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Legacy benefit loss in transition - any other options??
Client in receipt of ESA (Enhanced) approx £816 pm
Also PIP Standard for mobility and standard care.
Very sadly, he has to move into privately rented accommodation due to the death of a relative with whom he lived.
He has managed to retain legacy benefits until now - claiming Universal Credit for the housing allowance for the new rental means that he loses monies.
Is there any way around this at all?
I am aware that this is a well known issue but don’t want to advise to make a new claim for UC unless there is a way of claiming HB .
Many thanks in advance
If he was to become homeless and allocated temporary accommodation he could claim HB for that, and subsequently keep that HB claim going (provided his new permanent home is within the same LA).
If he was getting HB and has moved within the council area, then his HB award could continue and it would just be a change of address. I am guessing this is not the case as he was living with a relative who died.
Or if he is in supported or temporary accommodation, he can claim HB.
Otherwise;
There was a rule that people who were getting the Severe Disability Premium could still make new claims for legacy benefits, but this came to an end about 18 months ago.
It sounds like your client is getting ESA with the support component, enhanced disability premium and severe disability premium for £204.75 per week - which I make at £887.25 per month.
If he went over to UC, he would get the standard allowance, LCWRA element and compensation for the loss of SDP of £120 per month initially making £809.19 per month (excluding housing costs).
So there is a loss of £78.06 per month at least in terms of what he will have in his pocket.
But in practical terms, he will be better off claiming UC and therefore getting something towards his rent than the only other option, which is to remain just on ESA and get nothing towards his rent.
Am not sure becoming homeless and living in b+b is quite the answer.. but thank you.
I just wanted to ensure that I have understood the implications of applying for UC
Many thanks
Many thanks - really helpful advice. Greatly appreciated