The State Pension Credit Regulations 2002

• (6) No deduction shall be made in respect of any non-dependants occupying the dwelling occupied as the home of the claimant, if the claimant or any partner of his is—

• (a) certified as severely sight impaired or blind by a consultant ophthalmologist, or who is within 28 weeks of ceasing to be so certified; or

• (b) receiving in respect of himself either—

• (i) an attendance allowance; ...

• (ia) pension age disability payment;

• (ii) the care component of the disability living allowance; ...

• (iia) the care component of Scottish adult disability living allowance;

• (iii) the daily living component of personal independence payment ; ...

• (iiia) the daily living component of adult disability payment; or

• (iv) armed forces independence payment.

• (7) No deduction shall be made in respect of a non-dependant—

• (a) if, although he resides with the claimant, it appears to the Secretary of State that the dwelling occupied as his home is normally elsewhere; or

• (b) if he is in receipt of a training allowance paid in connection with youth training under section 2 of the Employment and Training Act 1973 or section 2 of the Enterprise and New Towns (Scotland) Act 1990; or

• (c) if he is a full-time student ...; or

• (cc) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (d) if he is aged under 25 and in receipt of income support or an income-based jobseeker’s allowance; or

• (dd) in respect of whom a deduction in the calculation of a rent rebate or allowance falls to be made under regulation 55 (non-dependant deductions) of the Housing Benefit (Persons who have attained the qualifying age for state pension credit) Regulations 2006; or

• (e) if he is not residing with the claimant because he has been an in-patient residing in a hospital or similar institution for a period in excess of 52 weeks, or is a prisoner; and in calculating any period of 52 weeks, any 2 or more distinct periods separated by one or more intervals each not exceeding 28 days shall be treated as a single period; or

• (f) if he is in receipt of state pension credit.

• (g) if he is aged less than 25 and is in receipt of income-related employment and support allowance which does not include an amount under section ... 4(4) ... of the Welfare Reform Act (component) or is not a member of the work-related activity group ; or

• (h) if he is aged less than 25 and is entitled to an award of universal credit which is calculated on the basis that he does not have any earned income

• (8) In the case of a non-dependant to whom sub-paragraph (1) applies because he is in remunerative work, there shall be disregarded from his gross income—

• (a) any attendance allowance , pension age disability payment ,disability living allowance , Scottish adult disability living allowance, armed forces independence payment, personal independence payment or adult disability payment received by him;

• (b) any payment from the Macfarlane Trust, the Macfarlane (Special Payments) Trust, the Macfarlane (Special Payments) (No. 2) Trust (“the Trusts”), the Fund, the Eileen Trust , MFET Limited , the Skipton Fund, the Caxton Foundation , the Scottish Infected Blood Support Scheme , an approved blood scheme , the London Emergencies Trust, the We Love Manchester Emergency Fund , the National Emergencies Trust , the Victims of Overseas Terrorism Compensation Scheme or the Independent Living Fund (2006); and

• (ba) any Grenfell Tower payment;

• (bb) any child abuse payment;

• (bc) any Windrush payment;

• (bd) any Post Office compensation payment;

• (be) any LGBT Financial Recognition Scheme payment;

• (bf) any miscarriage of justice compensation payment;

• (c) any payment in kind.

• (d) any payment made under or by a trust, established for the purpose of giving relief and assistance to disabled persons whose disabilities were caused by the fact that during their mother’s pregnancy she had taken a preparation containing the drug known as Thalidomide, and which is approved by the Secretary of State.

• (9) For the purposes of sub-paragraph (7)(h), “earned income” has the meaning given in regulation 52 of the Universal Credit Regulations 2013.

Rounding of fractions

15

Where any calculation made under this Schedule results in a fraction of a penny, that fraction shall be treated as a penny.

SCHEDULE III — SPECIAL GROUPS

Polygamous marriages

1

• (1) The provisions of this paragraph apply in any case to which section 12 (polygamous marriages) applies if the claimant is taken to be “the person in question” for the purposes of that section.

• (2) The following provision shall apply instead of section 3(1)—

(1) The first condition is that, if the claimant is taken ... to be “the person in question” for the purposes of section 12 (polygamous marriages),— (a) the case is one to which that section applies; and (b) any one or more of the persons falling within subsection (1)(c) of that section has attained pensionable age before 6 April 2016 and has attained the age of 65 (before, on or after that date).

• (3) The following provision shall apply instead of section 4(1)—

(1) A claimant is not entitled to state pension credit if, taking the claimant to be “the person in question” for the purposes of section 12 (polygamous marriages),— (a) the case is one to which that section applies; and (b) any one or more of the other persons falling within subsection (1)(c) of that section is entitled to state pension credit.

• (4) The following provision shall apply instead of section 5—

(5) Income and capital of claimant, spouses etc. (1) This section applies in any case to which section 12 (polygamous marriages) applies if the claimant is taken to be “the person in question” for the purposes of that section. (2) In any such case, the income and capital of each of the other persons falling within subsection (1)(c) of that section shall be treated for the purposes of this Act as income and capital of the claimant, except where regulations provide otherwise.

