Reply To: Capital / UC

Peter Barker

Hi Tracey

I couldn’t find a link to your current scheme, but I’ve had a look at your 2024/25 scheme, unfortunately the rules about income for UC claimants are a bit of a mess. It says you *may* use DWP’s income assessment, and you *may* include UC as income, but you *must* adopt DWP’s capital calculation. Make of that what you will.

I know the banding is new for 24/25, but if the income rules are carried over from the existing scheme, which is the one that applies in the case you are asking about, your scheme is incoherent I’m afraid.

In a conventional scheme, the increased tariff income reduces UC entitlement £1 – for – £1 and the combined amount of UC plus DWP’s income assessment is unchanged. The only income change requiring a fresh CTS determination would be a change to the claimant’s earnings.