This scenario has been put to me - client is on Income Support, inherits a capital share in a house with 2 other sisters, valued at £9k. The house is rented out to an assured tenant, and the rental income continues to go to the client's elderly mother, as it has done for the past 15 years.
Because of the capital rules, Income Support has now ceased, with consequent knock-on effects on Housing Benefit. However, the concern is that their is no access to the capital at all. The obligation for the house to continue to be rented out to provide a retirement income for the client's mother is set out in the will, and the other two parties are, in any case, not willing to sell. Does anyone know caselaw that could be used to argue this capital value should be disregarded for Income Support and Housing Benefit, as it is clearly not accessible for her to live on. As her only source of income was her Income Support, she is now virtually destitute; but the DWP only advised her to force the other parties to sell up, which she is not in a position to do.
Any advice would be appreciated.
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