PC10 Pension Credit - Communities and Local Government

About this guideGreat Britain and the United KingdomThis guide is about Pension Credit in Great Britain, that is, England,Scotland and Wales. Northern Ireland has similar arrangements underseparate legislation but the rules may be different. You can getinformation on Pension Credit in Northern Ireland from socialsecurity offices in Northern Ireland.The term United Kingdom is also used in places in this guide.The United Kingdom (UK) covers England, Scotland, Wales andNorthern Ireland. The Channel Islands and the Isle of Man are notpart of the UK.4

ContentsAbout The Pension Service 2About this guide 3Great Britain and the United Kingdom 4Introduction 9How to use this guide 9What is Pension Credit? 9Pension Credit for couples 10What about children? 11Income and capital 11Pension Credit amounts 11Who can get Pension Credit? 11Members of religious orders 12How will Pension Credit help you? 13The guarantee credit 13Your appropriate amount 13The standard amount 14The extra amount for severe disability 14The extra amount for carers 15The extra amount for housing costs 16Who can get help with housing costs? 16Housing costs explained 17High housing costs 21Non-dependants and housing costs 22Special housing situations 23The transitional extra amount 24The savings credit 25How do we work out your income? 26Working out your income for guarantee credit 26What counts as income? 26How we work out your earnings 28Disregards 30Working out your income for savings credit 34Working out your capital 34Notional capital 35Disregarded capital 36How we work out your capital assets 405

ContentsPeople in special situations 67If you have recently come to GB (including returning British Citizens) 67General rules 67If you have come on a temporary basis 68The right to reside and habitual residence tests 68Right to reside 68Habitual residence 69Interviews 70Sponsored immigrants 71People from abroad who can get Pension Credit for a short time 71If you are going away from Great Britain temporarily 72If you leave Great Britain but your partner stays in Great Britain 72If your partner leaves Great Britain but you stay in Great Britain 73If you go into hospital 73Linked periods in hospital 74How going into hospital affects your guarantee credit 74Housing costs while in hospital 76How going into hospital affects your savings credit 76If you live in a care home 77What do we mean by a care home? 77How living in a care home affects your Pension Credit 77More information on moving into a care home 78If you are a prisoner 78What do we mean by prisoner? 78What if you have a partner? 79What if you are on remand? 79What about prisoners on leave? 79What about Intermittent Custody? 79Can you get other help? 80If you are homeless 80If you are unmarried but living together as husband and wife 80Who decides if you are living together? 81If you and your partner are living apart temporarily 82If you are in a polygamous marriage 83What if you are overpaid Pension Credit or other benefits? 84How do overpayments happen? 84What if you disagree? 85How is the money recovered? 857

8ContentsOther social security benefits and further help 86Social security benefits from local authorities 86Housing Benefit and Council Tax Benefit 86The Social Fund 87Cold Weather Payments 87Funeral Payments 88Community Care Grants 88Budgeting Loans and Crisis Loans 88Sure Start Maternity Grants 89Winter Fuel Payments 89Age-related payment 2005 90Interim payments 90Other social security benefits 91Attendance Allowance 91Disability Living Allowance 92Carer’s Allowance 92Incapacity Benefit 93Jobseeker’s Allowance 93Further help 94Help with National Health Service (NHS) charges 94Help with the cost of prison visits 94Help if you or your partner are working 95Help if you care for a child or children 95Further information 96Social security guides and leaflets and where to get them 96Guides 96Other leaflets 96Where to get them 97Advice for people with disabilities 98Detailed information 98The legislation: Acts and Regulations 98Where to get copies of the Acts and Regulations 99The ‘blue volumes’ 99The Decision Maker’s Guide 99The Social Security Commissioners 99The Acts and Regulations referred to in this guide 100Acts 100Regulations 100Index 101

IntroductionHow to use this guideThis guide covers most things you should need to know aboutPension Credit. We hope it will explain this entitlement and answersome key questions:●●●●●What is Pension Credit?Who can get it?How is it worked out?How do you apply for it?What happens after you apply?This guide is long and may look complicated at first, because wehave to cover so many different circumstances.The contents page should help you find your way around and seewhich sections answer your questions. Once you have read the earlysections and feel clear about the basics, you can explore further andfind out about more specific queries. For example:●●●Will you still get Pension Credit if you go abroad?How will moving into a care home affect your Pension Credit?Can you get Pension Credit if you come to Great Britainfrom abroad?If you cannot see what you want on the contents page, there is adetailed index at the back to point you in the right direction.The abbreviations used in the margins are explained at page 100.What is Pension Credit?Pension Credit, introduced on 6 October 2003, is a tax-freeentitlement for people aged 60 and over living in Great Britain. It ispaid for out of taxation: you do not need to have paid NationalInsurance contributions to be eligible. If you are eligible for PensionCredit it is your right to apply for and get it.There are two parts to Pension Credit: the guarantee credit and thesavings credit.9

IntroductionThe guarantee credit provides financial help for people aged 60 orover 1 whose income is below a certain level set by the law. The levelthat applies to you depends on your circumstances and is called yourappropriate amount. 2 How much guarantee credit you get willdepend on other money you have, such as other pensions and yoursavings. Your guarantee credit payment will bridge the gap betweenthe money you already have coming in and your appropriate amount.The savings credit is an extra amount for people aged 65 or overwho have made some provision for their retirement (such as savingsor a second pension) which brings their income above a level set byParliament, called the savings credit starting point. 3 You can get asavings credit on top of a guarantee credit. You may still get asavings credit even if your income is above your appropriate amount.Pension Credit for couplesNote. These rules will change when the Civil Partnership Actcomes into force. When that happens, people of the same sex whohave registered as civil partners will be treated in the same wayas a married couple. Same sex couples who are living together ascivil partners (but who have not registered) will be treated in thesame way as an unmarried couple.We will treat you as a couple if you live with your husband or wifeor if you live with someone as husband and wife. The other person iscalled your partner. The guidelines for deciding whether twounmarried people are treated as a couple are explained on pages 80to 82. In some cases you will be treated as a couple if you aretemporarily separated from your partner (see page 82).If you are treated as a couple you will have a joint appropriateamount and your income and capital will be added together whenwe work out your Pension Credit. If both you and your partner areaged 60 or over, either of you can apply for Pension Credit. Only onepartner can get Pension Credit at any one time. If you cannot agreewhich of you will apply, we can decide for you.1 From 2010, the age from which people can get Pension Credit will change inline with the change to women’s State Pension age.2 This is called the appropriate minimum guarantee in the legislation.3 This is called the savings credit threshold in the legislation.10

IntroductionTwo people of the same sex who are living together are not treatedas a couple. If you are living with someone of the same sex, you willbe treated as a single person.What about children?Pension Credit does not include any money for children. If you have adependent child living with you, please see page 95 for other helpyou may be able to get.Income and capitalIf you or your partner have a pension of any kind, it will normally betaken into account when your Pension Credit is worked out. Certainother types of income are also taken into account but some can beignored, either in full or up to a certain amount. Pages 26 to 34explain these rules and how different types of income are treated.If you (or you and your partner if you are in a couple) have capitalwhich, in total, comes to £6,000 4 or less, we will ignore it. There is noset limit to the amount of capital a person may have, but if it comesto over £6,000 4 it may affect how much Pension Credit you can get.Some types of capital assets, such as your home and your personalpossessions, are usually ignored. Pages 34 to 43 explain these rulesand how capital is worked out.Pension Credit amountsThe amounts given in this guide are those that apply fromApril 2005. Amounts are normally increased in April each yearand a list of current rates is given in leaflet GL23 Social securitybenefit rates.SPCA s1Who can get Pension Credit?There are two main rules about who can get Pension Credit:●●your age; andwhere you live.4 £10,000 if you live in a care home.11

IntroductionYou can only get Pension Credit if you are aged 60 or over. 5 If youare under 60 but your partner is over 60, he or she can apply forPension Credit.You can only get Pension Credit if you live in Great Britain (GB)and you:●●have the right to reside, and are habitually resident, in theUnited Kingdom (UK), the Channel Islands, the Isle of Man or theRepublic of Ireland; orare treated as having the right to reside, and as habituallyresident, in the UK.The habitual residence and right to reside rules are explained onpages 68 to 70.If you have come to GB from abroad you may be able to get PensionCredit, but this depends on your residence or immigration status andon your circumstances (see pages 67 to 71).In some cases, you may be able to keep Pension Credit if you leavethis country temporarily (see pages 72 to 73).SPCR 6 & 7Members of religious ordersMembers of religious orders who have given up their personalpossessions and whose needs are met by the order cannot getPension Credit. In some cases a member whose needs are not fullymet by the order (for example, one living outside the order’spremises to nurse a sick relative, or an elderly or frail member nolonger able to participate fully in the order’s activities) may be ableto get Pension Credit.125 From 2010, the age from which people can get Pension Credit will change inline with the change to women’s State Pension age.

How will Pension Credit help you?Each part of Pension Credit – the guarantee credit and the savingscredit – is worked out separately. Some people will get both; otherscould get either one. Which you get and the amount paid to youdepends on your age and income, as explained on pages 9 to 11.This part of the guide explains how they are made up and how wework out your entitlement. We discuss the guarantee credit belowand the savings credit on page 25.The next part of the guide – ‘How do we work out your income?’ –shows how we calculate your income (including income from capital)and explains how this affects the amount of Pension Credit you get.At the end of the next part we include some examples (pages 45to 47) to show how Pension Credit works in different ways fordifferent people.SPCA s2The guarantee creditThe guarantee credit is the difference between your appropriateamount and your income, which may include a deemed incomefrom your capital (see page 35 for an explanation of deemedincome). This part of the guide explains how your appropriateamount and your income are worked out.Your appropriate amountYour appropriate amount 6 will be made up of:●the standard amount 7 – this is the minimum amount of moneythe Government says you need for your normal expenses andthose of your partner, if you have one.It may also include some or all of the following extra amounts: 8●●extra amount for severe disability;extra amount for carers;6 This is called the appropriate minimum guarantee in the legislation.7 This is called the standard minimum guarantee in the legislation.8 These are called additional amounts in the legislation.13

How will Pension Credit help you?●●extra amount for housing costs – to cover certainaccommodation costs that are not met by Housing Benefit; andtransitional extra amount – for some people who were gettingIncome Support or Jobseeker’s Allowance before they started toget Pension Credit.In total, this sum is called your appropriate amount. If you are notentitled to any of the extra amounts, your appropriate amount willbe the same as the standard amount.The amount of Pension Credit you can get will depend on otherfactors, such as your income and capital.The standard amountSPCA s2(4) & The standard amount is the minimum amount of money the(5) & SPCR 6 Government says you need for your normal day-to-day living,including such household costs as water or fuel charges. There aretwo rates of standard amount:SPCA s2(7) &SPCR 6 & sch Ipart I●●£109.45 a week for single people; and£167.05 a week for couples.Extra amounts can be added to the standard amount. The four extraamounts are described in the next sections.The extra amount for severe disabilityThere are two rates for severe disability. The higher rate is twice thelower rate.If you are single you may get the lower rate (£45.50 a week) if:●●●you live alone; 9 andyou get Attendance Allowance or the middle or highest rate ofthe care component of Disability Living Allowance; andno-one gets Carer’s Allowance for looking after you.149 In certain circumstances you can still get the extra amount for severe disabilityeven if there is someone living with you; for example, if that person is under 18or blind or a boarder.

How will Pension Credit help you?If you have a partner you may get the higher rate (£91.00 a week) if:SPCR 6 &sch I part II●●●you and your partner both get Attendance Allowance or themiddle or highest rate of the care component of Disability LivingAllowance; andno-one else lives with you; 9 andno-one gets Carer’s Allowance for looking after either of you.If you have a partner you may get the lower rate (£45.50 a week) if:●no-one else lives with you; 9 and either– you both get Attendance Allowance or the middle or highestrate of the care component of Disability Living Allowance, andsomeone gets Carer’s Allowance for looking after you or yourpartner (but not both of you); or– one of you gets Attendance Allowance, or the middle orhighest rate of the care component of Disability LivingAllowance, and the other is blind and no-one gets Carer’sAllowance for looking after either of you.The extra amount for carersYou may be able to get this extra amount (£25.80 a week) if:●●you or your partner are getting Carer’s Allowance; oryou or your partner have claimed Carer’s Allowance, and wouldbe getting it if the person who claimed did not already haveanother higher benefit. (We call this ‘underlying entitlement’.)If each partner satisfies either one of these conditions, the extraamount is doubled.The extra amount is paid for eight weeks after Carer’s Allowance(or underlying entitlement to it) stops unless the Carer’s Allowancehas already continued for eight weeks after the person being caredfor has died.9 In certain circumstances you can still get the extra amount for severe disabilityeven if there is someone living with you; for example, if that person is under 18or blind or a boarder.15

How will Pension Credit help you?SPCR sch IIparas 11,12and 13Para 3The extra amount for housing costsThe extra amount for housing costs is for those costs not coveredby either:●●Housing Benefit payments from your local council to help withyour rent or towards the cost of living in a hotel, guest house,hostel or somewhere similar (see pages 86 to 87); orCouncil Tax Benefit payments from your local council to helpwith Council Tax (see pages 86 to 87).The housing costs that can be covered by extra amounts in PensionCredit are:●●●●●●●●●mortgage interest payments;interest on loans for essential repairs and improvements;hire purchase interest payments when you are buying yourhome by hire purchase;ground rents;feu duty (in Scotland);some service charges;co-ownership and Crown tenancy charges;charges for tents and site rents; andrentcharge payments.These costs are explained on the following pages.Other costs such as water charges, some repairs and insurance costs,and cesspit and septic tank emptying are treated as covered by thestandard amount.In Scotland the rent for a croft is covered by the HousingBenefit scheme.Who can get help with housing costs?You will be able to get an extra amount for these housing costs if●you or your partner are liable to pay these costs to live in yourhome; or16

How will Pension Credit help you?●someone else is normally liable to pay these costs (usually aformer partner) but because they are no longer paying themyou or your partner now have to.Any non-dependants living in your home will be expected tocontribute towards some of these costs themselves, so your benefitmay be affected if you have non-dependants (see page 22).You can normally only get these payments for one home, but thereare some exceptions.SPCR sch IIpara 11If you are temporarily absent from your usual home you may still beable to get an extra amount for housing costs (see page 23).Housing costs explainedMortgage interestIf you have a mortgage or loan taken out to buy your home, theextra amount will include help with the interest payments. PensionCredit will not help with repayments of capital or with the premiumson any endowment or pension policy linked to the loan.Pension Credit can only help with the interest on:●●●loans for ‘acquiring an interest in a home’;loans for financing essential repairs or improvements; andloans taken out to repay loans that were used for either ofthe above.Where a mortgage is taken out partly for another purpose, suchas buying a car or as a business loan, the extra amount will includeinterest only on the part of the loan used to buy or repairyour home.A replacement mortgage will only be met to the same level as theoriginal mortgage. For example, if you used the new mortgage orloan partly to clear debts or to replace another loan which was notpreviously met, the extra amount would not include interest on thatpart of the new mortgage or loan. See leaflet INF8(PC) Home owners– help with housing costs for more information.17

How will Pension Credit help you?RestrictionsSPCR sch IIpara 8Para 5If the outstanding capital on your loan, or loans, is more than£100,000 then only the interest on £100,000 can be included in theextra amount. 10 This limit does not apply if the loan was taken outand used, in full or part, to adapt your home for the special needs ofa disabled person. 11The help you can get with interest payments may be restricted ifyou take out a new loan while you are getting Pension Credit (forexample, if you move home). Generally you will get no more helpwith housing costs than you were getting before you took out thenew loan.If you are getting Pension Credit and Housing Benefit and youtake out a new loan to buy a home (either the property you wereformerly renting or a different property), the amount of help you canget with your new housing costs will be no more than the amount ofHousing Benefit you were getting when you were renting. However,the amount you get could be increased later (for example, if interestrates go up).These rules may also affect you if you apply for Pension Credit afteryou take out the new loan, but you say you want Pension Credit tostart from a date before you took out the loan.These rules may not affect you if the loan was for essential repairsand improvements to your new home or if you moved:●●to meet the special needs of a disabled person; orto provide separate sleeping accommodation for children ofdifferent sexes who are aged ten or over.1810 A special rule applies if you had been getting interest on a higher loan undera transitional arrangement in Income Support or income-based Jobseeker’sAllowance immediately before you started to get Pension Credit. Interest onthe higher loan will continue until the next annual check of your housing costs.From then, the normal rules described in this part of the guide will apply toyour loan, but you may get a transitional extra amount (see page 24).11 For the purposes of this rule a disabled person is someone who is over 75 orblind or who gets Attendance Allowance, Disability Living Allowance, long-termIncapacity Benefit or certain other disability-related payments.