• (5) In regulation 6 (amount of the guarantee credit), for paragraph (1) there shall be substituted—

(1) Except as provided in the following provisions of these Regulations, in a case to which section 12 (polygamous marriages) applies if the claimant is taken to be “the person in question” for the purposes of that section the standard minimum guarantee is the sum of— (a) £346.60 per week in respect of the claimant and any one spouse of the claimant’s; and (b) £119.50 per week in respect of for each additional spouse (whether of the claimant or that spouse) who falls within section 12 (1)(c).

• (6) The maximum savings credit shall be determined on the assumption that the standard minimum guarantee is the amount prescribed for partners under regulation 6(1)(a).

• (7) In regulation 7 (savings credit) for paragraph (2) there shall be substituted—

(2) In any case to which section 12 (polygamous marriages) applies, if the claimant is taken to be “the person in question” for the purposes of that section, the amount prescribed for the savings credit threshold is £314.34.

• (7A) The following provision shall apply instead of regulation 7A (limitation of savings credit for certain mixed-age couples)—

(7A) (1) This regulation applies if, taking the claimant to be the person in question for the purposes of section 12 (polygamous marriages),— (a) the case is one to which that section applies; and (b) at least one of the persons falling within subsection (1)(c) of that section had attained pensionable age before 6 April 2016 and at least one of those persons had not. (2) Where this regulation applies, the claimant is not entitled to a savings credit unless the claimant— (a) has been awarded a savings credit with effect from a day before 6 April 2016 and was entitled to a savings credit immediately before that date; and (b) remained entitled to a savings credit at all times since the beginning of 6 April 2016.

• (8) In regulations 3, ...5, 6(8), 10,12 and 14 and in paragraph 6(5)(b)(v) of Schedule 1 and in Schedule 2, any reference to a partner includes also a reference to any additional spouse to whom this paragraph applies.

• (9) For the purposes of regulation 6(5)(a) and (b), paragraph 1(1)(b)(i) of Part I of Schedule I is satisfied only if both partners and each additional spouse to whom this paragraph applies are in receipt of attendance allowance , pension age disability payment , the care component of disability living allowance at the highest or middle rate prescribed in accordance with section 72(3) of the 1992 Act , the care component of Scottish adult disability living allowance at the highest or middle rate in accordance with regulation 6(4) of the Disability Assistance (Scottish Adult Disability Living Allowance) Regulations 2025 , the daily living component of personal independence payment at the standard or enhanced rate in accordance with section 78(3) of the 2012 Act , the daily living component of adult disability payment at the standard or enhanced rate in accordance with regulation 5 of the Disability Assistance for Working Age People (Scotland) Regulations 2022 or armed forces independence payment.

• (10) For the purposes of regulation 6(5)(a), paragraph 1(1)(c) of Part I of Schedule 1 is only satisfied if—

• (a) both partners and each additional spouse to whom this paragraph applies all fall within either paragraph 1(1)(c)(i) or paragraph 1(1)(c)(ii); and

• (b) at least one of them falls within paragraph 1(1)(c)(i); and

• (c) at least one of them falls within paragraph 1(1)(c)(ii) but not paragraph 1(1)(c)(i); and

• (d) either paragraph 1(1)(c)(iv) is satisfied or a person is entitled to and in receipt of an allowance under section 70 of the 1992 Act or carer support payment in respect of caring for one or more, but not all, the persons who fall within paragraph 1(1)(c)(i).

• (11) Any reference in this paragraph to an additional spouse to whom this paragraph applies is a reference to any person who is an additional spouse (whether of the claimant’s or of a spouse of the claimant’s) falling within subsection (1)(c) of section 12 if the claimant is taken to be “the person in question” for the purposes of that section.

Further provisions in the case of patients

2

• (1) Sub-paragraph (2) applies in the case of a claimant (“C”) who satisfies either of the following conditions.

• (1A) The first condition is that—

• (a) C is being detained under section 45A or 47 of the Mental Health Act 1983 (power of higher courts to direct hospital admission; removal to hospital of persons serving sentences of imprisonment etc.); and

• (b) in any case where there is in relation to C a release date within the meaning of section 50(3) of that Act, C is being detained on or before the day which the Secretary of State certifies to be that release date.

• (1B) The second condition is that C is being detained under—

• (a) section 59A of the Criminal Procedure (Scotland) Act 1995 (hospital direction); or

• (b) section 136 of the Mental Health (Care and Treatment) (Scotland) Act 2003 (transfer of prisoners for treatment of mental disorder).

• (2) In the case of a claimant to whom paragraph (1) applies—

• (a) section 2(3) has effect with the substitution of a reference to a nil amount for the reference to the standard minimum guarantee in paragraph (a), and nil is the prescribed additional amount for the purposes of paragraph (b); and

• (b) the maximum amount of savings credit shall be taken to be nil.

