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UC v Contribution based ESA - savings criteria.

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6 months 3 weeks ago #290921 by JJ
Hi Team
A member of my family receives Contribution based ESA which is reduced due to his occupational pension. His savings however are disregarded as his entitlement is not income related.

I am currently trying to help someone with UC review. The original application entitled him to contribution based UC & he qualified for the LWRCA element. (works part time). I was wondering if the contribution based UC would allow any savings to go above £16,000 as it does with the CB ESA ?
From what I can gather on UC the £16,000 ruling seems a blanket one. But I'm not sure.
I hope you can help.
Thank you.

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6 months 3 weeks ago #290925 by Gordon
JJ

I'm afraid there is no such thing as Contribution Based UC, it is a means-tested benefit and takes into account income, savings and assets.

Assets and savings over £6000 incur a monthly Tariff income for every £250 above the limit and savings and assets above £16,000 remove entitlement to UC.

Gordon

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6 months 3 weeks ago #290927 by JJ
Hi Gordon

Thank you so much for your very useful reply.

I'm just wondering why would the Jobcentre would put someone onto UC & not CB ESA 2 years ago?

The applicant had enough contributions at the time following expiry of SSP. And should have been able to benefit from the savings disregard.
I understand that CB ESA could have still allowed him to work 16 hours?

Is the CB ESA (or new style), not an option for applicants any more? Or was it not 2 years ago ?

Thank you.

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6 months 3 weeks ago #290929 by Gordon
JJ

Forgive me but I am confused by your latest post

In your first one, you say that your family member claims ESA CB and has their pension deducted in part.

In your latest post. you suggest that ESA is not in payment.

Which is it?

To answer your specific question, UC and New Style ESA are separate benefits, if they claimed UC then no consideration of whether they met the conditions of entitlement for ESA would have been made.

Gordon

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6 months 3 weeks ago #290934 by JJ
Sorry for the confusion.

I was comparing 2 different cases.

The first has CB ESA, as of many years ago.

But the newest applicant was put onto UC automatically & not given the option of CB ESA. This was 2 years ago.

I was wondering why he was not put onto ESA & only considered for UC. As if he had been put onto CB ESA then there would have been a savings disregard.

I hope this is clearer.

Thank you.

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6 months 3 weeks ago #290935 by Gordon
JJ

You have to apply for NS ESA and/or UC, if the person only applies for UC then they will only receive UC.

The DWP has no obligation to suggest other benefits the person could claim either in conjunction with or in replacement for the benefit being claimed.

Gordon

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