How will Pension Credit help you?The standard interest rateSPCR sch IIpara 9Para 12We use a standard interest rate to calculate the amount ofinterest that can be included in the extra amount for housing costs.The standard interest rate is 1.58% above Bank of England base rate.Interest on loans for essential repairs and improvementsThe extra amount for housing costs can include help with theinterest on loans that were taken out and used for the followingrepairs and improvements, when the work was needed to make yourhome fit for human habitation:●●●●●●●●●●●●buying and plumbing in a fixed bath, shower, wash basin, sinkor lavatory, including providing hot water not connected to acentral heating system;repairs to an existing heating system;damp-proofing;providing ventilation and natural lighting;providing drainage facilities;providing facilities to prepare and cook food;providing insulation;providing electric lighting and sockets;providing storage for fuel or refuse;repairs to unsafe structural defects;adapting your home for the special needs of a disabled person;andproviding separate sleeping accommodation for children ofdifferent sexes aged 10 or over for whom you are getting ChildBenefit.19

How will Pension Credit help you?Pension Credit cannot help with home loans not covered by this list.The amount of help will be worked out in the same way as help withmortgage interest.Hire purchase interestIf you are buying your home by hire purchase, the extra amount willinclude help with the interest payments. This will be worked out inthe same way as with mortgage interest.Ground rentsSPCR sch IIpara 13Para 13Para 13The extra amount may include ground rent or other rent where thepayment is for a long tenancy. But we will make deductions for fueland any other service charges included in the payment that cannotbe included in the extra amount for housing costs.Service chargesThe extra amount may include service charges that cover suchessentials as management fees, insurance, minor repairs and thecleaning of communal areas. However, the following types of chargecannot be included:●●●charges met by your local authority under the Supporting Peoplescheme;charges for day-to-day living expenses such as meals andlaundry, heating, lighting or hot water; andcharges to cover major repairs and improvements.If you take out a loan to meet the cost of essential repairs andimprovements, the extra amount can also include the interest onthat loan.Co-ownership and Crown tenancy chargesIf you are a co-owner and pay a charge to cover rent, mortgage,repairs and other costs to your Co-ownership Housing Society, orif you are a Crown tenant who cannot get Housing Benefit to helpwith your rent payments, the extra amount will include thesecharges. But we will make deductions for any fuel or other servicecharges included in the main charge that cannot be included in theextra amount for housing costs.20

How will Pension Credit help you?Charges for tents and site rentsSPCR sch IIpara 13Para 13Para 10If you live in a tent, the extra amount will include an amountto cover the charges on the tent and the site on which it stands.But we will make deductions for any service charges, as in theparagraph above.RentchargeRentcharges are paid by some freeholders under the terms on whichthey own their own freehold. They can be included in the extraamount if they are covered in section 1 of the Rentcharges Act 1977.High housing costsWe may decide your housing costs are too high if:●●●your home is larger than is needed for the people living in it; oryour home is located in an unnecessarily expensiveneighbourhood; oryour housing costs, such as mortgage interest, are higher thanthe cost of other suitable accommodation in the neighbourhood.When we decide whether your housing costs are too high, we look atthe following factors:●●●suitable accommodation and housing costs in the area;the circumstances of everyone living in your home, includingtheir ages and state of health, and the effect of a change ofhome on the education of anyone under 19; andwhether you were able to meet the costs of your home whenyou moved in. If so, your costs cannot be ruled too high for thefirst six months after you start getting Pension Credit, andpossibly not for the next six months.If, on this basis, we decide it is not reasonable for you to seekcheaper accommodation, you will not be affected by these rules. Butif your housing costs are considered too high, the amount of moneyyou get could be reduced.21

How will Pension Credit help you?SPCR sch IIparas 1(4)& 14Non-dependants and housing costsWe may reduce your extra amount for housing costs if other people,called non-dependants, normally live with you. However, even if youhave other people living with you, we will not reduce your extraamount for housing costs if you or your partner are:●●●blind; orgetting Attendance Allowance; orgetting the care component of Disability Living Allowance.No deduction will be made for any of the following people whoshare your home:●●your partner;if you are polygamously married (see page 83), any partner;● any person aged under 18;●●●●●●●●●●any school-age children for whom you get Child Benefit;a person with whom you jointly rent or own your own home;a tenant, subtenant, or lodger;a carer engaged by a charitable or voluntary body who stayswith you to look after you;a person getting a Youth Training allowance;a full-time student (however, a deduction may be made for anytime that the student is in full-time work during the summervacation unless you, or your partner, are aged 65 or over);a person whose home is normally elsewhere;a person who is getting Pension Credit;a person under 25 who is getting Income Support orincome-based Jobseeker’s Allowance;a person who normally shares your home but is in prison; and● a person who normally shares your home but who has been inhospital for 52 weeks or more.In other cases we will make a non-dependant deduction.Theamount of the deduction will depend on the number and age of thenon-dependants living with you and, in some cases, on their income.22

How will Pension Credit help you?SPCR sch IIpara 4Para 4Special housing situationsAbsence from your homeProvided you intend to return to your home, and have not let it tosomeone else, the extra amount for housing costs can still be paid ifyou are temporarily away from your home (for no more than 13weeks) and are still responsible for these costs.If you know from the start that you will be away for longer than13 weeks, then the extra amount will be stopped immediately.In some special situations the extra amount for housing costs maycontinue if you are away temporarily for up to 52 weeks (for example,if you are in hospital or in a care home on a temporary basis).Rent in advanceThe Pension Credit scheme cannot help if you have to pay rent inadvance to get a tenancy, but you may be able to get some helpfrom the Social Fund. There is more information about the SocialFund on pages 87 to 90.More than one homeNormally, an extra amount can only include housing costs for onehome. But you may be able to get help with another home if youhave costs for two because:●●●you are waiting to move into a new home or have moved into anew home and are unavoidably responsible for housing costs onyour old and new home (you can only get money on both for upto four weeks); oryou have had to leave your home because of domesticviolence; orone partner of a couple has to live away from home to studyor train.23

How will Pension Credit help you?Homes and businessesSPCR sch IIpara 6SPCR 6 &sch I part IIIIf your home includes premises rated as a business, we can help withhousing costs only for the domestic part. For example, shop premiseswith a flat above might be rated as a business, in which case you willonly get help from Pension Credit for the flat.The transitional extra amountIf you were getting Income Support 12 or income-based Jobseeker’sAllowance immediately before you started to get Pension Credit,and were getting some form of transitional protection because of aprevious change in the rules, your appropriate amount may include atransitional extra amount. This is to make sure that you do not losemoney as a result of the change.The transitional extra amount is the difference (if any) between:●●●and●●the final Income Support or income-based Jobseeker’s Allowanceapplicable amount (the amount before your income wastaken off); lessany amounts which were included in your applicable amount forchildren or, if you were in a care home, Residential Allowance;plusany transitional additions;the standard amount; plusany extra amounts for severe disability, carers or housing costs.The transitional extra amount will go down when other parts ofyour appropriate amount increase or if you start to get anotherextra amount.12 Before 6 October 2003, Income Support could be paid to people over 60 andwas also known as MIG (Minimum Income Guarantee).24

How will Pension Credit help you?There is one exception to this rule:●If the increase happens because you (or your partner) come outof hospital, the transitional extra amount will not go down.If you stop getting Pension Credit for less than eight weeks, and hadbeen getting a transitional extra amount immediately before, it maybe included in your appropriate amount when you re-apply.SPCA s3 &SPCR 7The savings creditThe savings credit is extra money for people aged 65 or over (orwhose partner is aged 65 or over) whose qualifying income is abovethe savings credit starting point. (Qualifying income is explained inthe next part of the guide. See page 34.)The savings credit starting point for a single person is £82.05.For a couple it is £131.20.Prisoners and members of religious orders who are fully maintainedby their order are not entitled to a savings credit.25

How do we work out your income?26SPCA s15 &SPCR 15Working out your income forguarantee creditThe Pension Credit calculation uses the income you already have towork out your guarantee credit. This section explains what counts asincome and how it is calculated.We also work out your capital, which includes investments, somelump-sum payments and the value of any property and land thatyou own but do not live on.Capital – and how we work out the income you get from it – iscovered in detail on pages 34 to 43.What counts as income?For working out Pension Credit, your income means the money you(and your partner) have coming in from:●●●●●●●●●●●●State Pension;an occupational or private pension scheme;a retirement annuity contract;Civil List pensions;annuities;most social security benefits, including industrial injury benefits(see page 30 for a list of the benefits that do not count asincome) and similar foreign benefits;War Disablement, War Widow’s or War Widower’s Pensions (orforeign equivalents) and Overage Infirm Allowances;Guaranteed Income Payments (and payments to adults forwhom a Child Payment had been paid) from the Armed ForcesCompensation Scheme;pensions paid by the German or Austrian government to victimsof Nazi persecution;maintenance from a spouse or former spouse;payments under the Workmen’s Compensation Scheme;earnings;

How do we work out your income?SPCR 24●●●●●Working Tax Credit;payments from lodgers, boarders or people renting part of yourhome (subtenants);regular payments from an equity release scheme;royalties or public lending rights payments; andregular payments from trust funds.If you have capital of over £6,000 (£10,000 if you live permanentlyin a care home), your income may also include a deemed incomefrom this capital. (Deemed income is explained in more detail onpage 35.)If you have money coming in which is not on this list – for example,regular payments from a charity or relative, payments from yourlocal authority social services for personal care, cash in lieu ofconcessionary coal – it will not be treated as income and so will notaffect your Pension Credit entitlement. Payments which are madeinstead of a particular type of income – such as compensation forthe non-payment of a particular benefit – are normally treated inthe same way as payments of that income would be.Money you get on behalf of someone else (other than your partner)is not treated as your income.If a type of income listed above is paid to a third party (such as ashop or supplier or a relative) on your behalf, it is treated as yourincome. (This does not apply if you are bankrupt and payments fromyour occupational or personal pension have to be paid to yourcreditors or trustee in bankruptcy and you and your partner have noother income.)Some types of income listed above are either completely ignoredwhen we calculate your Pension Credit or partially ignored (these arecalled the disregards). The different types of disregards are explainedon pages 30 to 34. The rest of your income is counted in full whenwe work out your Pension Credit. The treatment of income isexplained below.27

How do we work out your income?Income which is not paid weeklySPCR 17Income is worked out on a weekly basis. Income that is paid to youin another way (such as a monthly pension) is broken down intoequal weekly amounts. That amount (less any disregards) will beused when we calculate your weekly Pension Credit. If the incomewas for an unspecified period, or was a payment of royalties or PublicLending Rights, it will be treated as being for one year and thendivided into weekly amounts for our calculation.If you have a partnerSPCA s5Your income and your partner’s income are normally added togetherfor Pension Credit purposes (see page 82 for situations wherepartners can be treated separately).Notional incomeSPCR 18Notional income is income you do not actually get, but are treatedas getting. We may treat you as having notional income in thefollowing situations:●●●●you have not claimed State Pension but would be entitled to itif you claimed it;you have not taken income available to you under a personalpension plan or a retirement annuity contract;you have deferred payments from an occupational pension;you have given up your rights to an income (for example,income from a trust fund) because you wanted to get PensionCredit, or get more Pension Credit.The notional income will be treated in the same way as income youactually get.How we work out your earningsIf you work for an employerSPCR 17AIf you or your partner are working for an employer, your grossearnings are all your wages and other payments from thatemployment, including bonuses, commissions, fees, retainers,sick pay and attendance allowances.28

How do we work out your income?Payments in kind (for example, cigarettes and groceries) do notcount as earnings, but non-cash vouchers do count if NationalInsurance (NI) contributions have been paid on their value. Forexample, if your partner has to pay NI contributions and theiremployer gives them supermarket or chainstore gift tokens as partof their pay, the value of those vouchers would count as part of theirgross earnings for both NI and Pension Credit.We deduct any tax, NI contributions and half of any contributionstowards an occupational or personal pension scheme from grossearnings and what is left counts as earnings in our calculation.If you are self-employedSPCR 17B &CER 11–14SPCR 17B &CER 13If you or your partner are self-employed, your earnings are the netprofit from that employment. This profit is normally calculated overthe previous year, but another period may be used if this will bemore accurate.The following expenses are deducted from gross income to calculatenet profit:●●necessary expenses for the business, such as money spent onrepairing equipment, interest on a business loan and excess VATpaid while you are getting Pension Credit (this does not covercapital expenditure, depreciation, money for business expansionand business entertainment);repayment of capital on loans for replacement and repair ofbusiness equipment, but not on any other loans;● Income Tax and National Insurance (Class 2 and Class 4)contributions, if payable (these are calculated on a notionalbasis); and●half of all premiums paid for a personal pension.We can be flexible in how we use these rules to get the most accuratefigure for your income.If you are a childminderIf you are working as a childminder in your own home, two-thirds ofyour gross income is treated as expenses and is ignored completely.The other third counts as earnings.29

How do we work out your income?DisregardsDisregards are the part of your income that we do not count whenwe work out your Pension Credit.Just as your income is calculated on a weekly basis, disregards alsoapply weekly.Social Security benefitsSPCR 15(1)We ignore the following social security benefits when we work outyour Pension Credit:●●●●●●●●●●●●●Housing Benefit.Council Tax Benefit.Attendance Allowance.Disability Living Allowance.Christmas Bonus.Bereavement Payment.The following additions to industrial injury benefits:– Constant Attendance Allowance;– Mobility Supplement; and– Exceptionally Severe Disablement Allowance.Any Social Fund payment (including Winter Fuel and ColdWeather Payments).Child Benefit.Guardian’s Allowance.Child’s Special Allowance.Dependency increases for anyone other than you or yourpartner.Foreign benefits similar to those listed above.Other income which is fully disregardedSPCR sch IV We ignore other types of income listed below when we work outyour Pension Credit.Paras 4, 5 & 6 ● War Widow’s Supplementary Pension.Paras 2, 3 & 12 ● The following additions to War Disablement Pensions:– Constant Attendance Allowance;– Mobility Supplement;30

How do we work out your income?SPCR sch IVparas 13 & 14Para 11Para 1 & 7– Severe Disablement Occupational Allowance; and– dependency increases for anyone other than you or yourpartner.Any income other than social security or war pensions youreceive because you suffered a personal injury, or your partnerreceives because they suffered a personal injury. This includes:●●●payments from annuities set up under a structuredsettlement;payments from annuities bought from a lump-sumcompensation payment; andmoney from trust funds which were set up with alump-sum compensation payment.Any payments you receive from a trust fund which was not set upwith a lump-sum compensation payment are not counted as long asthey are made entirely at the trustees’ discretion and are for itemsother than food, ordinary clothing or footwear, household fuel orhousing costs.There is no limit to the amount that can be fully disregarded.Income which is partially disregardedThere are several types of income which are partially disregarded.This means we ignore part of the income when we work out yourPension Credit:●The first £10 of your total (weekly) income from any of thefollowing:– War Widow’s or Widower’s Pension;– War Disablement Pension;– Guaranteed Income Payments from the Armed ForcesCompensation Scheme;– foreign payments equivalent to the three types of paymentslisted above;– pensions paid by the German or Austrian government tovictims of Nazi persecution;– Widowed Parent’s Allowance; or– Widowed Mother’s Allowance.31

How do we work out your income?SPCR sch IV ● The first £20 of any income you receive from a trust fund ifPara 11payments are made entirely at the trustees’ discretion andcannot be disregarded in full (see above).Para 11Paras 8 & 9Para 10If any of the types of income listed apply to you, we will disregard(or not count) a maximum of £20 a week. For example, if the first £10of your War Pension is disregarded and you also have income from atrust (which cannot be disregarded in full), no more than £10 of themoney from the trust can be disregarded.Income from letting part of your home and taking in lodgersIf you let part of your home to a tenant 13 , the first £20 a weekof the rent they pay you is ignored. If you have separate tenancyagreements with more than one tenant, the first £20 a week of therent you get from each tenancy is ignored.If you receive money from a lodger 14 (or boarder) who lives in yourhome, the first £20 a week plus half of the rest you get from themis ignored. If you have more than one lodger, this part of the amountyou get from each lodger is ignored.The amount that is ignored is on top of any disregards from othertypes of income.If anyone else lives in your home and pays you for their living costsand accommodation (for example, an adult son), these payments willnot count as income. However, there may be a deduction from anyextra amount you get for housing costs. (See page 22.)Home income plansIf you have released equity from your home to buy an annuity, andare paying interest on the loan you took out to do this, part of theannuity income (equal to the amount of interest you are paying)may be ignored.3213 A tenant is someone who pays for the right to use at least one room in yourhome, but not for meals.14 A lodger is someone who pays you a charge for their accommodation and atleast some cooked or prepared meals.