SCHEDULE IV — AMOUNTS TO BE DISREGARDED IN THE CALCULATION OF INCOME OTHER THAN EARNINGS

1

In addition to any sum which falls to be disregarded in accordance with paragraphs 3 to 6, £10 of any of the following, namely—

• (a) a war disablement pension (except insofar as such a pension falls to be disregarded under paragraph 2 or 3);

• (b) a war widow’s or war widower’s pension;

• (ba) unless paragraph 1(a) or (b) applies, any payment described in regulation 15(5)(ac) (except insofar as such a payment falls to be disregarded under paragraph 2 or 3);

• (c) a pension payable to a person as a widow, widower or surviving civil partner under ... any power of Her Majesty otherwise than under an enactment to make provision about pensions for or in respect of persons who have been disabled or have died in consequence of service as members of the armed forces of the Crown;

• (cc) a guaranteed income payment and, if the amount of that payment has been abated to less than £10 by a pension or payment falling within article 31(1)(a) or (b) of the Armed Forces and Reserve Forces (Compensation Scheme) Order 2005, so much of that pension or payment as would not, in aggregate with the amount of any guaranteed income payment disregarded, exceed £10;

• (d) a payment made to compensate for the non-payment of such a pension or payment as is mentioned in any of the preceding sub-paragraphs;

• (e) a pension paid by the government of a country outside Great Britain which is analogous to any of the pensions or payments mentioned in sub-paragraphs (a) to (cc) above;

• (f) a pension paid by a government to victims of National Socialist persecution.

2

The whole of any amount included in a pension to which paragraph 1 relates in respect of—

• (a) the claimant’s need for constant attendance;

• (b) the claimant’s exceptionally severe disablement.

3

Any mobility supplement under article 20 of the Naval, Military and Air Forces Etc. (Disablement and Death) Service Pensions Order 2006 (including such a supplement by virtue of any other scheme or order) or under article 25A of the Personal Injuries (Civilians) Scheme 1983 or any payment intended to compensate for the non-payment of such a supplement.

4

Any supplementary pension under article 23(2) of the Naval, Military and Air Forces Etc. (Disablement and Death) Service Pensions Order 2006 (pensions to surviving spouses and surviving civil partners) and any analogous payment made by the Secretary of State for Defence to any person who is not a person entitled under that Order.

5

In the case of a pension awarded at the supplementary rate under article 27(3) of the Personal Injuries (Civilians) Scheme 1983 (pensions to widows, widowers or surviving civil partners), the sum specified in paragraph 1(c) of Schedule 4 to that Scheme.

6

• (1) Any payment which is—

• (a) made under any of the Dispensing Instruments to a widow, widower or surviving civil partner of a person—

• (i) whose death was attributable to service in a capacity analogous to service as a member of the armed forces of the Crown; and

• (ii) whose service in such capacity terminated before 31st March 1973; and

• (b) equal to the amount specified in article 23(2) of the Naval, Military and Air Forces Etc. (Disablement and Death) Service Pensions Order 2006.

• (2) In this paragraph “the Dispensing Instruments” means the Order in Council of 19th December 1881, the Royal Warrant of 27th October 1884 and the Order by His Majesty of 14th January 1922 (exceptional grants of pay, non-effective pay and allowances).

7

£10 of any widowed parent’s allowance to which the claimant is entitled under section 39A of the 1992 Act .

8

• (1) Where the claimant occupies a dwelling as his home and he provides in that dwelling board and lodging accommodation, an amount, in respect of each person for whom such accommodation is provided for the whole or any part of a week, equal to—

• (a) where the aggregate of any payments made in respect of any one week in respect of such accommodation provided to such person does not exceed £20.00, 100% of such payments; or

• (b) where the aggregate of any such payments exceeds £20.00, £20.00 and 50% of the excess over £20.00.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

9

If the claimant—

• (a) owns the freehold or leasehold interest in any property or is a tenant of any property; and

• (b) occupies a part of that property; and

• (c) has an agreement with another person allowing that person to occupy another part of that property on payment of rent and—

• (i) the amount paid by that person is less than £20 per week, the whole of that amount; or

• (ii) the amount paid is £20 or more per week, £20.

10

Where a claimant receives income under an annuity purchased with a loan, which satisfies the following conditions—

• (a) that the loan was made as part of a scheme under which not less than 90% of the proceeds of the loan were applied to the purchase by the person to whom it was made of an annuity ending with his life or with the life of the survivor of two or more persons (in this paragraph referred to as “the annuitants”) who include the person to whom the loan was made;

• (b) that at the time the loan was made the person to whom it was made or each of the annuitants had attained the age of 65 or, if it was higher at that time, pensionable age;

• (c) that the loan was secured on a dwelling in Great Britain and the person to whom the loan was made or one of the annuitants owns an estate or interest in that dwelling;

• (d) that the person to whom the loan was made or one of the annuitants occupies the dwelling on which it was secured as his home at the time the interest is paid; and

• (e) that the interest payable on the loan is paid by the person to whom the loan was made or by one of the annuitants,

the amount, calculated on a weekly basis, equal to—

• (i) where, or insofar as, section 369 of the Income and Corporation Taxes Act 1988 (mortgage interest payable under deduction of tax) applies to the payments of interest on the loan, the interest which is payable after deduction of a sum equal to income tax on such payments at the applicable percentage of income tax within the meaning of section 369(1A) of that Act;

• (ii) in any other case the interest which is payable on the loan without deduction of such a sum.

