I have a client who has £3,000 savings herself and only works 18 hours a week, therefore her own savings would not cause a problem. However, her three dependent children have received £10,000 each from a grandparent which is being held in individual accounts under their own names. All funds have been put on 'hold' for 12 months and nobody, not even children or the mother can access the funds. She explained that after a year she will be renewing the annual 'hold’ and will do until the children are old enough to access the funds (sorry I'm unfamiliar with banking terms).

She has delayed claiming HB because she thinks she is not entitled. Therefore, will her dependent children's savings in any way affect her own HB entitlement?

Savings of dependants are now entirely disregarded. A couple of things the LA may be on the look out for are:

1) Are the savings really those of the children?

2) Has the clmt disposed of her own capital (to the children) with obtaining HB/CTB in mind?

If the answer to both the above questions is "no", HB will be unaffected by capital held by the children.

Regards

DOH! Correction....

If the answer to Q1 is "yes", and to Q2 "no", HB will be unaffected by capital held by the children.

Many thanks (and for the correction).