture etc. She bought a second hand car for her daughter to drive her around in as she has mobility problems, and a second hand caravan so they could holiday together. She got lots of different sets of clothes because she has coeliac disease and balloons quite a lot. She also went a bit mad with buying lots of food for her family and cooking big family dinners, however I understand the ex partner didn’t actually allow her to see them while they were together.

The LA’s main argument seems to be, “Well, she knew to keep her receipts so obviously she knew the NC rule so obviously she did it on purpose”. I had the case handler himself agreeing that this was a very harsh assumption to make so hopefully things will go our way!