11

• (1) Any payment, other than a payment to which sub-paragraph (2) applies, made to the claimant by Trustees in exercise of a discretion exercisable by them.

• (2) This sub-paragraph applies to payments made to the claimant by Trustees in exercise of a discretion exercisable by them for the purpose of—

• (a) obtaining food, ordinary clothing or footwear or household fuel;

• (b) the payment of rent, council tax or water charges for which that claimant or his partner is liable;

• (c) meeting housing costs of a kind specified in Schedule 2;

• (d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) In a case to which sub-paragraph (2) applies, £20 or—

• (a) if the payment is less than £20, the whole payment; or

• (b) if, in the claimant’s case, £10 is disregarded in accordance with paragraph 1(a) to (f), or paragraph 7 or 7A £10 or the whole payment if it is less than £10.

• (4) For the purposes of this paragraph—

“ordinary clothing and footwear” means clothing or footwear for normal daily use, but does not include school uniforms, or clothing and footwear used solely for sporting activities; and

“rent” means eligible rent for the purposes of the Housing Benefit (General) Regulations 1987 less any deductions in respect of non-dependants which fall to be made under regulation 63 (non-dependant deductions) of those Regulations.

12

Any increase in pension or allowance under Part 2 or 3 of the Naval, Military and Air Forces Etc. (Disablement and Death) Service Pensions Order 2006 paid in respect of a dependent other than the pensioner’s ... partner.

13

Any payment ordered by a court to be made to the claimant or the claimant’s partner in consequence of any accident, injury or disease suffered by the person to whom the payments are made.

14

Periodic payments made to the claimant or the claimant’s partner under an agreement entered into in ... settlement of a claim made by that person for an injury suffered by him.

15

Any income which is payable outside the United Kingdom for such period during which there is a prohibition against the transfer to the United Kingdom of that income.

16

Any banking charges or commission payable in converting to Sterling payments of income made in a currency other than Sterling.

SCHEDULE V — INCOME FROM CAPITAL

PART I — Capital disregarded for the purpose of calculating income

1

Any premises acquired for occupation by the claimant which he intends to occupy as his home within 26 weeks of the date of acquisition or such longer period as is reasonable in the circumstances to enable the claimant to obtain possession and commence occupation of the premises.

2

Any premises which the claimant intends to occupy as his home, and in respect of which he is taking steps to obtain possession and has sought legal advice, or has commenced legal proceedings, with a view to obtaining possession, for a period of 26 weeks from the date on which he first sought such advice or first commenced such proceedings whichever is the earlier, or such longer period as is reasonable in the circumstances to enable him to obtain possession and commence occupation of those premises.

3

Any premises which the claimant intends to occupy as his home to which essential repairs or alterations are required in order to render them fit for such occupation, for a period of 26 weeks from the date on which the claimant first takes steps to effect those repairs or alterations, or such longer period as is necessary to enable those repairs or alterations to be carried out.

4

Any premises occupied in whole or in part—

• (a) by a person who is a close relative, grandparent, grandchild, uncle, aunt, nephew or niece of the claimant or of his partner as his home where that person has attained the qualifying age for state pension credit or is incapacitated;

• (b) by the former partner of the claimant as his home; but this provision shall not apply where the former partner is a person from whom the claimant is estranged or divorced or with whom he had formed a civil partnership that has been dissolved.

5

Any future interest in property of any kind, other than land or premises in respect of which the claimant has granted a subsisting lease or tenancy, including sub-leases or sub-tenancies.

6

• (1) Where a claimant has ceased to occupy what was formerly the dwelling occupied as the home following his estrangement or divorce, or dissolution of his civil partnership with, from his former partner, that dwelling for a period of 26 weeks from the date on which he ceased to occupy that dwelling or, where the dwelling is occupied as the home by the former partner who is a lone parent, for so long as it is so occupied.

• (2) In this paragraph—

• (a) “dwelling” includes any garage, garden and outbuildings, which were formerly occupied by the claimant as his home and any premises not so occupied which it is impracticable or unreasonable to sell separately, in particular, in Scotland, any croft land on which the dwelling is situated;

• (b) “lone parent” means a person who has no partner and who is responsible for, and a member of the same household as, a child; and

• (c) “child” means a person who is a qualifying young person within the meaning of regulation 4A or a child as defined in section 40 of the 2012 Act.

7

Any premises where the claimant is taking reasonable steps to dispose of the whole of his interest in those premises, for a period of 26 weeks from the date on which he first took such steps, or such longer period as is reasonable in the circumstances to enable him to dispose of those premises.

8

All personal possessions.

9

The assets of any business owned in whole or in part by the claimant and for the purposes of which he is engaged as a self-employed earner or, if he has ceased to be engaged, for such period as may be reasonable in the circumstances to allow for disposal of those assets.

10

The surrender value of any policy of life insurance.

11

The value of any funeral plan contract; and for this purpose, “funeral plan contract” means a contract under which—

• (a) the claimant makes one or more payments to another person (“the provider”);

• (b) the provider undertakes to provide, or secure the provision of, a funeral in the United Kingdom for the claimant on his death; and

• (c) the sole purpose of the plan is to provide or secure the provision of a funeral for the claimant on his death.