How do we work out your income?SPCR sch VIPara 5Earnings disregardsThe amount of earnings that is disregarded will depend on whetheryou are receiving certain benefits, are blind, a carer or a lone parent,and whether you work part time in certain special occupations.The amount of your earnings that is ignored is on top of anydisregards on other types of income.Normal disregardsIn most cases the first £5 of your earnings from work is ignored inthe Pension Credit calculation. For couples, the first £10 is ignored.Higher disregardsFor some people there is a higher earnings disregard of £20. If youhave a partner, the first £20 of your joint earnings is ignored.The £20 disregard applies in the following circumstances:Para 1 ● You are a lone parent (if you do not have a partner and areresponsible for a child who lives with you);Para 4 ● You or your partner get any of the following:●●●●●Attendance Allowance;Disability Living Allowance;long-term Incapacity Benefit;Severe Disablement Allowance;Mobility Supplement; or● the disability or severe disability element of WorkingTax Credit;Para 4 ● You or your partner are registered as blind;Para 3 ● You get the extra amount for caring responsibilities because you(or your partner) are a carer;Para 2 ● You or your partner have earnings from one of the followingspecial occupations:●●a part-time fire-fighter;a member of the Territorial Army or the reserve forces;33

How do we work out your income?SPCR sch VIPara 4Para 4APara 6SPCR 934●●a lifeboat crew member or someone manning or launchinga lifeboat; oran auxiliary coastguard involved in coast rescue duties.There are special rules for people who were getting £20 of their (ortheir partner’s) earnings disregarded either when they were gettingIncome Support or income-based Jobseeker’s Allowance in the eightweeks before they started to get Pension Credit or when theyreached State Pension age. The £20 disregard will continue to applyas long as there are no gaps of more than 8 weeks in either theemployment or their entitlement to Pension Credit.The maximum amount that we can ignore from a single person’searnings is £20.The maximum amount of earnings that we can ignore for a couple,if any of these rules apply to one or both of them, is also £20.Earnings from before your Pension Credit applicationIf you stopped work before your Pension Credit started, anypayments you get for work you did before (except royalty payments)will be ignored completely. If you were self-employed, this appliesif you gave up self-employment before you started to getPension Credit.Working out your income for savings creditQualifying income for the savings credit is worked out in the sameway as income for the guarantee credit (see pages 26 to 34) butdoes not include:●●●●●●Working Tax Credit;Incapacity Benefit;Jobseeker’s Allowance;Severe Disablement Allowance;Maternity Allowance; ormaintenance payments from a spouse or former spouse.Working out your capitalYour capital includes money held in whatever form – cash, bank andbuilding society accounts, Premium Bonds, investment trusts, shares

How do we work out your income?etc. – and from whatever source – savings, inheritance, redundancypayments, lump-sum grants etc. It also includes the net market valueof land and property.SPCA s5SPCR 21 & 22If you have a partner, the capital held by both of you will usually beadded together and treated in the same way as the capital held by asingle person. See page 82 for situations where partners can betreated separately.The value of some types of capital is disregarded (see pages 36to 40).There is no fixed limit to the amount of capital people can have, butif the net value of your capital is more than £6,000 (or £10,000 ifyou live permanently in a care home) you will be treated as havingan income from it. This is called deemed income and will affect yourPension Credit calculation (see page 44). The actual interest ordividends you get are not used to work out your income.Notional capitalNotional capital is capital you do not actually have but are treatedas having.We may treat you as having notional capital if you have got rid ofcapital to get Pension Credit or to get more Pension Credit – forexample, if you knew you had too much money to get Pension Creditso gave some to your grandchild.But this will not apply if you have used capital to repay or reduce adebt (for example, a mortgage) or you have used it to buy somethingwhich was reasonable in your circumstances (for example, thedecision maker may decide that replacing a car is reasonable, butbuying a Rolls-Royce is probably not).If you are treated as having notional capital, the amount you aretreated as having will be reduced over time. If you are getting somePension Credit, the reduction will be equal to the amount ofadditional Pension Credit you would have been entitled to had you35

How do we work out your income?not been treated as having this capital. If you are not entitled to anyPension Credit the reduction will be equal to the amount of PensionCredit and any additional Housing Benefit and Council Tax Benefityou would have been entitled to had you not been treated as havingthis capital. If you re-apply more than six months after being refusedPension Credit, the weekly amount of the reduction in your capitalwill be re-calculated.SPCR sch VDisregarded capitalWhen we calculate your capital we ignore certain types of capitalassets and lump-sum payments from certain sources, either for acertain time or for good. These types of capital are explained below.Personal possessionsPara 8Personal possessions, for example, a car, furniture and fittings inyour home, and family belongings, are ignored when your capitalis calculated.Houses and landIf you own the home you live inPara 1AThe value of your home (that is your property, garage andoutbuildings) is ignored unless any part of the property couldbe reasonably sold off separately.But if you have money because you have raised a loan on theproperty, or have taken equity release, this money is not ignored.And if you sublet part of your property, or have lodgers or boarders,the money you get is treated as income (see page 26).If you (or your partner) own a property but do not live in itParas 1 & 4The value of the property can be ignored if it is occupied by:●●your or your partner’s close relative, such as your son or yourpartner’s sister, if that person is aged 60 or more or is sick ordisabled; ora partner or former partner from whom you are not estranged(for example, if you are in a care home and your husband or wifeis living in the property).36

SPCR sch Vpara 1How do we work out your income?We will ignore the value of any property you have got recently andwhich you intend to move into within 26 weeks of getting it. Wemay ignore it for longer than this if something serious has happenedthat means you cannot move into the property when you planned.We may also ignore the value of the property if:Para 7 ● you are trying to sell it – in which case we may ignore it for26 weeks, or even longer if you are really finding it difficultto sell;Para 3 ● you are carrying out essential repairs or alterations so youcan live in it – in which case we may ignore it for 26 weeks,or possibly longer if you are really finding it difficult to finishthe work;Para 2 ● you are taking legal action so you can live in it – in which casewe may ignore it for 26 weeks, or longer if the legal actioncarries on and you still cannot live in the property; orPara 6 ● you have left home after the breakdown of a relationship –in which case we will ignore the value of the property that wasyour home if your former partner still lives in it and is a loneparent. In other cases we will ignore its value for 26 weeks afteryou have left the property.Paras 18 & 19Earmarked capitalCertain types of capital that you need for a specific purpose may beignored as follows:●●●capital from the sale of your property – if it is earmarked tobuy another home, we will ignore it for up to a year;money from an insurance policy – if it is for damage to or lossof a property or personal possessions and is to be used for theirrepair or replacement, we will ignore it for up to a year; orcapital, such as a loan – if it is to buy a home or pay for essentialrepairs or improvements, we will ignore it for up to a year.37

How do we work out your income?Life insurance policiesSPCR sch Vpara 10Para 11Para 12Para 14Para 16Paras 13 & 15We ignore the surrender value of life insurance policies. But if youchoose to cash in a policy early, or it matures, the money you getis counted as capital.Funeral plansWe ignore the value of any pre-paid funeral plan for you or yourpartner, even if you could ask for the money to be refunded. But ifyou choose to cash in the plan, the money you receive is countedas capital.Far Eastern Prisoners of War PaymentWe ignore the special £10,000 payments made to former prisonersof war and internees of the Japanese, or their widows or widowers. Ifyou or your partner got this payment we will ignore £10,000 of yourcapital. If you and your partner both got this payment we ignore thefull £20,000.Second World War Compensation PaymentsIf you or your partner received a lump-sum payment because youwere a slave or forced labourer, or lost property, during the SecondWorld War we will ignore the same amount of your capital. So if youreceived a £3,000 payment we will ignore £3,000 of your capital.Lump-sum personal injury (including vaccine damage) paymentsIf you or your partner received a lump-sum payment, which is notheld in a trust fund, because of a personal injury to one of you, wewill ignore an equal amount of your capital. So if you received£10,000 Criminal Injuries Compensation, we will ignore £10,000of your total capital.If you used the payment to set up a trust fund, we will ignore allcapital in the trust – which may be more or less than the originalpayment – and any income you get from it.Lump-sum payments from certain special trustsThere are a number of special trusts set up by Government to helppeople who contracted HIV or Hepatitis C from blood products orwho suffered from variant Creutzfeldt-Jakob disease (CJD). (For38

How do we work out your income?example, the Macfarlane Trusts and the Eileen Trust.) If you or yourpartner received a payment from one of these special trusts it maybe ignored, either indefinitely or, in some cases, for two years fromthe date of the payment or the death of the sufferer.If you or your partner received such a payment, you may have beengiven details of the special rules at the time. (The Pension Creditrules are the same as the rules which apply to Income Support.)Arrears of benefits etc.SPCR sch V Arrears of, or compensation for the late payment of, the followingparas 20 & 20A benefits are normally ignored for a year from when you get them:●●●●●●●●●●●Attendance Allowance;Disability Living Allowance;Housing Benefit;Council Tax Benefit;Income Support;income-based Jobseeker’s Allowance;Pension Credit;War Widow’s Supplementary Pension;Child Tax Credit;Child Benefit; andSocial Fund payments (includes Cold Weather Payments andWinter Fuel Payments).But please note that we have special rules if the amount of arrearsor compensation is £5,000 or more, and is to put right an earlierofficial error. The rules are as follows:●●If you received the payment less than a year before you startedto get Pension Credit, it will be ignored for a year from the dateyou received it.If you receive the payment while you are getting Pension Credit,it will be ignored for as long as you continue to get PensionCredit.39

How do we work out your income?●If you were getting Income Support or Jobseeker’s Allowanceimmediately before you started to get Pension Credit, and thepayment was ignored in that benefit, it will be ignored for aslong as you continue to get Pension Credit.Payments from local authorities under the SupportingPeople schemeSPCR sch Vpara 20Para 28Paras 9 & 9ASPCR 19 to 2140Any lump-sum payments made under the Supporting People schemewill be ignored for a year from when you get them.Money in a trustWe ignore any capital held for you in a trust fund, but any incomeyou get from it may affect your Pension Credit. There are specialrules for payments made at the trustees’ discretion (see pages 31 to32) or if the money in trust came from a personal injury payment(see page 38).Business assetsIf you are the owner (or one of the owners) of a business and you dosome work in that business, we will ignore the value of your assets inthe business.We will also ignore the value of your assets in the business if you areunable to work in your business because you are ill or disabled, butplan to return as soon as you can.If you no longer work in the business, we will ignore the value ofyour assets in the business for as long as it should take you to sell,or realise, those assets.How we work out your capital assetsIf the value of property or other assets cannot be ignored, we willvalue them at current market value, less any outstanding mortgageor debts secured on them.If you hold property or other assets outside the UK, and if there isno law to stop you transferring money from there to this country,the asset will be valued at its sale (or surrender) value in the countryof origin. If you are not allowed to transfer money, its value will bethe sale value in the UK. In both cases, any outstanding debts ormortgages secured on the assets will be deducted.

How do we work out your income?If there would be costs involved in selling the asset (for example,estate agents’ or stockbrokers’ fees), we will ignore 10% of itscurrent market value to cover these costs.SPCR sch Vpara 21SPCR 23SPCR 15(6)If the asset is held in a currency other than sterling, we will ignoreany banking charge or commission you would have to pay to convertthe currency to sterling.We value National Savings Certificates of the current issue atpurchase price. Certificates of earlier issues are valued as if they werepurchased on the last day of that issue.Jointly owned propertyIf you own property jointly with someone else (other than yourpartner), and its value cannot be ignored, we will value your shareof the property. For example, if you have a half-share in a holidaycottage, and your brother and sister-in-law own the other half, wewill value your half-share. (If the three of you owned it as ‘jointtenants’ – or ‘joint owners’ in Scotland – (so ownership is not legallysplit into shares), we would value your portion (one-third inthe example)).These valuations are done by specialist valuers. It is not just a case ofdividing the total value of the property, because the value of, say, ahalf-share in a house is likely to be less than half the value of thewhole house.Deemed income from capitalWe ignore the first £6,000 of capital (£10,000 if you livepermanently in a care home).If your capital is over £6,000 (or £10,000 if you live in a care home),you are deemed to have an income of £1 a week for each £500 orpart of £500 over that amount.For example, if you and your partner do not live in a care home andhave capital of over £6,000 but no more than £6,500, you will bedeemed to have an income of £1 a week. If you have capital of over£6,500 but no more than £7,000, the deemed income would be £2,and so on. See Table A on page 42.Table B on page 43 shows the level of deemed income for peoplewho live in care homes.41

How do we work out your income?Table A: Deemed income from capital for people not livingin a care home42Capital held by youDeemed incomeand your partner(weekly)£ £6,000.01 – 6,500.00 16,500.01 – 7,000.00 27,000.01 – 7,500.00 37,500.01 – 8,000.00 48,000.01 – 8,500.00 58,500.01 – 9,000.00 69,000.01 – 9,500.00 79,500.01 – 10,000.00 810,000.01 – 10,500.00 910,500.01 – 11,000.00 1011,000.01 – 11,500.00 1111,500.01 – 12,000.00 1212,000.01 – 12,500.00 1312,500.01 – 13,000.00 1413,000.01 – 13,500.00 1513,500.01 – 14,000.00 1614,000.01 – 14,500.00 1714,500.01 – 15,000.00 1815,000.01 – 15,500.00 1915,500.01 – 16,000.00 2016,000.01 – 16,500.00 2116,500.01 – 17,000.00 2217,000.01 – 17,500.00 2317,500.01 – 18,000.00 2418,000.01 – 18,500.00 2518,500.01 – 19,000.00 2619,000.01 – 19,500.00 2719,500.01 – 20,000.00 2820,000.01 – 20,500.00 2920,500.01 – 21,000.00 30

How do we work out your income?Table B: Deemed income from capital for people livingpermanently in a care homeCapital held by youDeemed incomeand your partner(weekly)£ £10,000.01 – 10,500.00 110,500.01 – 11,000.00 211,000.01 – 11,500.00 311,500.01 – 12,000.00 412,000.01 – 12,500.00 512,500.01 – 13,000.00 613,000.01 – 13,500.00 713,500.01 – 14,000.00 814,000.01 – 14,500.00 914,500.01 – 15,000.00 1015,000.01 – 15,500.00 1115,500.01 – 16,000.00 1216,000.01 – 16,500.00 1316,500.01 – 17,000.00 1417,000.01 – 17,500.00 1517,500.01 – 18,000.00 1618,000.01 – 18,500.00 1718,500.01 – 19,000.00 1819,000.01 – 19,500.00 1919,500.01 – 20,000.00 2020,000.01 – 20,500.00 2120,500.01 – 21,000.00 2221,000.01 – 21,500.00 2321,500.01 – 22,000.00 2422,000.01 – 22,500.00 2522,500.01 – 23,000.00 2623,000.01 – 23,500.00 2723,500.01 – 24,000.00 2824,000.01 – 24,500.00 2924,500.01 – 25,000.00 3043

How do we work outPension Credit?SPCA s2(2)The guarantee credit calculationYour net income (that is, your income after any disregards andincluding deemed income from capital) is compared with yourappropriate amount.If your net income is less than your appropriate amount, you will beentitled to a guarantee credit to make up the difference. If you (oryour partner) are 65 or over you may also be entitled to a savingscredit (see below).If your net income is the same as or more than your appropriateamount, you will not be entitled to a guarantee credit, but if you (oryour partner) are 65 or over you may be entitled to a savings credit.The savings credit calculationSPCA s3(3) & If your qualifying income (see page 34) is the same as or below the(4); SPCR 7 savings credit starting point, you cannot get savings credit.If your qualifying income is more than the savings credit startingpoint, you may be entitled to a savings credit. It is worked out asfollows.First, work out ‘Amount A’.Amount A is 60% of the difference between your qualifying incomeand the savings credit starting point, up to a maximum of £16.44 fora single person or £21.51 for a couple.This maximum is 60% of the difference between the standardamount (£109.45 for a single person and £167.05 for a couple) andthe savings credit starting point. So if your qualifying income is thesame as or more than the standard amount, the maximum AmountA applies.If your net income is less than or the same as your appropriateamount, your savings credit will be the same as Amount A.44

How do we work out Pension Credit?However, if your net income is more than your appropriate amount,work out Amount B. This is 40% of the difference between your totalincome and your appropriate amount. Take Amount B from Amount A.What is left is your savings credit.ExamplesThese examples show how Pension Credit is worked out. The figuresused apply from April 2005. Rates increase each April and can befound in leaflet GL23 Social security benefit rates.The rates used in these examples are:Standard amount: Single person £109.45Couple £167.05Savings credit starting point Single person £82.05Couple £131.20Maximum Amount A Single person £16.44Couple £21.51Example 1Jean is 64 and widowed. Her State Pension is £82.05 and she has anoccupational pension of £52 a month (£12 a week). Her appropriateamount is simply the standard amount as she is not entitled to anyextra amounts.Jean’s appropriate amount is £109.45. Her income is £94.05, so sheis entitled to a guarantee credit of £15.40 a week. She is not entitledto a savings credit because she is under 65.Jean’s Pension Credit is £15.40.When Jean is 65, she will also be entitled to a savings credit, as shehas qualifying income above the savings credit starting point.The difference between her qualifying income (£94.05) and thesavings credit starting point (£82.05) is £12.00, and 60% of this is£7.20. This is less than the maximum, so Amount A will be £7.20. Asher income is less than her appropriate amount she will be entitledto a savings credit of £7.20.When Jean is 65 her total Pension Credit will be £22.60.45

