Old rules IB/IS transition to ESA

It is late and my head hurts, your words of wisdom are needed.

Client is currently receiving:
- Income Support (old rules claim) which includes family, child and disability elements
- Incapacity Benefit, this includes and adult dependency increase (ADI) and a child dependent increase (CDI)

Client is about to go through the WCA. Normally if you pass the WCA you transition to ESA and retain your current rate of payment, however how will my client be affected?

My thoughts were…. Client will get CESA at current IB long-term rate plus relevant age addition, topped up by IESA due to SDP/EDP.

However I am stuck regarding the ADI (disregarded as income for IS purposes). Currently the son lives with grandma Mon-Fri and with Client on w/ends. Cl gives grandma money (a little more than the ADI) for taking care of son during the week.

Would ADI go and then Client and grandma debate who claims CTC?

Just to throw a spanner in the works, grandma could not claim CA because she does not provide care at 35 hours to the client. The ADI relates to her care of the client’s child.

I am desperately trying to retain client’s means-tested benefits as due to significant mental, cognitive and physical ill health she would not be able to cope with nthe loss of passporting and increased paperwork.

I think the client will have LCWRA although knowing the way things play out this may be via appeal!

Thanks Tony, I have been doing more reading and have to agree with your interpretation.

The regs suggest that the clients ADI and CDI amounts will be transitionally protected to CESA however the applicable amount for IS transition should not to include the family and child elements thus she loses means-tested benefits as CESA will exceed new IESA applicable amount. Bother!

If she retains the SDP this does not assist the IESA aspect but it does enable a full HB/CTB award.

Full CTC will also be payable giving rise to passported health benefits. 

If anyone else has any other ideas feel free to weigh in…