Query re ESA to UC migration - SDP, EDP, PIP

Hi,

I'd be really grateful for comments on a rather complex benefits situation - I have discussed with my local CAB in Bath (really excellent, thanks all!) but some questions are not yet resolved. Please excuse the excessive level of detail!

Current situation

I'm male, age 57, widowed in 2010 and living alone in privately rented 2-bed flat, unable to work due to head injury in 2014
House is home for 21 year old daughter for a few weeks a year during uni holidays - she completes her uni course in 2025. Apart from visits from family I live alone.

PIP recently re-awarded until 2028:

• higher rate daily living
• mobility

Legacy ESA continuing from original award in 2015, confirmed at successful tribunal challenge in Sep 2019:

• standard ESA
• ESA Enhanced Disability Premium
• ESA Severe Disability Premium

Sold house in Worcester in Dec 2021, moved to Bath to be near friends and family. Equity from house sale initially held by solicitor, who then required that it be moved into a personal bank account. The DWP have been informed of this situation by phone.

Bath (BANES) Council are not providing Housing Benefit, as this would require a new claim, which they are unable to open.

There is no indication that managed migration to UC will be happening any time soon.

Assets

house equity
very small personal pension (SIPP), from which £5800 has been drawn down a few weeks ago

Debts

substantial credit card and overdraft balances to pay for work on the house before selling it

Questions

1. Is there any viable option other than to apply for Universal Credit? This would:
   • be without the transitional protection that would come from managed migration
   • be with the risk that the EDP and SDP premiums are not matched by equivalents in UC LCWRA (not at all sure how this works!)
   • be with the risk that the house equity fund is considered "savings", disqualifying all support
   • allow a claim for UC Housing Element


2. Can I draw down funds from the pension to pay off the bank and credit card debts, or would this count as income?


3. Is there a realistic prospect of a managed migration, providing transitional protection, rather than a natural migration? If so, how could one be requested?


4. If there is no better option, what should be the request when making the UC application? What are the equivalent UC packages to SDP and EDP, if any?


5. If I do apply for UC, is the recommendation to do this during a meeting with CAB, or by myself?

The intention is to apply for support from the HOLD scheme to buy a flat, potentially with a shared equity arrangement via MySafeHome or similar - but for these applications to be accepted the finances must first be brought into a sustainable state. The current situation has only been sustained with extensive borrowing from family.

Any ideas or suggestions would be really welcome.

Kind regards,
Thos

Hi Gordon,

Thanks very much for the reply - it is indeed complex, I had a lengthy meeting with CAB who were in the end unable to offer firm advice. Re your specific points:

- I was not aware that my debts will not be taken into account - thank you

- my only assets are a pension and the equity from sale of my house, which was initially lodged with a solicitor until they required me to move it to a current account -I set up a new account and have not touched it since then
- I receive income related ESA and am not eligible for contributions based ESA (I have been unable to work since 2015)
- I have a note of the date of the phone call with the DWP, and of the name of the person I spoke to

If I make the UC application myself online, will I be able to attach a document explaining these complexities? Would you recommend making the application at CAB?

Due to a head injury I am only intermittently able to deal with anything this complex, and am very concerned that I have not yet found anyone who can offer definite advice. I am not at all sure I'm making sound decisions and am aware that I could lose all of the equity in the house, and then be in a position where I cannot manage financially and be in a very difficult situation. When you said a "trained Welfare Advisor", were you thinking of someone at CAB, or are there other organizations that would be better able to advise about this rather complex case? I'm also contacting Scope to see if they might be able to advise.

Thanks again for your help.

-- T

Thanks all - Scope have been really helpful and are familiar with enough of these issues that they were able to make some suggestions. Gary, Gordon - I really appreciate you taking the time to look through this. It looks as though the best option is to move ahead with a HOLD application as soon as possible and not to apply for UC at present.

Kind regards,
T

I finally got migration transitional protection from ESA to UC (when I had to move home) a couple of years ago now but was told that every time my UC increases, the transitional protection amount will decrease until I’m not getting it anymore. It has decreased since I first got it. I’ve always wondered if what they are doing is right? As surely that payment is supposed to be protected?