How do we work out Pension Credit?Example 2Paul is 66. He is single. His State Pension is £108 and he has £7,243in a building society account. He owns his own flat (no mortgage)and pays ground rent of £520 a year (£10 a week).Paul’s appropriate amount is £119.45, which includes an extraamount for housing costs of £10. His income is £111 (including £3deemed income from capital), so he is entitled to a guarantee creditof £8.45 a week.All Paul’s income is qualifying income, and is more than the standardamount. Amount A is therefore £16.44 (the maximum amount for asingle person).As Paul’s income is less than his appropriate amount he is entitled to£16.44 savings credit.Paul’s total Pension Credit is £24.89.Example 3Pearl is 66. She lives alone. Her State Pension is £83.90, whichincludes a small amount of graduated pension. She also getsAttendance Allowance of £60.60 and has savings of £5,425.Pearl’s appropriate amount is £154.95, which includes the extraamount for severe disability. Her Attendance Allowance does notcount as income and her savings are less than £6,000, so her incomeis £83.90. She is entitled to a guarantee credit of £71.05.Her qualifying income is £83.90, which is £1.85 more than thesavings credit starting point. Amount A is £1.11 (60% of £1.85).As Pearl’s income is less than her appropriate amount, she is entitledto £1.11 savings credit.Pearl’s total Pension Credit is £72.16.46

How do we work out Pension Credit?Example 4Anil and Sunita are both 68. They each have State Pensions of £82.05and Anil has a personal pension of £60.70 a month (£14.00 a week).They have savings of £6,800.Their appropriate amount is £167.05. Their income is £180.10(including £2 deemed income from their capital). They are notentitled to a guarantee credit.All their income is qualifying income, and is more than the standardamount. Amount A is therefore £21.51 (the maximum amount for acouple).Their income is £13.05 more than their appropriate amount, so 40%of this (£5.22) is taken away from Amount A, giving a savings creditof £16.29.Anil and Sunita’s Pension Credit is £16.29.Example 5Bob is 66 and his partner Jill is 54. Bob’s State Pension is £82.05 andhe has an occupational pension of £195 a month (£45 a week). Jillwas made redundant a month ago and is getting Jobseeker’sAllowance of £56.20. They have savings of £10,219. They are buyingtheir home and qualify for an extra amount for housing costs of £23a week.Bob and Jill’s appropriate amount is £190.05, which includes an extraamount for housing costs of £23. Their income is £192.25 (including£9 deemed income from capital) so they do not qualify for aguarantee credit.Their qualifying income, which does not include Jill’s Jobseeker’sAllowance, is £136.05. This is £4.85 more than the savings creditstarting point for a couple, so Amount A is £2.91 (60% of £4.85).Their income (including Jill’s Jobseeker’s Allowance) is £2.20 morethan their appropriate amount, so 40% of this (£0.88) is taken awayfrom Amount A giving a savings credit of £2.03.Bob and Jill’s Pension Credit is £2.03.47

How do you apply forPension Credit?If you are a single person and are over 60 you can apply forPension Credit. This part of the guide explains how and whenyou should apply.If you are part of a couple and both you and your partner are aged 60or over, either of you can apply for Pension Credit, provided yourpartner agrees. Only one partner can get Pension Credit at any onetime. If you cannot decide which of you will apply, we can decidefor you.If you are part of a couple and only one of you is aged 60 or over,that person should apply.You can apply for Pension Credit in several ways, as explained in therest of this section.Applying by phoneYou can phone the Pension Credit application line on freephone0800 99 1234. The line is open from 8am to 8pm, Monday to Fridayand from 9am to 1pm on Saturday.If you use a textphone for deaf and hard of hearing people, you canphone 0800 169 0133.If English is not your first language, phone the application line on0800 99 1234 and say (in English) that you want to apply usinganother language. (A friend could make this call for you.) A memberof the team and an interpreter will call you back at an agreed timeto help you apply.If you phone from Wales (except from a mobile phone), your callwill be put through to a call centre with Welsh speakers. If you arephoning from outside Wales or from a mobile phone, and want toapply in Welsh, please tell us. We will either transfer your call to aWelsh speaker or arrange for one to call you back.An adviser will ask you questions so they can fill in the applicationform. The form will then be sent to you so you can check and sign it.48

How do you apply for Pension Credit?We may also ask you to send some supporting evidence (forexample, proof of earnings or savings) back with the form. Youshould send back your application form within one month oryou may lose money.It will help if you have the following details with you whenyou phone:●●●your National Insurance (NI) number (and, if you have a partner,their NI number). (You can get this from an NI number card, asocial security order book, pay slips, tax papers or letters fromsocial security.);information about money coming in; andinformation about any savings and investments.But don’t put off phoning if you don’t have all the details to hand.Applying by postIf you don’t want to apply over the phone you can complete theform at the back of leaflet PC1L Pension Credit or write a lettersaying that you want to apply for Pension Credit. You do not need astamp. Send the form or letter to:Freepost NAT 3780PO Box 457MexboroughS64 9ZZSomeone else can complete the form or write the letter for you orthey can phone 0800 99 1234 and ask for an application form to besent to you.We will send you an application form and an envelope that does notneed a stamp.You can also fill in the application form which is on the internet atwww.pensions.gov.uk/pensioncredit.49

How do you apply for Pension Credit?When you can applyC+P R 13D You can apply up to four months before the date from which you& 19 want to start getting Pension Credit. You can also apply up to 12months after the date from which you wish to start getting it. Forexample, if your 60 th birthday is on 11 July 2005, and you want tostart getting Pension Credit from that date, you can apply at anytime between 11 March 2005 and 11 July 2006.If you want Pension Credit to start from a past or future date, youmust tell us when you apply. If you apply over the phone, we can gothrough this with you. If you ask for an application form, there ismore information in the booklet we send with it which will help you.50

What happens after you apply?We may ask you to provide extra information so we can assess yourapplication. This could include proof of income, earnings and savings,for example. If you have a mortgage or home loan, we will give you aspecial form for your lender to fill in.Usually everything can be done by telephone or through the post,but in some cases we may make an appointment for an interviewwith you or we may arrange a home visit.If we arrange an interview we will do our best to hold it at a time,date and place that suits you. As we work in partnership with localorganisations such as Age Concern and other pensioner supportgroups, we normally hold interviews on their premises. We conductall interviews in private.If a home visit is more suitable, for example if you have mobilityproblems, we will make every effort to arrange a time and date thatis convenient for you.Who decides if you get Pension Credit?Decisions about Pension Credit are made by decision makers onbehalf of the Secretary of State. These officers decide whether aperson is entitled to Pension Credit according to the rules laid down bythe law and the decisions of the Social Security Commissioners andhigher courts. For details on these publications see pages 98 to 100.Once we have all the information we need on your application, it ispassed on to a decision maker.How will you be told?You will be told of the decision in writing. You will also receive asummary of how your Pension Credit has been worked out. Ourletter also tells you how you can get a more detailed explanationof your assessment, if you need one.The decision maker will give you the reasons for their decision inwriting if you ask them to do so within one month. You can phone orwrite to us to ask for this. The address and telephone number will beon the letter you get about the decision.51

What happens after you apply?What to do if you think our decision is wrongYou have the right to appeal to an independent tribunal against thedecision (see next section), but you can first ask for the decision tobe looked at again. This is generally much quicker than an appeal asa way of getting a decision changed.The decision maker can change a decision that is wrong if you askfor it to be looked at again within one month of the date of thedecision. If you contact us after one month, we may not be able tolook at the decision again.You can apply by telephone or by writing to us giving your reasons.The letter telling you our decision will give more information on howto contact us. Of course, you can still appeal after we have looked atthe decision again.How to appealIf you decide to appeal you must write to us, indicating whichdecision you are appealing against and why. (Someone else can writethe letter for you, but you must sign it.) It may help if you use theappeal form in leaflet GL24 If you think our decision is wrong, whichyou can get from us.You must write within one month of the date of the decision. (If youhave asked for a detailed explanation of the decision first, you haveup to one month and two weeks from the date of the decision, ortwo weeks from the date you were sent the explanation, whicheveris later, in which to appeal.) If you write after this time it may be toolate to appeal and you may lose money.Appeals are heard by independent tribunals (administered by theAppeals Service) and, like the decision maker, the tribunal is boundby Pension Credit and other social security law. It can change thedecision by increasing or decreasing the award, or it can confirm thatthe decision is correct. It cannot, however, change the law or paymore than the law allows.For detailed information about disputes and appeals, see guideN1260DMA A guide to revision, supersession and appeals.52

C+P R 26B(2)& (3)C+P R 16AAbout paymentPaydaysWhat happens after you apply?We will give you a regular payday for your Pension Credit payment.If you are already getting State Pension, your Pension Credit will bepaid to you on the same day of the week. In most other casesPension Credit will be paid on Mondays.First paymentMost people will get their Pension Credit weekly in advance. In thatcase, your entitlement will normally start, and you will get your firstpayment, from the first payday after the date from which you haveapplied or from that date if it happens to be your payday.Please note that there is a special rule if you were getting IncomeSupport or income-based Jobseeker’s Allowance immediately beforeyou qualified for Pension Credit. In this case, your entitlement willstart, and you will be paid, from your 60 th birthday (if you weregetting Income Support) or the date from which you applied forPension Credit (if you were getting Jobseeker’s Allowance).Small amounts of Pension CreditSPCA s4(3)/ If your Pension Credit is less than £1 a week, it may be paid to youC+P R 26B(5) quarterly rather than weekly. If it is less than 10p a week it will not& SPCR 13 be paid unless payment can be combined with another benefit. 15If you are getting another social security benefitIf you are getting a long-term social security benefit, such as StatePension or Attendance Allowance, this payment may be combinedwith your Pension Credit.15 References in this guide to people who get Pension Credit also apply to peoplewho are entitled to Pension Credit of less than 10p a week but are not beingpaid because of this rule.53

What happens after you apply?How Pension Credit is paid to youPension Credit is normally paid direct into a bank or buildingsociety account. If you are genuinely unable to manage an account,we can also pay you by cheque.Payment direct into an accountThis is the safest way for us to pay you and lets you choose how andwhen you get your money. You can use a bank or building societyaccount. Most accounts let you use a cash machine, so you can getyour money at any time of the day or night. Several major banks andbuilding societies also let you collect cash from some of theiraccounts at your local Post Office®.The Post Office® also provides a bank account that Pension Creditcan be paid into. This is called a Post Office® card account. With thisaccount you can collect your money in cash from Post Office®branches.We recommend that you get your money paid direct into anaccount because:●●●●●it is safe and secure;it is convenient – you decide when and how much you want towithdraw;using an account can help you to save;you can get your money from many different places; andyou could have regular bills paid from some accounts. This couldsave you money but you will need to make sure that there isenough money in your account to pay the bills. If not, you maybe charged a fee.The account can be:●●●●●in your name; orin your partner’s name; orin both your and your partner’s names; orin the name of the person acting on your behalf; orin both your name and the name of the person acting on yourbehalf.54

What happens after you apply?You should tell us straight away if you change your account or if youthink the wrong amount has been paid in.If you do not have an account or do not want to use the oneyou haveIf you do not have a suitable bank or building society account or youdo not want to use an existing account, for example a joint account,any bank or building society will help you open an account that suitsyou better. Remember to ask whether their accounts allow you toget your money from the Post Office® if this is important to you.Basic bank accountsIf you have had problems opening an account, or if you are worriedabout being overdrawn, you could ask about opening a basic bankaccount. These are sometimes called introductory or starter accountsand all major banks have them. These accounts offer free banking butdo not offer overdrafts. You can use these accounts to pay money in,pay bills automatically and get cash out. Most basic bank accountsalso allow you to get cash from the Post Office®.If you do not want to open one of the above accounts, you maywant to open a Post Office® card account.Post Office® card accountThis is a simple bank account just for benefits, pensions and taxcredits payments. You can only collect payment from it in cash at aPost Office® branch. You will not have a cheque book and cannotwithdraw money at a cash machine. You will not be able to run upan overdraft, pay bills by Direct Debit or Standing Order, or have anyother money paid in. The account can only be in your name, but youcan arrange with the Post Office® for someone else to collect yourbenefit regularly from this account.ChequeWe sometimes use a cheque if we are making you an urgentpayment, or if you are genuinely unable to manage an account oryou are being paid different amounts each week because yourcircumstances are changing. Unless the cheque is crossed, it can becashed at a Post Office®. You may be asked to provide proof ofidentity when you cash it. This could be a full driving licence,55

What happens after you apply?passport, birth or marriage certificate, council rent book, chequebook, cheque card, credit card or a savings bank book.If the cheque is for £450 or more it will be crossed, and can onlybe paid into a bank, National Savings or building society account.Cheques have to be cashed within one month of the date printedon the front.Lost chequesWhen a cheque we have sent to you is lost, stolen, accidentallydestroyed or not received, you should tell us immediately. There willthen be a full investigation and we will check whether the chequehas been cashed. This may take several weeks. However, in somecases we may consider replacing the cheque immediately. If wecannot replace it straight away, you may be able to get a Crisis Loanfrom the Social Fund to tide you over until your next payment.(There is more about the Social Fund on pages 87 to 90).Getting someone else to collect your Pension CreditIf your Pension Credit is paid into an account and you want someoneelse to collect your money for you regularly, you may be able tomake arrangements with your bank, building society or, if you have aPost Office® card account, the Post Office®. Please ask them to helpyou with this.If your Pension Credit is paid by cheque and you cannot get to a PostOffice ® to cash it because of a disability or illness but do not want itto be paid direct into your bank or building society, the money canbe paid to an agent. This is someone you choose to collect yourbenefit. If your illness or disability is short term, you can simplysign the back of each cheque to make it payable to another person.If you are likely to need someone to cash your cheques for a longtime, let us know so that we can arrange for your agent to becomepermanent.56

What happens after you apply?C+P R 33If you become unable to look after your own affairs due to a mentalillness or disability, The Pension Service can arrange for someone toact on your behalf for everything to do with social security. If you arealready being looked after by the Protection Division of the PublicTrust Office, the Office of the Public Guardian (in Scotland), a legalguardian or any other legal arrangement, any of these can act for youregarding Pension Credit. In other cases The Pension Service can appointa relative, friend or other suitable person to act for you.The leaflet GL21 A helping hand for benefits gives more informationabout getting help from someone else.Deductions from Pension Credit and payments tothird partiesIn some situations we can deduct an amount from the PensionCredit payment before you get it. There are six main situationswhen this may be done:●●●●●●to pay mortgage interest (this is explained in more detail in thenext section);to pay arrears on your Council Tax (or if you have not paid yourCommunity Charge) and your local authority has obtained aliability order or summary warrant against you;when a court has applied to recover an unpaid fine from yourbenefit;to pay child maintenance;to pay back money because a Social Fund payment was made toyou as a loan or because you have been overpaid Pension Creditor another benefit; andwhen you owe money to a third party, for example yourlandlord, a gas company, a water company or an electricitycompany, and the decision maker considers it is in the interestsof you or your family that this payment should be made. Formains fuel and water, direct payments may also be made tocover your current costs.57

What happens after you apply?C+P R 34A &sch 9AMortgage interest paymentsYour Pension Credit calculation may include an extra amount formortgage interest. If you are getting a guarantee credit this will bepaid to your lender if they are a member of the mortgage interestdirect scheme. Most lenders, including banks and building societies,have joined the scheme. We know who they are so you do not needto tell us if your lender is a member. We cannot make these paymentarrangements if your lender has chosen to opt out of the mortgageinterest direct scheme.If you are only getting a savings credit we will not pay money toyour lender unless you are in arrears with your mortgage repaymentsor if you ask us to make these payments.If you have more than one mortgage which qualifies for help, we willmake payments on each loan to the appropriate lender.If you are behind with your mortgage payments, you must makeyour own arrangement with the lender to clear these arrears. You willalso need to make your own arrangements if the amount which canbe paid from your Pension Credit does not cover your full mortgagepayment – for example, because you are also repaying capital orbecause your Pension Credit entitlement is less than the extraamount for mortgage interest.If your lender is not in the mortgage interest direct schemeIn this case we do not normally pay any mortgage interest direct tothe lender. But if you are behind with your mortgage payments wemay. We may also deduct a standard sum from your Pension Creditpayment towards any arrears.For further information get information sheet INF8 Home owners –help with housing costs from The Pension Service.Other deductionsFor further information about other deductions, ask for a copy of theleaflet IS9 Third Party Deductions Scheme.58

What happens if your circumstanceschange?The amount of Pension Credit you get may change if your income,capital or other circumstances change. This section explains thechanges we need to know about and how you should tell us. It alsoexplains the assessed income period.If you are 65 or over (or, if you have a partner, one of you is 65 orover and the other is 60 or over) an assessed income period mayapply. During an assessed income period you do not need to tell usabout every change in your circumstances. The letter you get withyour Pension Credit decision will tell you if an assessed incomeperiod applies to you, and will explain which changes you still needto report. There is more about the assessed income period onpages 64 to 66.If you (and your partner) are under 65, or if an assessed incomeperiod does not apply for another reason, you must tell usimmediately if there are any changes in your circumstancesthat may affect how much Pension Credit you should get.If something changes which you should report and you do not reportit, you might lose money to which you are entitled or you might beoverpaid money which would probably have to be repaid. If you arenot sure whether or not we need to know about a particular change,please tell us anyway.How to tell us about changesGet in touch with your pension centre. The phone number andaddress are at the top of any letters we have sent you. You canphone or write to say what has changed.If you write, use form A9, if you have one, or send a letter. If youwrite a letter, give your reference number or National Insurancenumber, which you will find at the top of any letters we have sentyou. Explain what has changed and the date of the change. You canget an envelope that does not need a stamp from your Post Office®branch.59

