Can anyone help me on this one.

I have a client who is working, is a single parent and is in receipt of CTC and WTC. Her two children have savings over £3,000 and have had the savings for some years.

I have advised client to claim HB and CTB as her income is low, however, she is worried that if she provides details of her children's savings on her current HB/CTB claim form it may transpire that she was overpaid HB/CTB in previous claim years when she was in receipt of IS.

Is it likely that my client been overpaid HB/CTB (she was getting maximum HB/CTB)when she was getting IS and her children had savings exceeding £3,000, which were not declared in the benefit years 2003/04 and 2004/05 ?

The decision will be one for the DWP not the LA unless the LA has convincing evidence that she obtained IS fraudulently since all income and capital is disregarded for HB/CTB purposes when the claimant is getting IS. (se R v Penwith DC ex p Menear (1990) and R v South Ribble DC HBRB ex p Hamilton (2000)

Were the children included in the IS claim or did she claim tax credits? Capital is ignored for tax credits although any interest earned from it counts as income.

She has nothing to worry about the children were not included in her IS claim and she was getting child tax credit.

I have sent both Menear and Hamilton to rightsnet

Thanks very much to stainsby,

R v Penwith DC ex p Menear (1990)

and

R v South Ribble DC HBRB ex p Hamilton (2000)

are both now available on rightsnet.