When I first applied for ESA in 2013 I was on contribution based. It was a long wait for the medical assessments and in that time my contributions ran out and I was automatically switched to income based. Few months later I had the assessment and was placed in the support group and received a back payment for the support group. After the support group decision, I'm not sure if I was put back onto contribution or they kept me on income based, but I'm assuming they kept me on income based. Very soon I will be getting an inheritance which will just tip me over the 16k threshold. I'm just wondering can I go back onto the contribution based as I'm aware this is not means tested?
From your post, it sounds like you are receiving what is now called legacy ESA this is a single benefit with payments based on your household income and assets and/or your Contribution history.
So yes, if you exceed the £16,000 limit you will lose entitlement to the ESA(IR) component but will remain entitled to the ESA(CB) part.
Gordon
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