What happens if your circumstances change?The changes we need to know aboutYou should tell us as soon as you can if any of the changes belowapply to you or your partner.Earning moneyYou should tell us if you or your partner start to do any paid work,start to earn more money or less money, or stop working. You shouldcount as earnings any tips, fees, bonuses, commission, retainers andany other money from an employer.If you or your partner earn money occasionally tell us about theearnings when you get them. Send us your wage slip if you have one.If you or your partner start earning money regularly tell us:●●●●how much you (or your partner) earn before tax, NationalInsurance (NI) contributions or anything else has been taken off;how much tax and NI contributions you or your partner payeach week;how much, if anything, you or your partner contribute to apension scheme each week; andthe name and address of your employer, in case we need to getin touch with them.If you will not do the same amount of work each week, and earn thesame amount of money (if, for example, you will be working twoweeks out of three, or working for longer every fourth week), pleasetell us this.Also send in your wage slips if you have them.60

What happens if your circumstances change?Changes to do with other money coming inTell us if you or your partner:●●●●●start to get a new pension or annuity payment, or if a pensionor annuity payment goes up or down (special rules apply duringan assessed income period – see pages 64 to 65);start to get a regular payment from an equity release scheme, orthe amount you get goes up or down (special rules apply duringan assessed income period – see pages 64 to 65);either claim or start to get any social security benefit orallowance;start to get any other money which is treated as income forPension Credit purposes (see pages 26 to 27) or if the amountyou get goes up or down; orstop getting a benefit or other money.Changes to do with your capitalYou should tell us if your capital goes over £6,000 (or £10,000 if youlive permanently in a care home). If you already have capital of morethan these amounts, you should tell us if it goes up or down at all.(Special rules apply during an assessed income period. See page 65.)Changes to do with your homeYou should tell us if you or your partner:●●●move to a different address;decide to buy where you live; ortake out a mortgage or loan for repairs or improvements toyour home.Also tell us if:●●the capital balance on your mortgage increases; oryour mortgage or other loan is paid off.If your Pension Credit includes an extra amount for housing costs,tell us if:●●someone comes to live in your home;someone who has been living in your home leaves;61

What happens if your circumstances change?●●someone living in your home starts work or stops work; orsomeone living in your home starts to get, or stops getting,Pension Credit.See page 22 for information about how this can affect PensionCredit.If you or your partner are 65 or over the extra amount for housingcosts may not go down immediately if someone comes to live inyour home or starts work, but you should still tell us.You should also tell us if:●●you are getting the extra amount for severe disability andsomeone comes to live in your home; oryou are not getting that extra amount because someone hasbeen living in your home and they leave.Going into and coming out of hospitalYou should tell us if you or your partner, or someone you are caringfor, go into hospital or come out of hospital. See pages 73 to 76 forinformation about how this can affect Pension Credit.Leaving GBYou should tell us if you or your partner are leaving GB for morethan four weeks.See pages 72 to 73 for information about how this can affectPension Credit.Changes to do with your familyYou should tell us if:●●●●●●you get married;you start living with someone as if you are married to them;you and your former partner start living together again;you get divorced;you and your partner separate; oryou or your partner go to prison or are held in custody.62

What happens if your circumstances change?If someone diesSomeone should tell us if:●●●●you die;your partner dies;someone who was living with you dies; orsomeone you were caring for dies.Leaflets with general information on help when someone diesare available from The Pension Service, social security offices andregistrars. In England and Wales see leaflet D49 What to do aftera death in England and Wales. In Scotland see D49S What to do aftera death in Scotland plus Social security supplement.63

What is an assessed income period?SPCA s6 & 9 & If you are 65 or over (or if you have a partner and one of you is 65SPCR 10 or over and the other is at least 60) an assessed income period mayapply. This means that you do not need to report changes topensions, annuities, equity release payments or your capital as theyhappen. You still need to report other changes in your circumstances.The assessed income period normally lasts for five years. It may beshorter if, for example, you or your partner will be 65 in the next fiveyears or you expect a second pension or annuity to start or change(other than because of a normal yearly increase) or your capital toincrease significantly in the next 12 months.If your Pension Credit started from October 2003, the assessedincome period may last up to seven years. In this case, the lengthof the period will depend on your National Insurance number.The letter you get telling you about the decision on your PensionCredit application will also tell you if an assessed income periodapplies to you and, if so, what that period is. If you think the decisionabout the assessed income period is wrong, you can ask for it to belooked at again, or you can appeal. Information about what to do ifyou disagree with a decision is on page 52.Changes to pensions, annuity income andequity release payments during an assessedincome periodYou do not have to tell us about changes to your pensions, annuityincome or equity release payments during the assessed incomeperiod. We will estimate the amount of any increase based oninformation you (or your pension fund etc) gave us when you appliedfor Pension Credit. We will send you details of how your PensionCredit is worked out. If the estimated amount of your pension,annuity, or equity release payment is more than you are actuallygetting, you should tell us straight away.If your pension, annuity income or equity release payment goesdown, or you stop getting a pension, you can tell us and ask for yourPension Credit to be recalculated. If this happens we will ask you for64

What is an assessed income period?details of all your (non-state) pension and annuity income, anyequity release payments and your capital at that point. If the total isless than the figure we have been using, your Pension Credit will goup. If the total is the same as or more than the figure we have beenusing, your Pension Credit will stay the same.Changes to capital during an assessedincome periodYou do not have to tell us about changes to your capital during theassessed income period.If your capital changes and you think you could be entitled to morePension Credit, you can tell us and ask for your Pension Credit to berecalculated. If this happens we will ask you for details of all your(non-state) pension and annuity income and your capital at thatpoint. If the total is less than the figure we have been using, yourPension Credit will go up. If the total is the same as or more than thefigure we have been using, your Pension Credit will stay the same.SPCA s9(4) &SPCR 12The end of the assessed income periodAn assessed income period will end before the planned date if:●●●●●you start to be treated as a member of a couple;you stop being treated as a member of a couple (for example,if your husband or wife dies or goes permanently into a carehome, or you or your partner are in hospital for more than ayear);you go permanently into a care home;you stop getting a pension or annuity, or the amount you getgoes down temporarily (for example, payment of a pension fromabroad stops because of problems in the country in question)and you ask for your Pension Credit to be recalculated; oryour entitlement to Pension Credit ends.When an assessed income period ends – either at the planned dateor for one of the above reasons (other than the end of entitlement)– we will ask for details of all your circumstances and your PensionCredit will be recalculated. If this means your Pension Credit goes65

What is an assessed income period?down because your pensions, annuity income, any equity releasepayments and capital are higher than before, the new amount willapply from the start of the new assessed income period only. Forexample, if your capital was higher at the end of the assessedincome period than it had been at the beginning because you won aPremium Bond prize, you may start to get less Pension Credit thanyou were getting before. This will not mean that you have beenoverpaid Pension Credit during the previous assessed income period,because any increases to capital are ignored until the end of theassessed income period.If your Pension Credit is lower because you had not told us aboutanother type of change, normal overpayment rules apply (see pages84 to 85 for more on overpayment). If it is higher than before, youmay be entitled to some arrears.When your circumstances have been checked and your PensionCredit recalculated, the decision maker will decide whether to setanother assessed income period and, if so, how long it should be.66

People in special situationsThis part of the guide explains the Pension Credit rules for people inspecial situations. The following sections cover:●people who have recently come to GB (below);● people leaving GB temporarily (pages 72 to 73);● people in hospital (pages 73 to 76);● people living in care homes (pages 77 to 78);● people in prison (pages 78 to 80);● homeless people (page 80);● unmarried couples (pages 80 to 82);●people living apart from their partner (pages 82 to 83); and● people in polygamous marriages (page 83).SPCR 2If you have recently come to GB(including returning British citizens)General rulesSpecial rules apply if you have come to live in Great Britain (GB, thatis, England, Scotland and Wales) from another country in the last twoyears and you want to get Pension Credit. Whether you can or notwill depend on your residence or immigration status. You will alsohave to satisfy the normal Pension Credit rules, including the right toreside and habitual residence tests (see pages 68 to 69).In general, if you are a national of a non-European Economic Area(EEA) country and have come to settle in GB, or are an EEA national,if you pass the right to reside and habitual residence tests and areeligible under the normal rules, you can get Pension Credit as usual.However, there are special rules if you are in GB as the result of awritten maintenance undertaking (see page 71).For more information about immigration issues, visit the Immigrationand Nationality Directorate pages of the Home Office website atwww.homeoffice.gov.uk67

People in special situationsIf you have come on a temporary basisIf you are not an EEA national and have come to stay in GBtemporarily and have been allowed into the UK on the understandingthat you are self-supporting and ‘have no recourse to public funds’you cannot normally get Pension Credit. This is because people whoare subject to immigration control are not entitled to income-relatedbenefits. Public funds include Pension Credit and Housing Benefit.The right to reside and habitual residence testsYou must show that you have a right to reside in the common travelarea (that is, the UK, the Republic of Ireland, the Channel Islands orthe Isle of Man) before you can get Pension Credit. (This also appliesto a number of other social security benefits, including HousingBenefit and Council Tax Benefit.)Once you have satisfied the decision maker that you have a right toreside you will also need to prove that you are habitually resident inthe common travel area (see below). (This also applies to a numberof other social security benefits, including Housing Benefit andCouncil Tax Benefit.)Right to resideYou will have a right to reside in the UK if you are:●●●●●●●a returning British citizen or a British passport holder (includingthose with dual nationality);the holder of a British overseas passport, endorsed with a rightof abode in the UK;the holder of a British overseas passport, endorsed “BritishCitizen”;the holder of a British overseas passport who is entitled toreadmission to the UK;the holder of a Non-British passport endorsed “British citizen”;the holder of a Non-British passport endorsed “given leave toenter the UK for an indefinite period”;the holder of a Non-British passport endorsed “given leave toremain in the UK for an indefinite period”;68

People in special situations●●●●●●●●●a national from the Republic of Ireland, the Channel Islands orthe Isle of Man who has a right to reside in the commontravel area;a national of Austria, Belgium, Cyprus, Denmark, Finland, France,Germany, Greece, Iceland, Italy, Liechtenstein, Luxembourg,Malta, Netherlands, Norway, Portugal, Spain, Sweden andSwitzerland and a worker or a self-employed person for thepurposes of European Community (EC) law (if you are from oneof these countries and are not a worker or self-employed you willgenerally have the right to reside only if you are not a burden onpublic funds);a national of the Czech Republic, Estonia, Hungary, Latvia,Lithuania, Poland, the Slovak Republic or Slovenia who is selfemployed,or working and registered (or exempt fromregistering) with the Home Office Worker Registration Scheme(if you are from one of these countries and are not a worker orself-employed you generally have the right to reside as long asyou are not a burden on public funds);a national from Romania, Turkey or the Ukraine who has beengranted limited leave to remain;a refugee;someone who has been granted humanitarian protection;someone with exceptional leave or discretionary leave to remainin the UK;someone who has been deported to the UK; orsomeone who left Montserrat after 1 November 1995 due tovolcanic activity.Habitual residenceOnce you have shown that you have a right to reside (see above),you must also prove habitual residence before you can getPension Credit.You must satisfy the decision maker either that you are habituallyresident in what is called the common travel area (that is, the UK,the Republic of Ireland, the Channel Islands or the Isle of Man) orthat you can be treated as habitually resident in the commontravel area.69

People in special situationsYou will be treated as being habitually resident in the UK if you are:●●●●●●●a worker or self-employed person for the purposes of EuropeanCommunity (EC) law;a national of the Czech Republic, Estonia, Hungary, Latvia,Lithuania, Poland, the Slovak Republic or Slovenia who is workingand registered with the Home Office Worker RegistrationScheme (unless exempt from registering);a refugee;someone who has been granted humanitarian protection;someone with exceptional or discretionary leave to remain inthe UK;someone who has been deported to the UK; orsomeone who left Montserrat after 1 November 1995 due tovolcanic activity.If you do not fall into one of the above categories, but have shownthat you have a right to reside in the UK the decision maker willdecide whether you are habitually resident.There are no hard-and-fast rules so the decision maker will decide ina common-sense way based on your personal circumstances. Theymay take a number of things into account, such as:●●●●how long you lived abroad;why you came to the UK;how long you plan to stay here; andwhether you have a settled pattern of living here.If they decide you are not habitually resident then you cannot getPension Credit.InterviewsIf you (or your partner) have come to live in the common travelarea in the last two years you may be asked to go to an interview.You should take with you your passport (and your partner’s passport)and any letters you have from the Home Office.70At the interview you will be asked about your immigration andresidence status. From this information a decision maker will decidewhether you can get Pension Credit.

People in special situationsSponsored immigrantsSponsored immigrants are normally given limited leave to enteror remain in the UK and are admitted to the United Kingdom onthe understanding that they have relatives who are prepared tosupport them without recourse to public funds. The sponsor signsa maintenance undertaking which is legally binding. Sponsoredimmigrants are not entitled to Pension Credit for five years fromthe date of their entry or the date on which the maintenanceundertaking was signed (whichever is the later), unless the sponsoror sponsors (if more than one) die.People from abroad who can get Pension Creditfor a short timeIf you are from abroad and have limited leave to remain in the UKyou must normally be self supporting. However, you may be able toget Pension Credit for a maximum of 42 days if your funds fromabroad have temporarily stopped.71

People in special situationsSPCR 3 & 4If you are going away from Great BritaintemporarilyPension Credit is for people who live in GB. However, you can continueto get it for a short time if you are away from GB temporarily.Pension Credit can be paid for people who have left GB for medicaltreatment under the NHS for as long as they are receiving thattreatment.Pension Credit can continue to be paid for the first eight weeks of aperson’s absence from GB if:●they are accompanying a young person 17 who lives with themsolely for that young person’s medical treatment by anappropriately qualified person; and● the total absence is expected to be for less than 52 weeks.In other cases, if the person’s total absence is expected to be for lessthan 52 weeks, Pension Credit can be paid for the first four weeks.Payment of any expenses you incur outside GB will not be coveredby Pension Credit.Pension Credit payments will not be sent outside GB. If you leave GB,the payment will be made to you on your return to this country,unless you have arranged for the payment to be made to someoneelse (who is in GB) or your Pension Credit is being paid into an account.If you are away for longer, so cannot be paid for all the time you areaway from GB, you will need to re-apply for Pension Credit when youreturn.If you go to Northern Ireland, and cannot be paid Pension Creditunder the GB scheme for all the time you are there, you may be ableto get Pension Credit under the Northern Ireland scheme for the restof your stay.If you leave Great Britain but your partner stays inGreat BritainIf you have a partner who stays in Great Britain while you are away,you can arrange for the Pension Credit you could get while you areaway to be paid to them.17 A young person is someone for whom Child Benefit could be paid.72

People in special situationsIf you will be away for longer than your Pension Credit can be paidand your partner is over 60 and meets other conditions for PensionCredit (for example, the habitual residence test), you havetwo choices:●●either your partner can apply for Pension Credit immediately, ifyou agree. (In this case you will not be paid for any time you areaway.) Your partner will be paid for both of you for as long asyour Pension Credit can be paid under the temporary absencerules, and as a single person for the rest of the time you areaway;or your partner can apply for Pension Credit as a single personfrom the point from which you can no longer be paid under thetemporary absence rules. After that time no money will be paidfor you until you return.If your partner is aged under 60, they may be able to claim IncomeSupport or Jobseeker’s Allowance.If your partner leaves Great Britain but you stay inGreat BritainIf your partner leaves GB temporarily but you stay in GB, you will bepaid as a couple for as long as you could have got Pension Creditunder the temporary absence rules if you had left GB for the samereason. After that, if your partner is still away, your Pension Creditwill be recalculated as if you were a single person.SPCR sch IIIpara 2If you go into hospitalYour Pension Credit payments may be affected if you or your partnergo into hospital 18 as an in-patient. The money you get will dependon whether you have a partner, whether one or both of you is inhospital and the length of stay in hospital.18 An NHS nursing home counts as a hospital when we work out your PensionCredit. So if you are in hospital for three weeks and in an NHS nursing homefor five weeks, your total hospital stay counts as eight weeks.73

People in special situationsLinked periods in hospitalIf you are re-admitted to hospital within 28 days of discharge, theseseparate periods in hospital will be added together to work out thelength of time you have spent in hospital as an in-patient, and thepoint at which your Pension Credit will be adjusted.How going into hospital affects yourguarantee creditSingle peopleIf you are a single person and you go into hospital, there is normallyno change in your guarantee credit for the first 52 weeks, unlessyour appropriate amount includes an extra amount for severedisability or carers, or you stop being treated as responsible forhousing costs (see page 76 for the rules on housing costs).We will stop paying the extra amount for severe disability whenyour Attendance Allowance or Disability Living Allowance stops(usually after four weeks). The extra amount for carers is stoppedeight weeks after your Carer’s Allowance (or your underlyingentitlement to it) stops.After you have been in hospital for 52 weeks your appropriateamount will be made up of £16.40 plus any transitional extra amount(see page 24) you were getting before you went into hospital.CouplesIf one or both of you is in hospital, and is not expected to return toyour home when you are discharged (for example, if arrangementsare being made for you to live permanently in a care home once youleave hospital), you may be treated as single people for PensionCredit purposes. If this happens, the person who has not been gettingPension Credit will need to apply in their own right.One partner in hospitalIf you are treated as a couple and one partner has to go intohospital, there is normally no change to your guarantee credit forthe first 52 weeks unless your appropriate amount includes anextra amount for severe disability or carers or you stop beingtreated as a couple for Pension Credit purposes.74