12

Where an ex-gratia payment has been made by the Secretary of State on or after 1st February 2001 in consequence of the imprisonment or internment of—

• (a) the claimant;

• (b) the claimant’s partner;

• (c) the claimant’s deceased spouse or deceased civil partner; or

• (d) the claimant’s partner’s deceased spouse or deceased civil partner,

by the Japanese during the Second World War, an amount equal to that payment.

13

• (1) Subject to sub-paragraph (2), the amount of any trust payment made to a claimant or a claimant’s partner who is—

• (a) ... a diagnosed person;

• (b) a diagnosed person’s partner or was a diagnosed person’s partner at the time of the diagnosed person’s death;

• (c) ... a parent of a diagnosed person, a person acting in place of the diagnosed person’s parents or a person who was so acting at the date of the diagnosed person’s death.

• (2) Where a trust payment is made to—

• (a) a person referred to in sub-paragraph (1)(a) or (b), that sub-paragraph shall apply for the period beginning on the date on which the trust is made and ending on the date on which that person dies;

• (b) a person referred to in sub-paragraph (1)(c), that sub-paragraph shall apply for the period beginning on the date on which the trust payment is made and ending two years after that date.

• (3) Subject to sub-paragraph (4), the amount of any payment by a person to whom a trust payment has been made or of any payment out of the estate of a person to whom a trust payment has been made, which is made to a claimant or a claimant’s partner who is—

• (a) ... the diagnosed person;

• (b) a diagnosed person’s partner or was a diagnosed person’s partner at the date of the diagnosed person’s death; or

• (c) ... a parent of a diagnosed person, a person acting in place of the diagnosed person’s parents or a person who was so acting at the date of the diagnosed person’s death.

• (4) Where a payment referred to in sub-paragraph (3) is made to—

• (a) a person referred to in sub-paragraph (3)(a) or (b), that sub-paragraph shall apply for the period beginning on the date on which the payment is made and ending on the date on which that person dies;

• (b) a person referred to in sub-paragraph (3)(c), that sub-paragraph shall apply for the period beginning on the date on which the payment is made and ending two years after that date.

• (5) In this paragraph, a reference to a person—

• (a) being the diagnosed person’s partner;

• (b) acting in place of the diagnosed person’s parents,

at the date of the diagnosed person’s death shall include a person who would have been such a person or a person who would have been so acting, but for the diagnosed person residing in a care home or an independent hospital .

• (6) In this paragraph—

“diagnosed person” means a person who has been diagnosed as suffering from, or who, after his death, has been diagnosed as having suffered from, variant Creutzfeldt-Jakob disease;

“relevant trust” means a trust established out of funds provided by the Secretary of State in respect of persons who suffered, or who are suffering, from variant Creutzfeldt-Jakob disease for the benefit of persons eligible for payments in accordance with its provisions;

“trust payment” means a payment under a relevant trust.

14

• (1) The amount of any payment, other than a war disablement pension or a war widow’s or widower’s pension, to compensate for the fact that the claimant, the claimant’s partner, the claimant’s deceased spouse or deceased civil partner or the claimant’s partner’s deceased spouse or deceased civil partner—

• (a) was a slave labourer or a forced labourer;

• (b) had suffered property loss or had suffered personal injury; or

• (c) was a parent of a child who had died,

during the Second World War.

• (2) In sub-paragraph (1), “war disablement pension” and “war widow’s or widower’s pension” include any payment described in regulation 15(5)(ac).

15

• (1) Any payment made under or by the Macfarlane Trust, the Macfarlane (Special Payments) Trust, the Macfarlane (Special Payments) (No. 2) Trust (“the Trusts”), the Fund, the Eileen Trust , MFET Limited, the Independent Living Fund (2006), the Skipton Fund , the Caxton Foundation , the Scottish Infected Blood Support Scheme , an approved blood scheme , the London Emergencies Trust, the We Love Manchester Emergency Fund , the National Emergencies Trust , the Victims of Overseas Terrorism Compensation Scheme or the London Bombings Relief Charitable Fund.

• (1A) Any Grenfell Tower payment , child abuse payment, Windrush payment , Post Office compensation payment , vaccine damage payment , LGBT Financial Recognition Scheme payment or miscarriage of justice compensation payment or any payment made by the Child Migrants Trust (registered charity number 1171479) under the scheme for former British child migrants.

• (2) Any payment by or on behalf of a person who is suffering or who suffered from haemophilia or who is or was a qualifying person, which derives from a payment made under or by any of the Trusts to which sub-paragraph (1) refers , or from a Grenfell Tower payment , a child abuse payment , a Windrush payment, a Post Office compensation payment , a vaccine damage payment , an LGBT Financial Recognition Scheme payment or a miscarriage of justice compensation payment, and which is made to or for the benefit of that person’s partner or former partner from whom he is not, or where that person has died was not, estranged or divorced or with whom he has formed a civil partnership that has not been dissolved or, where that person has died, had not been dissolved at the time of that person's death.

