UC and Savings

Hi Everyone,

Thank you as always for your support!

I am trying to help my uncle with a claim for UC he has just been awarded PIP.

Prior to his PIP he was made redundant on medical grounds and received a settlement of nearly 18K. He has also received a back payment on PIP of just shy of 2k. He has no other personal income.

My question is this...

My uncle is in dire need of a new kitchen. His is about 30 years old, it is not fit for purpose half of the appliances in it are not fit for purpose or in my opinion safe, it needs completely gutting and a new one installing with adaptations for him. As well as some other essential maintenance around the home. He had planned to spend his redundancy money on this but now is worried sick that if he does he wont be able to claim UC. Until he was medically retired he was only getting sick pay and was really struggling to live, which is why his home has suffered.

I am under the impression that the back pay from PIP wont count as savings because he has 52 weeks to use it... is that correct?

The other question is... will the DWP hold the retirement settlement against him and reduce his UC if it has mostly been spent on genuine repairs/ the new kitchen and adaptations? He will he will of course have proof that the money was spent only on this work in the form of receipts etc. Just to clarify he is not going to use the money in a frivolous way it is just for essential home repairs that he could not afford to do before.

Any advise you could provide would be much appreciated

Hi David,

Yes sorry I should have proof read before I posted!! The kitchen is about 30 years old, its had repair after repair but the units are rotten from steam damage. Its a fairly old house to be fair.

Yes I was thinking the same thing, then they will see if questioned that it was really essential. There are so many things these days that can make life a little easier for people with disabilities! His kitchen drawers are a nightmare to open because they don't even have the metal runners inside!!

He is just so scared of putting a foot wrong and the DWP making him suffer that he has been getting worked up.