People in special situationsIf the extra amount for severe disability was at the higher rate it willdrop to the lower rate when Attendance Allowance or DisabilityLiving Allowance stops for the person in hospital (usually after fourweeks). If it was at the lower rate it will either stop or continue atthe lower rate when Attendance Allowance or Disability LivingAllowance stops for the person in hospital. (This will depend on yourcircumstances when you were both at home and which of you goesinto hospital.)Here is an example:Peter and Mary are a couple and both have AttendanceAllowance, but the extra amount is at the lower rate becausesomeone is getting Carer’s Allowance for looking after Peter. IfPeter goes into hospital and his Attendance Allowance stops, theextra amount will stay the same. If Mary goes into hospital andher Attendance Allowance stops, so will the extra amount.If you stop getting Carer’s Allowance (or your underlying entitlementto it ends) because you or the person you care for goes into hospital,we will stop paying the extra amount for carers eight weeks later.After 52 weeks you and your partner will usually be treated assingle people for Pension Credit purposes, unless you are expectedto come home shortly afterwards.If you are treated as single people, the person who has not beengetting Pension Credit will need to apply in their own right. Theappropriate amount for the person in hospital will be made up of£16.40 plus any transitional extra amount they were getting.If you are still treated as a couple, your appropriate amount will bereduced by £16.40.Both partners in hospitalIf both partners are in hospital, there is normally no change to yourguarantee credit for the first 52 weeks unless:●●●your appropriate amount includes an extra amount for severedisability or carers; oryou stop being treated as a couple (see page 82); oryou stop being treated as responsible for housing costs (seepage 76).75

People in special situationsWe will not include the extra amount for severe disability when yourAttendance Allowance or Disability Living Allowance stops (usuallyafter four weeks). We will stop the extra amount for carers eightweeks after Carer’s Allowance (or underlying entitlement to it) ends.After 52 weeks you and your partner will be treated as single peoplefor Pension Credit purposes, unless you are both expected to comehome shortly afterwards. The person who has not been gettingPension Credit will then need to apply in their own right.If you are treated as single people, the appropriate amount for eachperson in hospital will be made up of £16.40 plus any transitionalextra amount.If you are still treated as a couple, your appropriate amount will bereduced by £32.80.Housing costs while in hospitalYou will continue to get any Pension Credit housing cost paymentsfor as long as you are treated as responsible for the costs. This willnormally be for up to a maximum of 52 weeks. If and when itbecomes clear that your stay in hospital will be for much longerthan a year, we will stop your housing costs payment immediately.For detailed information on what Housing Benefit you will get whilein hospital see guide RR2 A guide to Housing Benefit and Council TaxBenefit.How going into hospital affects your savings creditIf you get a savings credit before you or your partner go into hospital,this will normally continue at the same rate as if you were at home.But it may change if:●●●●you were getting an extra amount for severe disability, whichstops;you were getting an extra amount for carers, which stops;you were getting an extra amount for housing costs, whichstops; oryou and your partner start to be treated as single people.76

People in special situationsIf you live in a care homeThis section explains the rules about Pension Credit for people wholive permanently in care homes. These rules do not apply to peoplein NHS nursing homes, who are treated in the same way as peoplein hospital. Nor do they apply if you are in a care home temporarily(sometimes called ‘respite care’). In that case your Pension Creditwill normally continue as if you were still at home.What do we mean by a care home?Care homes (sometimes called residential care homes or nursinghomes) provide accommodation, meals, personal care and, in somecases, nursing care for elderly or disabled people, or people whocannot manage at home because of some other condition.Care homes in England are registered with the National CareStandards Commission. In Scotland they are registered with theScottish Commission for the Regulation of Care and in Wales withthe National Assembly for Wales.How living in a care home affects yourPension CreditYour Pension Credit will be worked out in much the same way as ifyou were not living in a care home, but there are some differences,as explained below.CouplesIf you live permanently in a care home and your partner does notlive there with you, your entitlement to Pension Credit will be lookedat separately, as if you were both single people.CapitalIf you live permanently in a care home, the first £10,000 of yourcapital will be ignored.If you still own the property you lived in before moving into the carehome, its value will be treated as capital unless:●●●your husband or wife, or the person who was your partner whenyou lived at home still lives in it; ora close relative (who is either over 60, disabled or incapable ofwork) still lives in it; oryou are trying to sell it.77

People in special situations78Extra amount for severe disabilityIf you are getting Attendance Allowance (or the care component ofDisability Living Allowance at the middle or higher rate) when yougo to live permanently in a care home, and no-one is getting Carer’sAllowance for looking after you, you may get the extra amount forsevere disability, even if you could not get it while you were athome. This is because other people in the care home are not viewedas living with you. However, this extra amount will stop if and whenyour Attendance Allowance or Disability Living Allowance stops,normally after you have been in the care home for four weeks.More information on moving into a care homeIf you need financial help to move into a care home you shouldcontact your local authority’s Social Services/Social Work Department.You should also contact them if you need support to be able tocontinue to live at home.The Social Services/Social Work Department will first look at the kindof help you need. They may then advise that you should go into acare home. If they do, they will also help you choose a home thatbest suits your needs. They will also assess how much of the chargeyou will have to pay.The Social Services/Social Work Department will normally arrangeto pay the home’s fees, but sometimes you can make a differentarrangement for paying the fees if you, the home and the SocialServices/Social Work Department agree.For information on choice of home, charging rules and NHSresponsibilities, if you live in England, get the leaflet Moving into acare home – things you need to know from the Health Literature Lineon 0800 555 777. If you live in Wales, get the version of this leafletproduced by the Welsh Assembly on 029 208 23944. If you live inScotland, get the leaflet Thinking about moving into a care home?from the Scottish Executive on 0131 244 5403.If you are a prisonerWhat do we mean by prisoner?For our purposes, if you are held in custody (whether waiting fortrial, waiting for sentencing or serving a sentence) you will betreated as a prisoner. Normally you will not be able to get PensionCredit while you are held in custody.

People in special situationsElectronically-tagged people awaiting trial or those released early onlicence are not treated as prisoners and the normal rules apply to them.What if you have a partner?If you have a partner who is aged 60 or over, they should apply forPension Credit. (If they are aged under 60 they may be able to claimIncome Support or Jobseeker’s Allowance.)What if you are on remand?If your family live in your normal home while you are in custodyon remand, they may be able to get Housing Benefit or Council TaxBenefit while you are away. They should claim straight away. If theydelay they may lose benefit.If your family already gets Housing Benefit or Council Tax Benefit,they should tell the local council as soon as you go into custody.If you are single, you can continue to get Pension Credit to coveryour housing costs (such as mortgage interest) while you are incustody on remand if there is no-one else responsible for your homeand you expect to be away for less than 52 weeks (or, in specialcircumstances, for slightly longer). If you are in custody on remandand expect to be away from your normal home for less than52 weeks, you may be able to get Housing Benefit or Council TaxBenefit for up to 52 weeks while you are away. These payments willbe made directly to the person or body you owe the money to.What about prisoners on leave?If you go on a short period of release on temporary licence to helpprepare for your discharge, you will not be entitled to Pension Credit.If you will be staying with someone who is getting Pension Credit,they may be able to get a Community Care Grant from the SocialFund towards the cost of your stay. They should make an applicationbefore your temporary licence release begins. (There is more aboutthe Social Fund on pages 87 to 90.)What about Intermittent Custody?Intermittent custody (IC) is a new type of sentence where peoplespend some days each week in prison and the rest of the week athome instead of being in prison for a continuous spell.79

People in special situationsIf you or your partner are sentenced to IC, it will affect your PensionCredit and any other benefits you are getting. The effect will dependon a number of things, including which days you (or your partner)spend in prison and the day your Pension Credit is paid.It is not possible to describe all the possible effects here, but theHome Office have information about how IC can affect benefits andsomeone should discuss this with you before you agree to IC.Can you get other help?You may get some Pension Credit if you are transferred to hospitalunder the Mental Health Acts, as you will be treated as a hospitalin-patient rather than a prisoner (see pages 73 to 76).You cannot get money for court expenses but if, for example, you arestranded away from home after release from remand, you may beable to get a Crisis Loan from the Social Fund to get you home (seepages 87 to 90).If you are homelessIf you are sleeping rough you can still get Pension Credit.If you can arrange to collect your post from a ‘care of’ address, yourapplication can be dealt with as normal. If not, we will still deal withyour application but you may have to collect your payments from alocal social security office.If you are homeless in the Greater London area and you need adviceor help with getting Pension Credit, please contact the LondonHomeless Services Team on 020 7200 6362.If you find accommodation, you should let us know by calling ThePension Service or telling staff at the office you were using whileyou were homeless. You should also tell us if the address you usefor post changes.If you are unmarried but living together ashusband and wifeNote. When the Civil Partnership Act is in force this will also applyto same sex couples who are living together as civil partners, buthave not registered.80

People in special situationsAs a general rule we treat unmarried couples of the opposite sex whoare living together as husband and wife (sometimes called ‘commonlaw’marriage or cohabitation) in the same way as a married couple.This means that:●●any application for Pension Credit must be for both of you; andif both you and your partner are aged 60 or more, either of youcan make the application.The following section describes what happens if someone has appliedas a single person but there is someone living with them and webelieve they may be living as an unmarried couple.Who decides if you are living together?Note. When the Civil Partnership Act is in force, this will alsoapply to same sex couples. If you are using the guide after the Actis in force you should read “husband and wife” as “husband andwife or civil partners”.There is no definition in the Act or Regulations of ‘living together asa husband and wife’. The decision is made by a decision maker, whofollows guidance in the Decision Makers’ Guide and Social SecurityCommissioners’ case law (see pages 99 to 100). The decision is basedon information gathered by the visiting officer. The visiting officerand the decision maker are specially trained in dealing with casesof this kind. All of the following are taken into account by thedecision maker:●●Membership of the same household – both partners shouldbe living in the same household and usually neither of you willhave any other home where you normally live. This implies thatthe two of you live together the whole time, apart from suchnormal absences as going to work or visiting relatives, and that,for example, you usually share meals and do jobs around thehome for each other.In an established relationship – living together as husband andwife clearly implies more than an occasional or brief association.When you first live together, it may be clear from the start thatthe relationship is similar to that of husband and wife. Forexample, you may have taken the same surname and had a child81

People in special situations●●●●together. In other cases it may be some time before such a closerelationship develops.Financial support – in most husband-and-wife relationships youwould expect to find one partner giving financial support to theother or both partners sharing household expenses. But if this isnot true for you we will not assume you and your partner arenot living as husband and wife.Sexual relationship – a sexual relationship is normally animportant part of marriage and therefore of living together ashusband and wife. But we do not count having or not having asexual relationship as proof either way. (We will not ask youabout any sexual relationship, but you can tell us about thisif you think it will make things clearer.)Children – caring jointly for your child or children usuallyimplies that you are living as husband and wife.How other people see the relationship – we also look atwhether you present yourselves to other people as husband andwife. But we realise that many couples living together do notwant to act as if they are actually married, so this is not usedas proof either way.SPCR 5If you and your partner are living aparttemporarilyYou and your partner will still be treated as a couple if either of youis temporarily living away from home – for example, if one of you iscaring for a sick relative, has gone on holiday, or is studying away fromhome. If the separation becomes permanent, both of you can applyfor Pension Credit separately. You will also be treated separately if:●●the absence is likely to last longer than 52 weeks or has alreadylasted longer than that time;one or both of you go into prison or secure hospital (see pages78 to 79);● one of you goes permanently into a care home (see pages 77to 78);● your partner goes abroad for more than a few weeks (see page73); or82

People in special situations●the partner who has been getting Pension Credit goes abroadand his or her Pension Credit stops after a certain time. Thepartner left in Great Britain will then be treated as a singleperson. (See pages 72 to 73 for the rules about payment ofPension Credit during temporary absences abroad.)SPCR sch IIIpara 1If you are in a polygamous marriageA polygamous marriage is where a person is married to more thanone partner and the marriage was registered or contracted in acountry where this is legal. If you have entered into a polygamousmarriage and are living with more than one of your partners, thefollowing special rules apply:●●Only one partner can get Pension Credit at any one time andall partners need to agree who should apply. If you cannotagree which of you will apply, we can decide for you.When we work out your Pension Credit, the income and capitalof all the partners is added together.Your Pension Credit appropriate amount is made up of:●●●the standard amount for couples, for you and one partner; plusthe difference between the standard amount for a couple andthe standard amount for a single person, for each of your otherpartners; plusany extra amounts (for example, for severe disability or housingcosts) for you or any of your partners.The rules for the extra amount for severe disability are also slightlydifferent. For example, you can only get the higher amount if all ofyou are getting Attendance Allowance or the middle or higher rate ofthe care component of Disability Living Allowance, and no-one getsCarer’s Allowance for caring for any of you.The savings credit starting point is the same as for a couple(£131.20).The maximum ‘Amount A’ is the same as for a couple (£21.51).An assessed income period may apply if you or any of your partnersare aged 65 or over and you are all aged 60 or over (see pages 64to 66).83

84What if you are overpaid PensionCredit or other benefits?How do overpayments happen?SSAA s71–74 & There are several kinds of overpayments, as discussed in this section.POR 8,11,15If we have paid you too much because you told us something which&17was not true, or you did not tell us about something which weneeded to know about, you may have to repay any money you arenot entitled to.If we have paid you too much because it was impossible to changethe payment into your account in time, you may have to repay anymoney you are not entitled to. For example, you may have told usabout a change in your circumstances which means you should getless money but it was too late for us to change the amount alreadysent out for payment.If your circumstances change temporarily and this means you get apayment of Pension Credit to which you are not fully entitled, youmay have to pay back some of your Pension Credit. This mighthappen, for example, if your part-time job pays you more thanusual one week.Pension Credit is sometimes paid when you or your partner haveclaimed a social security benefit, such as Incapacity Benefit or StatePension, but it has not yet been paid. Normally, the arrears of thatbenefit will be adjusted to recover the Pension Credit already paid. Ifit has not been possible to do this, the money can be recovered inany of the ways described in this section.If Pension Credit has been paid because other income that has to betaken into account was not paid on time, you may be asked to repayit. An example would be if you normally get a pension from abroad,but the payment stopped and you asked for your Pension Credit to beincreased. If you start getting the pension again, and you get arrears,we will ask you to repay the extra Pension Credit you got.If you have been overpaid Housing Benefit or Council Tax Benefityour local council will normally deal with this. However, in somecases the council can ask us to make the recovery by deductions

What if you are overpaid Pension Credit or other benefits?from certain other social security benefits, including Pension Credit.Local councils are responsible for dealing with queries aboutoverpayments of Housing Benefit and Council Tax Benefit.What if I disagree?You can dispute or appeal if you disagree with any of the followingdecisions:●●●there has been an overpayment;the amount of the overpayment; orthe overpayment is recoverable from you.(See page 52 for more about what to do if you disagree with adecision.)How is the money recovered?If you have been paid too much Pension Credit and the decisionmaker decides that it is recoverable (that is, it can be taken back),you will have to repay it. You can do this in three ways:●●●by paying a lump sum;by having weekly deductions made from your Pension Credit; orby having deductions made from most social security benefits.We may also keep any arrears due to you so we can reducethe overpayment.If you do not receive Pension Credit or social security benefits, andyou cannot repay in one lump sum, we will normally ask you torepay by instalments. If we cannot agree a repayment plan withyou we may, as a last resort, take you to the civil court.If your partner later applies instead of you and benefit continuesto be paid for both of you, they may have to carry on repaying theoverpayment by deductions from their Pension Credit.If you have been overpaid some other benefit and the decision makerdecides that it is recoverable, it can be taken from your PensionCredit payment by weekly deductions if you no longer get theother benefit.85

Other social security benefits andfurther helpSocial security benefits from local authoritiesHousing Benefit and Council Tax BenefitHousing Benefit 19 is a social security benefit given by local authorities.It is to help with rent you have to pay to live in your home.If you are getting Pension Credit, you may be able to get HousingBenefit to help with your rent. To get Housing Benefit, you or yourpartner must be responsible for the rent of the home you live in,or must be paying that cost as if you were responsible. Anynon-dependants living in your home will be expected tocontribute, so they may affect your benefit.Council Tax Benefit is another social security benefit given by thelocal authority. To get Council Tax Benefit, you or your partner mustbe liable to pay Council Tax. This benefit is normally paid as areduction (rebate) in the amount of Council Tax you pay.You do not have to be getting Pension Credit to get Housing Benefitor Council Tax Benefit. You may also get some help even if yourincome is too high to get Pension Credit, unless you have more than£16,000 capital.How to get Housing Benefit and Council Tax Benefit if you aregetting Pension CreditIf you are not already getting Housing Benefit or Council Tax Benefitor both when you apply for Pension Credit, complete form HCTB1(PC)to claim them. (If you apply for Pension Credit by phone, you will besent a copy of this form, if you need it, when your application formis sent to you for checking. If you have asked to be sent a PensionCredit application pack by post, this will include an HCTB1(PC).)Send the form directly to your local authority who will then workout if you are entitled to Housing Benefit or Council Tax Benefit.Your local authority will contact you if they need more information.8619 In some parts of the country, Housing Benefit may also be known as LocalHousing Allowance.