• (3) Any payment by or on behalf of the partner or former partner of a person who is suffering or who suffered from haemophilia or who is or was a qualifying person provided that the partner or former partner and that person are not, or if either of them has died were not, estranged or divorced or, where the partner or former partner and that person have formed a civil partnership, the civil partnership has not been dissolved or, if either of them has died, had not been dissolved at the time of the death, which derives from a payment made under or by any of the Trusts to which sub-paragraph (1) refers , or from a Grenfell Tower payment , a child abuse payment , a Windrush payment, a Post Office compensation payment , a vaccine damage payment , an LGBT Financial Recognition Scheme payment or a miscarriage of justice compensation payment, and which is made to or for the benefit of the person who is suffering from haemophilia or who is a qualifying person.

• (4) Any payment by a person who is suffering from haemophilia or who is a qualifying person, which derives from a payment under or by any of the Trusts to which sub-paragraph (1) refers, or from a Grenfell Tower payment , a child abuse payment , a Windrush payment, a Post Office compensation payment , a vaccine damage payment , an LGBT Financial Recognition Scheme payment or a miscarriage of justice compensation payment, where—

• (a) that person has no partner or former partner from whom he is not estranged or divorced or with whom he has formed a civil partnership that has not been dissolved, nor any child who is or had been a member of that person’s household; and

• (b) the payment is made either—

• (i) to that person’s parent or step-parent, or

• (ii) where that person at the date of the payment is a child or a student who has not completed his full-time education and has no parent or step-parent, to any person standing in the place of his parent,

but only for a period from the date of the payment until the end of two years from that person’s death.

• (5) Any payment out of the estate of a person who suffered from haemophilia or who was a qualifying person, which derives from a payment under or by any of the Trusts to which sub-paragraph (1) refers, or from a Grenfell Tower payment , a child abuse payment , a Windrush payment, a Post Office compensation payment , a vaccine damage payment , an LGBT Financial Recognition Scheme payment or a miscarriage of justice compensation payment, where—

• (a) that person at the date of his death (the relevant date) had no partner or former partner from whom he was not estranged or divorced or with whom he had formed a civil partnership that had not been dissolved, nor any child who was or had been a member of his household; and

• (b) the payment is made either—

• (i) to that person’s parent or step-parent, or

• (ii) where that person at the relevant date was a child or a student who had not completed his full-time education and had no parent or step-parent, to any person standing in place his parent,

but only for a period of two years from the relevant date.

• (5A) Any payment out of the estate of a person, which derives from a payment to meet the recommendation of the Infected Blood Inquiry in its interim report published on 29th July 2022 made under or by the Scottish Infected Blood Support Scheme or an approved blood scheme to the estate of the person, where the payment is made to the person’s son, daughter, step-son or step-daughter.

• (5B) Any payment out of the estate of a person, which derives from a payment made under or by the Scottish Infected Blood Support Scheme or an approved blood scheme to the estate of the person as a result of that person having been infected from contaminated blood products.

• (6) In the case of a person to whom or for whose benefit a payment referred to in this paragraph is made, any capital resource which derives from any payment of income or capital made under or deriving from any of the Trusts or from a Grenfell Tower payment , a child abuse payment , a Windrush payment, a Post Office compensation payment , a vaccine damage payment , an LGBT Financial Recognition Scheme payment or a miscarriage of justice compensation payment.

• (7) For the purposes of sub-paragraphs (2) to (6), any reference to the Trusts shall be construed as including a reference to the Fund , the Eileen Trust , MFET Limited , the Skipton Fund , the Caxton Foundation , the Scottish Infected Blood Support Scheme , an approved blood scheme , the London Emergencies Trust, the We Love Manchester Emergency Fund , the National Emergencies Trust , the Victims of Overseas Terrorism Compensation Scheme and the London Bombings Relief Charitable Fund.

• (8) In this paragraph—

“child” means any person who is a qualifying young person within the meaning of regulation 4A or a child as defined in section 40 of the 2012 Act (child benefit);

“course of study” means any course of study, whether or not it is a sandwich course and whether or not a grant is made for undertaking or attending it;

“qualifying course” means a qualifying course as defined for the purposes of Parts II and IV of the Jobseeker’s Allowance Regulations;

“sandwich course” has the meaning given in regulation 5(2) of the Education (Student Support) Regulations 2001, regulation 5(2) of the Education (Student Loans) (Scotland) Regulations 2000 or regulation 5(2) of the Education (Student Support) Regulations (Northern Ireland) 2000, as the case may be;

“student” means a person, other than a person in receipt of a training allowance, who is attending or undertaking—

• (a) a course of study at an educational establishment; or

• (b) a qualifying course;

“training allowance” means an allowance (whether by way of periodical grants or otherwise) payable—

• (a) out of public funds by a Government department or by or on behalf of the Secretary of State, Skills Development Scotland, Scottish Enterprise or Highlands and Islands Enterprise;

• (b) to a person for his maintenance or in respect of a member of his family; and

• (c) for the period, or part of the period, during which he is following a course of training or instruction provided by, or in pursuance of arrangements made with, that department or approved by that department in relation to him or so provided or approved by or on behalf of the Secretary of State, Skills Development Scotland, Scottish Enterprise or Highlands and Islands Enterprise,

but it does not include an allowance paid by any Government department to or in respect of a person by reason of the fact that he is following a course of full-time education, other than under arrangements made under section 2 of the Employment and Training Act 1973 or is training as a teacher ...

