I think there are two different issues here. If the carer has claimed CA without understanding the impact on SDP, then they can simply withdraw their CA claim, and the SDP will be reinstated. Potentially there could be an issue with the lost CA being treated as notional income for MTB purposes, but as the concept of 'notional income' is that you gain more benefit by not applying for some form of income, it shouldn't apply as it is the disabled person who gains benefit. On IS, and CA as notional income, see CIS/16271/1996. As far as I am aware there are no notional income rules in relation to PC. There are in relation to TC, but I am not sure what line HMRC would take on notional income. Not sure if notional income applies to HB/CTB.
If someone has claimed CA, and the disabled person contends that they are not entitled, normally because they are not 'regularly and substantially caring' and they have lost their SDP, then you will need to convince CA that they are not entitled. I have had about 15/20 cases of this type. You need to collect as much as evidence as possible as to why they are not entitled. What the disabled person says is of course evidence, but it useful to get evidence from third parties e.g. relatives, friends etc. CA are, in my experience, somewhat tardy about investigating the allegation, and it has often taken a few months to resolve. They may respond more quickly if you get the MP involved.
|