Other social security benefits and further helpIf you get the guarantee credit you will generally get help with allyour eligible rent 20 payments, provided they are reasonable, minusdeductions for any non-dependants living with you. You should alsoget help with your Council Tax. (If you live in Scotland, and pay watercharges with your Council Tax, you will not get Council Tax Benefitfor that part of the payment.) If you get the guarantee credit youcan get this help even if you have more than £16,000 capital.If you get only savings credit you will generally get some helpwith your rent and Council Tax, unless you have more than£16,000 capital.If you cannot get Pension Credit or you stop getting it, and do nothave more than £16,000 capital, your local authority may still beable to help with part of your rent or Council Tax or both. For moreinformation contact your local authority or get a copy of guideRR2 A guide to Housing Benefit and Council Tax Benefit from yoursocial security office, Jobcentre or Jobcentre Plus office.The Social FundThe Social Fund helps people with one-off or extra expenses that aredifficult to pay out of their regular income. Social Fund payments arenot treated as income or capital when your Pension Credit is workedout. Most types of Social Fund payments are dealt with by JobcentrePlus offices rather than by The Pension Service (but we handle ColdWeather Payments and Winter Fuel Payments).You can find more information on the Social Fund in guideSB16 A guide to the Social Fund.Cold Weather PaymentsYou may get a Cold Weather Payment from the Social Fund if youare on Pension Credit. This is a payment for the extra cost of heatingyour home during very cold weather. You will be paid automaticallyif you are entitled. You do not need to make a claim, but if you haveany queries about the payment you should contact us.For more details, see the leaflet GL18 Help from the Social Fund.20 This may not be the whole of the rent you pay. For example, eligible rent doesnot include charges for things like water and heating.87

Other social security benefits and further helpFuneral PaymentsYou may be able to get a Funeral Payment from the Social Fund tohelp pay for funeral expenses if you are responsible for arranging afuneral and are getting Pension Credit, Housing Benefit, CouncilTax Benefit or certain tax credits. Ask for SF200 Funeral Paymentclaim pack from your social security office, Jobcentre or JobcentrePlus office.Leaflets with general information on help when someone diesare available from social security offices and registrars. In Englandand Wales see leaflet D49 What to do after a death in England andWales. In Scotland see D49S What to do after a death in Scotland andSocial security supplement.Community Care GrantsYou may be able to get a Community Care Grant from the SocialFund if you are getting Pension Credit. Community Care Grants areto help people in vulnerable groups to lead independent lives inthe community.Budgeting Loans and Crisis LoansYou may be able to get a Budgeting Loan from the Social Fund ifyou have been getting Pension Credit for at least 26 weeks. Theseinterest-free loans are made to help people spread the payment forextra expenses.You may be able to get a Crisis Loan from the Social Fund for livingexpenses or for something you need urgently. You may be able to geta Crisis Loan whether or not you are getting Pension Credit oranother social security benefit. These loans are interest-free and arefor people who need extra help in an emergency or after a disaster.The sort of situation for which you might get a Crisis Loan includes:●●●a disaster, causing damage, loss or destruction to your family’sproperty;loss of money, for example, through a burglary; andemergency travel expenses for someone who is stranded awayfrom home.88

Other social security benefits and further helpA Crisis Loan may be paid to cover you and your family’s short-termneeds if you are in trouble or urgently need to replace a specific itemor pay for a service. You should get the loan if it is the only way toprevent serious damage or serious risk to your health and safety.You could also get a Crisis Loan for paying rent in advance to aprivate landlord if you are getting a Community Care Grant to helpyou re-establish yourself in the community after a stay ininstitutional or residential care. In this case the loan could cover yourliving expenses but generally it would be for a short time only.If you are offered a Social Fund Crisis Loan or Budgeting Loan,youwill also be told the terms of repayment. If you are getting PensionCredit, loan repayments will be made by deductions from your oryour partner’s Pension Credit payments. If you are not gettingenough Pension Credit to make the repayments or if you no longerget Pension Credit, repayments may be deducted from other benefitsyou get or can be made by standing order or in cash.In general, depending on your other commitments, you will normallybe asked to pay back these loans with between 5% and 15% of yourweekly Pension Credit appropriate amount, less any extra amountfor housing costs. You would normally have to pay back the loanwithin 78 weeks, though this period could be extended.Sure Start Maternity GrantsThe Social Fund also makes Sure Start Maternity Grants to help withthe costs of a new baby for people who are getting Pension Creditor certain benefits or tax credits. For details ask at a socialsecurity office.Winter Fuel PaymentsThese are one-off payments to help towards winter fuel bills. Theyare paid from November each year to eligible households thatinclude someone who is aged 60 or over during the third week inSeptember. We call this the qualifying week. You may get a WinterFuel Payment even if you are not getting any other benefits.If you have had a Winter Fuel Payment before or you are gettingPension Credit or another social security benefit in the qualifyingweek, you will not usually need to claim. If you have not had a89

Other social security benefits and further helpWinter Fuel Payment before, or the only benefits you get areHousing Benefit, Council Tax Benefit or Child Benefit, you mayhave to claim.For more details see the leaflet WFPL1 Winter Fuel Payments orphone the Winter Fuel Payment Helpline on 08459 15 15 15.(A service for textphone users is available on 0845 601 5613.)Age-Related Payment 2005In 2005/6, a payment of up to £50 will be made alongside theWinter Fuel Payment to eligible households with someone aged 70or over. This is to help them with living expenses, including CouncilTax bills.For more details see the leaflet WFPL1 Winter Fuel Payments orphone the Winter Fuel Payment Centre on 029 2042 8106.POR 2Interim paymentsInterim payments (sometimes called ‘payments on account’) arespecial payments that may be made until your actual entitlementcan be worked out or paid.Interim payments can only be made if you:●●●have not been able to apply for Pension Credit but it looks asthough you may be entitled;have made an application for Pension Credit and it looks asthough you may be entitled, but it is not possible for a decisionon your application to be made straight away; orhave been awarded Pension Credit but it cannot be paid on time.This could be at the start of your application or after paymentshave already been made.Interim payments are discretionary and take into account suchthings as possible hardship. They will normally be made onlyfor a short period. There is no right of appeal against a decisionabout whether an interim payment can be made, or the amount ofa payment.90

Other social security benefits and further helpInterim payments cannot be used to by-pass the normal rules onwho is eligible for Pension Credit. For instance, you cannot get aninterim payment if you have:●●●received a decision on your application but disagree with it; orbeen awarded Pension Credit but not received a paymentbecause you have not reached your normal payday; orbeen refused Pension Credit but are appealing against thedecision.When your actual Pension Credit entitlement is later worked out,any interim payment you have had will be deducted from it. If itturns out that you were not entitled to any Pension Credit at all,or not as much Pension Credit as the interim payment, the decisionmaker will decide whether the difference can be recovered. If it can,you will have to repay it in the same way as an overpayment(see page 84).If you receive an interim payment you will get a letter explaining this.Other social security benefitsWe explain the key benefits in the rest of this section. If you needmore information there is a full list of all social security benefits inall social security offices or on the DWP website (www.dwp.gov.uk).Attendance AllowanceIf you (or your partner) are 65 or over and need help with personalcare because you are severely disabled, you may be able to getAttendance Allowance (AA). This provides a contribution towards theextra costs faced by people with a severe disability. You do not needto have paid National Insurance contributions. Your entitlement toAA depends on how much supervision or help with personal careyou need.AA is not treated as income when your Pension Credit is worked out.In some cases, you may even be entitled to more Pension Credit ifyou get AA (for example, you may qualify for the extra amount forsevere disability: see pages 14-15).For more information, see leaflets SD1 Sick or disabled or HB5 Aguide to non-contributory benefits for disabled people and their carers.91

Other social security benefits and further helpDisability Living AllowanceIf you (or your partner) are under 65 and need help with personalcare or have difficulty walking because you are severely disabled,you may be able to get Disability Living Allowance (DLA). It providesa contribution towards the extra costs faced by people with asevere disability. You do not need to have paid National Insurancecontributions. Entitlement to DLA depends on how much supervisionor help with personal care you need and whether you have difficultywalking. It has two parts:●●a care component (payable at one of three rates); anda mobility component (payable at one of two rates).If you are getting DLA when you reach age 65 it can continue to bepaid for as long as you need help.DLA is not treated as income when your Pension Credit is workedout. In some cases, you may even be entitled to more Pension Creditif you get DLA (for example, you may qualify for the extra amountfor severe disability: see pages 14 to 15).For more information, see leaflets SD1 Sick or disabled or HB5 A guideto non-contributory benefits for disabled people and their carers.Carer’s AllowanceIf you (or your partner) are caring for a severely disabled person forat least 35 hours a week, you (or your partner) may be entitled toCarer’s Allowance. (The person you are caring for must be receivingAttendance Allowance, the middle or highest rate of Disability LivingAllowance care component, or the equivalent rates of ConstantAttendance Allowance.)If you already get another social security benefit (for example, StatePension) you may not be paid any Carer’s Allowance if the otherbenefit is higher. However, if you claim Carer’s Allowance, and areentitled (even if it is not paid), your Pension Credit would include theextra amount for carers (see page 15).If the person you care for is getting Pension Credit which includesthe extra amount for severe disability, or an income-related benefitwhich includes the severe disability premium, their benefit could be92

Other social security benefits and further helpaffected if you are paid Carer’s Allowance. It will not be affected ifyou are entitled to Carer’s Allowance but cannot be paid it becauseyou have another higher benefit.For more information, see leaflets SD4 Caring for someone? or HB5 Aguide to non-contributory benefits for disabled people and their carers.Incapacity BenefitIf you (or your partner) are under State Pension age, are incapableof work and have paid enough National Insurance (NI) contributions,you may be able to get Incapacity Benefit. (It will be taken intoaccount when your Pension Credit is worked out.)It is paid at three rates:●●●first 28 weeks of sickness – short-term lower rate;from weeks 29–52 – short-term higher rate; andafter one year – long-term rate.If you get Incapacity Benefit you may be credited with NIcontributions which could help towards State Pension.For more information, see leaflet SD1 Sick or disabled.Jobseeker’s AllowanceJobseeker’s Allowance (JSA) is for people under State Pension agewho are available for and actively seeking work. There are two typesof JSA.Contribution-based JSAThis can be paid for up to six months if you have paid enough NIcontributions. If you or your partner get contribution-based JSA, itwill be taken into account when your Pension Credit is worked out.Income-based JSAThis is means-tested, so if you or your partner are getting PensionCredit, neither of you will be entitled to income-based JSA. Men agedbetween 60 and 64, who are not getting Pension Credit, can chooseto claim income-based JSA instead of Pension Credit.For more information about JSA contact your local Jobcentre orJobcentre Plus office.93

Other social security benefits and further helpFurther helpThis part of the guide describes some other types of help you maybe able to get. There is a wide range of other help available forpensioners, ranging from free TV licences for people aged over 75 torenovation grants for improving your home. Information about theseschemes, and other services for pensioners, is in PG1 (or PG3 inScotland) Pensioners’ guide. You can get a copy from The PensionService or from the Post Office® or by phoning 0845 6065 065.It is also on the internet at www.info4pensioners.gov.ukHelp with National Health Service (NHS) chargesIf you get Pension Credit which includes the guarantee credit, youcan also get:●●●●●free NHS dental treatment;free NHS sight tests;vouchers towards the cost of glasses or contact lenses;repayment of necessary travel costs to hospital and back forNHS treatment; andfree NHS wigs and fabric supports.If you have a partner who is aged under 60, they will be entitled tofree NHS prescriptions. (People aged over 60 get these anyway.)You may be able to get some help with these costs even if you donot get the guarantee credit.The leaflet HC11 (HCS1 in Scotland) Help with health costs givesmore information and tells you how to claim.Help with the cost of prison visitsIf you get Pension Credit you can also get help with the cost oftravel to visit a close relative in prison. Ask us for form F2022before you go.For more information write to:APUPO Box 2152Birmingham B15 1SD94

Other social security benefits and further helpHelp if you or your partner are workingIf you or your partner work 16 hours a week or more, you maybe able to get Working Tax Credit. If you do, it will be taken intoaccount in your Pension Credit assessment, but you may find thatyou are better off overall.Working Tax Credit is run by the Inland Revenue. To find out morephone the Tax Credit Helpline on 0845 300 3900.Help if you care for a child or childrenPension Credit does not include money for children, but if you aregetting Child Benefit for a child or young person who is living withyou, you may be able to get Child Tax Credit. This scheme is run bythe Inland Revenue and will not affect your Pension Credit.To find out more phone the Tax Credit Helpline on 0845 300 3900.If you get Child Tax Credit for a child aged under five, and yourincome for tax credit purposes is £13,480 or less, you may also getmilk tokens. These can be exchanged for seven pints of milk a weekor 900g of infant formula if the child is aged under one and notbeing breastfed.If you are getting Pension Credit which includes the guaranteecredit and a member of your family is pregnant, they may claimmilk tokens. Pick up a leaflet in your GP surgery or ask the midwifefor details.If the child’s parents (or other parent) live elsewhere, and you do notget any maintenance payments from them, the Child Support Agencymay be able to help. The Child Support Agency is responsible forcalculating, collecting and enforcing payment of maintenance forchildren in many cases.The leaflet CSL101 For parents who live apart gives more informationabout child support.95

Further informationSocial security guides and leaflets and whereto get themGuidesThe guides in this list are similar to this one and give detailedinformation on particular benefits or benefit areas. They are forprofessional and voluntary advisers and for members of the publicwho want to know more about social security benefits.Going into hospital? (GL12)A guide to non-contributory benefits for disabled people andtheir carers (HB5)A guide to maternity benefits (NI17A)A guide to revision, supersession and appeals (NI260DMA)A guide to bereavement benefits (NP45)A guide to State Pensions (NP46)A guide to Housing Benefit and Council Tax Benefit (RR2)A guide to the Social Fund (SB16)Other leafletsThere are a number of other leaflets about social security, includingthe following.96Pension Credit (PC1L)What to do after a death in England and Wales (D49)What to do after a death in Scotland/Social security supplement (D49S)Carer’s Allowance (DS700)Attendance Allowance (DS702)Disability Living Allowance (DS704)Help with your council tax (GL17)Help from the Social Fund (GL18)A helping hand for benefits (GL21)Social security benefit rates (GL23)If you think our decision is wrong (GL24)

Further informationPrisoners and their families (GL32)Help with health costs (HC11. HCS1 in Scotland)Home owners – help with housing costs (INF8(PC))Third Party Deductions Scheme (IS9)A guide to benefits (MG1)Sick or disabled (SD1)Caring for someone? (SD4)Funeral Payment claim pack (SF200)Winter Fuel Payments (WFPL1)Notes about War Disablement and War Widow’s Pensions (WPA leaflet 1)Rates of War Pensions and allowances (WPA Leaflet 9)You can find a full list of social security leaflets in A catalogue ofleaflets and posters (CAT1).All the guides and leaflets mentioned are free of charge.Where to get themSocial security guides and leaflets can be downloaded from the DWPwebsite (www.dwp.gov.uk). Some are also available from socialsecurity offices, pension centres, Jobcentres or Jobcentre Plus offices.For your nearest social security office, Jobcentre or Jobcentre Plusoffice, look for the display advert under Jobcentre Plus in thebusiness numbers section of the phone book.You can also get more information from the DWP website(www.dwp.gov.uk) or The Pension Service website(www.thepensionservice.gov.uk).Some guides and leaflets are also in Post Offices®. Guides andleaflets on Housing Benefit and Council Tax Benefit are also availablefrom your local authority. Some advice centres also hold stocks ofguides and leaflets.Community advisers who belong to an organisation that givesbenefits information to the public can join the DWP PublicityRegister. The Publicity Register gives advisers access to informationfrom The Pension Service, Jobcentre Plus and other parts of DWP.To join call 0845 602 4444 (between 9am and 6pm, Monday toFriday) or fax 0870 241 2634.97

Further informationAdvice for people with disabilitiesA confidential telephone service – Benefit Enquiry Line (BEL)0800 88 22 00 (textphone for deaf and hard-of-hearing people0800 24 33 55) – helps people with disabilities and their carers. BELcan provide information on local support groups and help fill outdisability claim forms over the telephone. Calls to BEL are free inthe UK except from some mobile phones.Detailed informationThis guide is only an introduction to Pension Credit: it has no statusin law. For more detailed information on Pension Credit, includingthe full legislation, you may want to consult some of thefollowing publications.The legislation: Acts and RegulationsThe State Pension Credit Act 2002 sets out the basis of the PensionCredit scheme.The Social Security Administration Act 1992 and the Social SecurityAct 1998 set out the basis for social security administration. TheseActs were amended by the State Pension Credit Act to includePension Credit.The Acts lay down the framework of the scheme and itsadministration. The more detailed rules of the scheme, and the rates,are set out in Regulations. Regulations are approved by Parliamentand are published as Statutory Instruments (SIs).The Regulations which set out the details of the Pension Credit schemeare The State Pension Credit Regulations 2002 (SI 2002 no 1792).These Regulations have been amended (changed) by the followingStatutory Instruments (SIs):98SI 2002 no 3019SI 2002 no 3197SI 2003 no 1195SI 2003 no 2274SI 2004 no 647SI 2004 no 1141SI 2004 no 1232