16

• (1) An amount equal to the amount of any payment made in consequence of any personal injury to the claimant or, if the claimant has a partner, to the partner.

• (2) Where the whole or part of the payment is administered—

• (a) by the High Court or the County Court under Rule 21.11(1) of the Civil Procedure Rules 1998, or the Court of Protection, or on behalf of a person where the payment can only be disposed of by order or direction of any such court;

• (b) in accordance with an order made under ... Rule 36.14 of the Ordinary Cause Rules 1993 or under Rule 128 of those Rules; or

• (c) in accordance with the terms of a trust established for the benefit of the claimant or his partner,

the whole of the amount so administered.

17

Any amount specified in paragraphs 18 to 20 or 20B—

• (a) in a case where there is an assessed income period, until the end of that period or until the expiration of one year from the date of payment, whichever is the later; or

• (b) in any other case, for a period of one year beginning with the date of receipt.

18

Amounts paid under a policy of insurance in connection with the loss of or damage to the property occupied by the claimant as his home and to his personal possessions.

19

So much of any amounts paid to the claimant or deposited in the claimant’s name for the sole purpose of—

• (a) purchasing premises which the claimant intends to occupy as his home; or

• (b) effecting essential repairs or alterations to the premises occupied or intended to be occupied by the claimant as his home.

20

• (1) Any amount paid—

• (a) by way of arrears of benefit;

• (b) by way of compensation for the late payment of benefit; or

• (c) in lieu of the payment of benefit.

• (d) any payment made by a local authority (including in England a county council), or by the Welsh Ministers, to or on behalf of the claimant or his partner relating to a service which is provided to develop or sustain the capacity of the claimant or his partner to live independently in his accommodation; or

• (e) by way of local welfare provision including arrears and payments in lieu of local welfare provision; or

• (f) in consequence of a reduction of council tax under section 13, 13A or 80 of the Local Government Finance Act 1992 (reduction of liability of; council tax);

• (g) to rectify, or to compensate for, an error made by an officer of the Department for Work and Pensions which was not caused or materially contributed to by any person outside the Department and which prevented or delayed an assessment of the claimant’s entitlement to contributory employment and support allowance.

• (2) In paragraph (1), “benefit” means—

• (a) attendance allowance under section 64 of the Contributions and Benefits Act;

• (b) disability living allowance;

• (ba) personal independence payment;

• (bb) armed forces independence payment;

• (c) income support;

• (d) income-based jobseeker’s allowance;

• (e) housing benefit;

• (f) state pension credit;

• (g) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (h) an increase of a disablement pension under section 104 of the Contributions and Benefits Act (increase where constant attendance needed), and any further increase of such a pension under section 105 of that Act (increase for exceptionally severe disablement);

• (i) any amount included on account of the claimant’s exceptionally severe disablement or need for constant attendance, in a war disablement pension or any other such amount described in regulation 15(5)(ac).

• (j) council tax benefit;

• (k) social fund payments;

• (l) child benefit;

• (m) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (n) child tax credit under the Tax Credits Act 2002.

• (o) income-related employment and support allowance;

• (p) universal credit

• (q) bereavement support payment under section 30 of the Pensions Act 2014.

• (r) early years assistance given in accordance with section 32 of the Social Security (Scotland) Act 2018.

• (s) funeral expense assistance given in accordance with section 34 of the Social Security (Scotland) Act 2018.

• (t) maternity allowance under section 35 of the 1992 Act (state maternity allowance for employed or self-employed earner).

• (u) any Scottish child payment assistance given in accordance with section 79 of the Social Security (Scotland) Act 2018.

• (v) any assistance given in accordance with the Carer’s Assistance (Young Carer Grants) (Scotland) Regulations 2019.

• (w) short-term assistance given in accordance with regulations made under section 36 of the Social Security (Scotland) Act 2018;

• (x) winter heating assistance given in accordance with regulations made under section 30 of the Social Security (Scotland) Act 2018;

• (y) disability assistance given in accordance with regulations made under section 31 of the Social Security (Scotland) Act 2018;

• (z) any amount of carer support payment that is in excess of the amount the claimant would receive if they had an entitlement to carer’s allowance under section 70 of the 1992 Act;

• (z1) any Scottish carer supplement or carer additional person payment given in accordance with the Carer’s Assistance (Carer Support Payment) (Scotland) Regulations 2023

21

Where a capital asset is held in a currency other than sterling, any banking charge or commission payable in converting that capital into sterling.

22

The value of the right to receive income from an occupational pension scheme or a personal pension scheme.

23

The value of a right to receive income from a under a retirement annuity contract.

PART II — Capital disregarded only for the purposes of determining deemed income

24

The value of the right to receive any income under a life interest or from a life rent.