Further informationWhere to get copies of the Acts and RegulationsYou can buy copies of the Acts and all the Regulations throughbookshops or direct from The Stationery Office (TSO). They are alsoavailable on the HMSO website (www.hmso.gov.uk). Many librarieswill also hold copies for you to consult. However, these copies will beas they were originally published. Both Acts and Regulations may beamended from time to time, so you will need to be sure that youlook at the amendments too.The ‘blue volumes’The Acts and Regulations are also published in a series of loose-leafbooks, The Law relating to Social Security (also called the ‘bluevolumes’), which are published by TSO. Pension Credit legislationis in volume 12.The relevant Acts and Regulations are indexed and kept up to dateby regular supplements. The blue volumes are easier to use than theoriginal Acts and Regulations because amendments are included.You can consult a copy at a social security office, Jobcentre orJobcentre Plus office. Larger libraries may also have a copy, or youcan buy one direct from TSO. You can also access a copy in theresource centre on the DWP website (www.dwp.gov.uk) under ‘thelaw volumes’.The Decision Makers’ GuideThe Decision Makers’ Guide (DMG) gives guidance to decision makerson the interpretation of the law for all benefits. Pension Creditguidance is in volumes 13 and 14. The DMG aims to ensureconsistency in decision-making throughout the country.You can consult a copy of the DMG at a social security office,Jobcentre or Jobcentre Plus office. There is also a copy in theresource centre on the DWP website (www.dwp.gov.uk).The Social Security CommissionersThe role of the Social Security Commissioners is to decide appeals ona point of law from decisions of Appeals Tribunals. Reported decisionsof the Commissioners deal with matters of important legal principlesand must be followed by decision makers and Appeals Tribunals. The99

Further informationdecisions are published individually by TSO and are gatheredtogether and published as Reported Decisions of the Social SecurityCommissioner, also by TSO.There is also a copy in the resource centre on the DWP website(www.dwp.gov.uk).The Acts and Regulations referred to in this guideThe Acts and Regulations referred to in this guide are listed below,together with the abbreviations used in those references.The number shown in a reference is the section of an Act or theparticular regulation in a set of Regulations. For example:●●‘SPCA s2’ is a reference to section 2 of the State Pension CreditAct 2002; and‘SPCR 6(2)’ is a reference to regulation 6(2) of the State PensionCredit Regulations 2002.Some Acts and sets of Regulations include Schedules. References tomaterial in Schedules include the abbreviation ‘sch’. For example:●‘SPCR sch II para 6’ is a reference to paragraph 6 of Schedule IIto the State Pension Credit Regulations 2002.ActsSPCA The State Pension Credit Act 2002SSAA The Social Security Administration Act 1992RegulationsCERC+P RPORThe Social Security (Computation of Earnings)Regulations 1996The Social Security (Claims and Payments) Regulations1987The Social Security (Payments on account, Overpaymentsand Recovery) Regulations 1988SPCR The State Pension Credit Regulations 2002100

Indexabroadcoming from . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 67–71going. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 62, 72–3, 82absence from home, temporary . . . . . . . . . . . . . . . . . . . . . . . . . . . 17, 23, 72–3ageassessed income period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59, 64, 83Pension Credit eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 11, 48, 50savings credit eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25, 44Age-related payment 2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90agents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56annuities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 28, 31, 32, 61, 64–5, 66appeals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52, 64, 85applying for Pension Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48–50appropriate amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 13–14and guarantee credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74–6and Pension Credit calculations (examples) . . . . . . . . . . . . . . . . 45–7and savings credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44see also extra amounts for carers; extra amounts for housingcosts; extra amounts for severe disability; standard amounts;transitional extra amountsArmed Forces Compensation Scheme . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 31arrearsbenefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39–40, 66, 84, 85Council Tax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57mortgage repayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58assessed income periods . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59, 61, 64–6, 83Attendance Allowance (AA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53, 91–2disregarded income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 33, 39and extra amounts for carers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15and extra amounts for housing costs . . . . . . . . . . . . . . . . . . . . . . . . 22and extra amounts for severe disability . . . 14, 15, 74, 75, 76, 78, 83bankruptcy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27banks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54, 55, 56Benefit Enquiry Line (BEL) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98Bereavement Payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30‘blue volumes’ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99boarders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 32, 36101

Indexbonuses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28Budgeting Loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88–9building societies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54, 55, 56businesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17capital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 11, 13, 14, 34–43, 86, 87assets, calculation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40–43and care homes, living in . . . . . . . . . . . . 11, 27, 35, 41, 42, 43, 61, 77change in circumstances . . . . . . . . . . . . . . . . . . . . . . . . . . 61, 64, 65, 66deemed income from . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 35, 41–3, 44definition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34–5disregarded . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11, 36–40earmarked . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37notional . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35–6care homes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24, 65, 67, 74, 76, 77–8, 82and capital . . . . . . . . . . . . . . . . . . . . . 11, 27, 35, 36, 41, 42, 43, 61, 77definition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77carers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33see also extra amounts for carersCarer’s Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92–3and extra amounts for carers . . . . . . . . . . . . . . . . . . . . . 15, 74, 75, 76and extra amounts for severe disability . . . . . . . . 14, 15, 75, 78, 83underlying entitlement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15, 74change in circumstances . . . . . . . . . . . . . . . . . . . . . . . . . . . 59–63, 64, 65–6, 84see also special situationsChannel Islands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 68, 69chequeslost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56payment by . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55–6Child Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19, 21, 22, 30, 39, 95Child Support Agency . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95Child Tax Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39, 95childcare, help with . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95childminders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29children . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11, 18, 19, 21, 22, 24, 33, 82, 95Child’s Special Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30Christmas Bonus . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30102

IndexCivil List pensions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26claiming Pension Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48–50coastguards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34cohabitation see couples, unmarriedCold Weather Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 39, 87–90combined payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53commissions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28common travel area . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68, 69, 70‘commonlaw’ marriage see couples, unmarriedCommunity Care Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88Community Charge, non-payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57compensation payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 27, 31, 38, 39Constant Attendance Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 92co-ownership charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 20Council Tax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 86–7arrears . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57Council Tax Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 30, 36, 68, 79, 86–7arrears . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39and Funeral Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88overpayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84–5couplesassessed income periods . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64capital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35, 36care homes, living in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77definition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28, 29, 33, 34, 60extra amounts for carers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15, 75, 76extra amounts for housing costs . . . . . . . . . . . . . . . . . . . . . . . . . 16–17extra amounts for severe disability . . . . . . . . . . . . . 14–15, 74–5, 76and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74–6income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28living apart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 37, 67, 72–3, 82Pension Credit eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11, 48savings credit calculations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44savings credit starting point . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25, 45standard amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 45unmarried . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 67, 80–2Criminal Injuries Compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38Crisis Loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56, 80, 88–9Crown tenancy charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 20103

Indexdeath . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15, 38, 39, 63, 88Decision Makers’ Guide . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99decisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51–2, 64, 69, 81appeals against . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52, 64, 85deductions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20, 21, 57, 58, 84–5, 87, 89deemed income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13, 27, 35, 41–3, 44Department for Work and Pensions (DWP). . . . . . . . . . . . . . . . . . . . . . . . . . . . 2website . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3, 91, 97dependency increases . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 31disability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18, 22, 33, 40, 56, 57advice on . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98see also extra amounts for severe disabilityDisability Living Allowance (DLA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92disregarded income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 33, 39and extra amounts for carers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15and extra amounts for housing costs . . . . . . . . . . . . . . . . . . . . . . . . 22and extra amounts for severe disability . . 14, 15, 74, 75, 76, 78, 83disregards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 33, 39capital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35, 36–40earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33–4income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30–34earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 28–9change in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60disregarded . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33–4eligibility for Pension Creditpeople from abroad. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 67–71special situations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67–83employment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28–9, 34, 60, 62, 95endowment policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17equity release schemes . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 36, 61, 64–5, 66error . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39–40Exceptionally Severe Disablement Allowance . . . . . . . . . . . . . . . . . . . . . . . . 30extra amounts for carers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13, 15, 24, 33and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74, 75, 76extra amounts for housing costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 16–24change in circumstances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61–2eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16–17and interest payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17–19and loans for repairs and improvements . . . . . . . . . . . 16, 18, 19, 20104

Indexand non-dependants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22, 32and polygamous marriage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18special situations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23–4extra amounts for mortgage interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58extra amounts for severe disability . . . . . . . . . . . . . . . . . . . . . . . 13, 14–15, 24and care homes, living in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78change in circumstances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62higher rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 15and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74, 75, 76lower rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 15and polygamous marriage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83family circumstances, change in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62–3Far Eastern Prisoners of War Payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28fire-fighters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33foreign benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 30, 31Funeral Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88funeral plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38Great Britain (GB) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3coming to . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9, 12, 67, 68leaving . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7, 62, 67, 72–3, 82living in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7, 9, 12gross earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28–9ground rents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 20guarantee credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9, 10, 13–25, 58, 87calculation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74–6income calculation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26–34and NHS charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94Guardian’s Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30guardians, legal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57guides, social security . . . . . . . . . . . . . 3, 13, 52, 76, 81, 87, 91, 92, 93, 94, 96habitual residence . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 67, 68, 69–70Health Literature line . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78hire purchase interest payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 20home circumstances, change in . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61–2home income plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32105

IndexHome Officewebsite . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67Worker Registration Scheme . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69home ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 23, 36, 37, 77home visits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51homelessness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67, 80homesmore than one . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23and businesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22, 25, 62, 67, 73–6Housing Benefit . . . . . . . . . . . . . . . . . . 14, 16, 18, 20, 30, 36, 68, 76, 79, 86–7arrears . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39and custody, going into . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79and Funeral Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88overpayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84–5housing costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17–19, 76high . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21see also extra amounts for housing costshumanitarian protection . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69, 70identity, proof of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55–6immigration status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 67–71Incapacity Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33, 34, 93income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 11, 14, 26–34calculating . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26–43change in circumstances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60–61deemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13, 27, 35, 41–3, 44definition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26–8disregarded . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11, 27, 30–34non-weekly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28notional . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28qualifying for savings credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34self-employment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29, 34see also capitalIncome Support . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 34, 40, 53, 73, 79arrears . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39and non-dependants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22and transitional extra amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24industrial injury benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 30Inland Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95insurance policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17, 37, 38106

Indexinterestpayments . . . . . . . . . . . . . . . . . . . . . . . . . 16, 17–20, 21, 32, 57, 58, 79rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18, 19interim payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90–91Intermittent custody . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79–80interviewsPension Credit applications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51residence status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70Invalid Care Allowance see Carer’s Allowanceinvestments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 34, 49Ireland, Republic of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 68, 69Isle of Man . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4, 12, 68, 69Jobcentre/Jobcentre Plus . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3, 87, 88, 93, 97Jobseeker’s Allowance . . . . . . . . . . . . . . . . . . . . . . . . . 14, 34, 40, 53, 73, 79, 93arrears . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39and non-dependants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22and transitional extra amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24joint appropriate amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10land ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 35, 36leaflets, social security . . . . . . . . . . . . 3, 11, 17, 45, 49, 52, 57, 58, 63, 78, 8788, 90, 91, 92, 93, 94, 95, 96–7legal guardians . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57legislation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3, 98–100lifeboat service crew . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34living together see couples, unmarriedloans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56, 80, 88–9business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17, 29housing . . . . . . . . . . 16, 17–18, 19, 20, 21, 32, 36, 37, 57, 58, 61, 79lodgers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 32, 36lone parents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33, 37lump-sum payments . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 31, 35, 36, 38–9, 40maintenance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 34, 57, 67, 95marriage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62Maternity Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34see also Sure Start Maternity Grantsmental illness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57, 79milk tokens . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95Mobility Supplement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 33107

Indexmortgages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 17, 20, 21, 57, 58, 79National Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9, 29, 60National Savings Certificates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41NHS charges, help with . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94NHS nursing homes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77non-dependants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17, 22, 86, 87Northern Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3, 4, 72occupational pension schemes . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 27, 28, 29order books . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60, 63Overage Infirm Allowances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26overpayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57, 59, 66, 84–5partners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28definition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73–6paydays . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53payment, Pension Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53–8payments in kind . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29payments on account . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90–91Pension Creditapplying for . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48–50arrears . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39calculations (including examples) . . . . . . . . . . . . . . . . . . . . . . . . . 44–7couples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10deductions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 11–12interim payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90–91payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53–8rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45small amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53Pension Service . . . . . . . . . . . . . . . . . . . . 2, 57, 58, 63, 80, 87, 94/ website 97pensions, other . . . . . . . . . . . 10, 26, 27, 28, 29, 30, 31, 32, 53, 61, 64–5, 66personal injury payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31, 38, 40personal pension plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28personal possessions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36personal/private pension schemes . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 27, 29polygamous marriage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22, 67, 83108

IndexPost Office® . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97card accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54, 55prison visits, help with costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94prisoners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22, 25, 67, 78–80, 82of war, former . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38private/personal pension schemes . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 27, 28property ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 35, 36–7, 40–41public lending rights payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 28Public Trust Office . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57Publicity Register . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97qualifying income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25, 34, 44refugee status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69, 70religious orders, members of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12, 25rent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 86payment in advance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23rentcharges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 21reserve forces . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33residence status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11, 12, 68–70Residential Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24respite care . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77retainers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28retirement annuity contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 28right to reside . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68–9royalty payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 28, 34same-sex relationships . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 11savings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10savings credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9, 10, 13, 25, 58, 87calculation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44–7examples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45–7and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76income calculation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34savings credit starting point . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 25, 44, 83Scotland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2, 3, 4care homes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77Council Tax Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 87croft rental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16109

IndexOffice of the Public Guardian . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57property ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41Second World War compensation payments . . . . . . . . . . . . . . . . . . 26, 31, 38self-employment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29, 34service charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 20Severe Disablement Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33, 34Severe Disablement Occupational Allowance . . . . . . . . . . . . . . . . . . . . . . . . 31sick pay . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28single parents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33, 37single people . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10capital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35disregarded earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34and extra amounts for carers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74extra amounts for severe disability . . . . . . . . . . . . . . . . . . . . . . . 14, 74and hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74Pension Credit eligibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48on remand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79savings credit calculations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44savings credit starting point . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25, 45standard amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 45transitional extra amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74treatment as . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 74, 75, 76, 82site rents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 21Social Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23, 30, 39, 56, 57, 79, 80, 87–90social security benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 30, 53, 61, 86–93overpayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57, 59, 66, 84–5Social Security Commissioners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99Social Services/Social Work Department . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78special occupations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33–4special situations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67–83care homes, living in . . . . . . . . . . . . . . . . . 24, 65, 67, 74, 76, 77–8, 82homelessness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67, 80hospitalisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22, 25, 62, 67, 73–6housing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23–4imprisonment . . . . . . . . . . . . . . . . . . . . . . . . . 22, 25, 67, 78–80, 82, 94living apart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 37, 67, 72–3, 82polygamous marriage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22, 67, 83unmarried couple . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10, 67, 80–82special trust payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38–9110

Indexsponsored immigrants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71standard amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13, 14, 16, 24, 44, 83and Pension Credit calculations (examples) . . . . . . . . . . . . . . . . 45–7standard interest rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19State Pension . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 28, 53structured settlements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31students . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22subletting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 32, 36Supporting People scheme . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20, 40Sure Start Maternity Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89see also Maternity Allowancetax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29, 60Tax Credit Helpline . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95temporary absence from home . . . . . . . . . . . . . . . . . . . . . . . . . . . 17, 23, 72–3tent charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16, 21Territorial Army . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33third-party payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 57, 58transitional extra amounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14, 24–5, 74, 76tribunals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52, 99trust fund payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 28, 31, 32, 38, 40underlying entitlement to Carer’s Allowance . . . . . . . . . . . . . . . . . . . . . . 92–3United Kingdom . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4, 12, 71vouchers, non-cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29Wales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2, 3, 4, 48, 67, 77War Disablement Pension . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 30, 31War Pension . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32War Widow’s Supplementary Pension . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 39War Widow’s/Widower’s Pension . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26, 31Widowed Mother’s Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31Widowed Parent’s Allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31Winter Fuel Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30, 39, 89Helpline . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89work see employmentWorking Tax Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27, 33, 34, 95Workmen’s Compensation Scheme . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26Youth Training allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22111

You can access this leaflet on the internetat www.thepensionservice.gov.ukISBN: 1-84388-397-X© Crown copyrightProduced by The Pension Service, part of theDepartment for Work and Pensions.Printed in the UKApril 2005.PC10SGeneral enquiries 0845 60 60 265(textphone users call 0845 60 60 285)www.thepensionservice.gov.uk