25

The value of the right to receive any rent except where the claimant has a reversionary interest in the property in respect of which rent is due.

26

The value of the right to receive any income under an annuity or the surrender value (if any) of such an annuity.

27

The dwelling together with any garage, garden and outbuildings, normally occupied by the claimant as his home, including any premises not so occupied which it is impracticable or unreasonable to sell separately and in particular, in Scotland, any croft land on which the dwelling is situated; but only one dwelling shall be disregarded under this paragraph.

28

Where property is held under a trust, other than—

• (a) a charitable trust within the meaning of the Charities Act 1993 ; or

• (b) a trust set up with any payment to which paragraph 16 of this Schedule applies,

and under the terms of the trust, payments fall to be made, or the trustees have a discretion to make payments, to or for the benefit of the claimant or the claimant’s partner, or both, that property.

SCHEDULE VI — SUMS DISREGARDED FROM CLAIMANT’S EARNINGS

1

• (1) In a case where a claimant is a lone parent, £20 of earnings.

• (2) In this paragraph—

• (a) “lone parent” means a person who has no partner and who is responsible for, and a member of the same household as, a child;

• (b) “child” means a person who is a qualifying young person within the meaning of regulation 4A or a child as defined in section 40 of the 2012 Act.

2

In a case of earnings from employment to which sub-paragraph (2) applies, £20.

• (2) This paragraph applies to employment—

• (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (aa) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (ab) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (a) a part-time fire-fighter employed by a fire and rescue authority under the Fire and Rescue Services Act 2004 or by the Scottish Fire and Rescue Service established under section 1A of the Fire (Scotland) Act 2005;

• (b) as an auxiliary coastguard in respect of coast rescue activities;

• (c) in the manning or launching of a lifeboat if the employment is part-time.

• (d) a member of any territorial or reserve force prescribed in Part I of Schedule 6 to the Social Security (Contributions) Regulations 2001

3

• (1) If the claimant or one of the partners is a carer, or both partners are carers, £20 of any earnings received from his or their employment.

• (2) In this paragraph the claimant or his partner is a carer if paragraph 4 of Part II of Schedule I (amount applicable for carers) is satisfied in respect of him.

4

• (1) £20 is disregarded if the claimant or, if he has a partner, his partner—

• (a) is in receipt of—

• (i) long-term incapacity benefit under Section 30A of the 1992 Act;

• (ii) severe disablement allowance under section 68 of that Act;

• (iii) attendance allowance;

• (iiia) pension age disability payment;

• (iv) disability living allowance under section 71 to 76 of that Act;

• (iva) Scottish adult disability living allowance;

• (v) any mobility supplement under article 20 of the Naval, Military and Air Forces Etc. (Disablement and Death) Service Pensions Order 2006 (including such a supplement by virtue of any other scheme or order) or under article 25A of the Personal Injuries (Civilians) Scheme 1983; ...

• (vi) the disability element or the severe disability element of working tax credit under Schedule 2 to the Working Tax Credit (Entitlement and Maximum Rate) Regulations 2002; or

• (vii) employment and support allowance; ...

• (viii) personal independence payment; ...

• (viiia) adult disability payment;

• (ix) armed forces independence payment; or

• (b) is or are certified as severely sight impaired or blind by a consultant ophthalmologist.

• (2) Subject to sub-paragraph (4), £20 is disregarded if the claimant or, if he has a partner, his partner has, within a period of 8 weeks ending on the day in respect of which the claimant first satisfies the conditions for entitlement to state pension credit, had an award of income support , income-based jobseeker's allowance or income-related employment and support allowance and—

• (a) £20 was disregarded in respect of earnings taken into account in that award;

• (b) the person whose earnings qualified for the disegard continues in employment after the termination of that award.

• (3) Subject to sub-paragraph (4), £20 is disregarded if the claimant or, if he has a partner, his partner, immediately before attaining pensionable age,—

• (a) had an award of state pension credit; and

• (b) a disregard under paragraph 4(1)(a)(i) or (ii) was taken into account in determining that award.

• (4) The disregard of £20 specified in sub-paragraphs (2) and (3) applies so long as there is no break, other a break which does not exceed 8 weeks,—

• (a) in a case to which sub-paragraph (2) refers, in a person’s entitlement to state pension credit or in employment following the first day in respect of which state pension credit is awarded; or

• (b) in a case where sub-paragraph (3) applies, in the person’s entitlement to state pension credit since attaining pensionable age.

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

5

Except where the claimant or his partner qualifies for a £20 disregard under the preceding provisions of this Schedule—

• (a) £5 shall be disregarded if a claimant who has no partner has earnings;

• (b) £10 shall be disregarded if a claimant who has a partner has earnings.

6

Any earnings, other than any amount referred to in regulation 17(9)(b), derived from any employment which ended before the day in respect of which the claimant first satisfies the conditions for entitlement to state pension credit.

Signed

Signed by authority of the Secretary of State for Work and Pensions.

Ian McCartney — Minister of State, — Department for Work and Pensions — 2002-07-11

Explanatory note

(This note is not part of the Regulations)

Footnotes

Editorial notes