Moving back to UK from France

stphnstevey

My parents moved to France from the UK. However they have found now that their health is deteriorating and they need to move back to the UK to have NHS treatment. They do get 70% off French healthcare, but still find this quite a burden.

I was wondering if I could rent them a house I currently rent out to other tenants and if so, if they could claim any extra benefits.

I understand this depends alot on their savings and I think the limits are £6000, with the benefit decreasing the more over £6000 they have.

Assuming they had below £6000, I think they would be entitled to the below benefits:

- Housing benefit - (think now called something like housing allowance and believe they would only be entitled to a set amount for one bedroom property?

- Pension credit - my dad gets full pension and mum a reduced pension due to not enough Nat Ins payments - think this credit would bring them both upto around £130 per week each?

- Council Tax Benefit - upto 100% depending on circumstances?

Does property count towards savings and how does this work?

thanks for any help, much appreciated

skint-student-nurse

try entitledto.com for what you could be able to claim but i dont think HB is payable to people who rent out from family in my experience. HTH

paulrn_2

I am obviously feeling grumpy today so sorry in advance. But you seem to be saying that someone can leave this country for "greener" pastures and then want us to pay for everything when they come back. I assume they have a house in France so will have assets. I also believe that there is a residency clause about having had to be back for 6 months to get NHS and benifits etc. Funny how bad this country is until people are ill or hard up, they all come back then.

seven-day-weekend

They will have to pass the Habitual Residency Test if they are applying for means-tested benefits. This involves them proving that they intend to remain in the UK permanently for the forseeable future. This can be done by having a rental contract or mortgage, bank accounts, Drs, dentists, etc. It is possible for returning British expats to fail the HRT; I know someone it has happened to and he is not entitled to any Benefits as he has failed to convince the authorities that he is in the UK to stay.

http://www.multikulti.org.uk/habitual-residence-test-and-right-to-reside/english/index.html

If they are entitled to Benefits, Pension Credit will make their JOINT income up to around £200. The house in France will be counted as capital for means-tested purposes.

As regards medical treatment, they will need to register with a Doctor, I don't think there is a minimum time limit for this, although it may be a good idea to give the CAB a ring. I had no trouble re-registering last year when I became UK resident again, although I had already been in the country for four months and didn't need to claim any State benefits. It may be different if you have only just returned.

If they are entitled to Benefits, then AFAIK there should be no problem with claiming HB to rent a house from yourself PROVIDING that it is a proper commercial tenancy, that the house has been rented before and will be again should they leave, if they are treated like any other tenant (i.e. issued with a rental contract, rent book etc, and evicted if they do not pay), and that it can be proved to be not a contrived tenancy (i.e. one that is set up just so that they can claim Housing Benefit/Local Housing Allowance).

Hope this helps.

moneypanicker

Yes, they have to have been living in Uk for at least 6 months to be able to access NHS. They will be classed as a french resident.

kalaika

stphnstevey wrote: »

My parents moved to France from the UK. However they have found now that their health is deteriorating and they need to move back to the UK to have NHS treatment....

In addition to the benefits mentioned by SDW above, your parents moved abroad and so may not be entitled to NHS treatment on their return. Just because they have UK passports does not automatically entitle them to it:


Living abroad

If you move away from the UK permanently, you will no longer be entitled to medical treatment under normal NHS rules. You will also no longer be entitled to use your UK-issued EHIC (European Health Insurance Card) to get healthcare abroad.
However, if you receive a UK state pension or long-term incapacity benefit, you may be entitled to state healthcare paid for by the UK.
http://www.nhs.uk/chq/Pages/1963.aspx?CategoryID=68&SubCategoryID=159

ETA: Cross posted wth your last post

Oldernotwiser

kalaika wrote: »

In addition to the benefits mentioned by SDW above, your parents moved abroad and so may not be entitled to NHS treatment on their return. Just because they have UK passports does not automatically entitle them to it:


Living abroad

If you move away from the UK permanently, you will no longer be entitled to medical treatment under normal NHS rules. You will also no longer be entitled to use your UK-issued EHIC (European Health Insurance Card) to get healthcare abroad.
However, if you receive a UK state pension or long-term incapacity benefit, you may be entitled to state healthcare paid for by the UK.
http://www.nhs.uk/chq/Pages/1963.aspx?CategoryID=68&SubCategoryID=159

ETA: Cross posted wth your last post

That paragraph refers to a UK citizen living abroad, not if they return to the UK.

There should be no problem using the NHS immediately as the UK has been funding their healthcare in France anyway.

Caz3121

stphnstevey wrote: »

My parents moved to France from the UK. However they have found now that their health is deteriorating and they need to move back to the UK to have NHS treatment.

Are they moving back to the UK on a permanent basis and selling up fully in France or are they coming back for their treatment with the intention to return?

If the former, and they can pass the HR test then the property in France 'may' be ignored for benefits purposes for a period of 6 months as long as it is up for sale and they can show they are makking every attempt to sell it

If the latter they will not pass the HR test and will have no right to means tested benefits

Jowo_2

Yes, a landlord can rent their property to close relatives, so long as they don't live in the same property, and it's not a 'contrived tenancy', one that's been set up to exploit the Housing Benefit system. It has to be a proper, commercial tenancy not done informally - at the very least you will need to issue an AST.

New claims for HB for private tenants are made as 'Local Housing Allowance'. Look at the LHA direct website to see the maximum rate they would get for the size of property they are eligible for (1 bedroom self-contained). How many bedrooms does your house have as they'll only get a rate equivalent to the 1 bedroom LHA rate?Look at your local council website or the Shelter website to understand how this works.

I don't know how the ownership of property (the one in France, I assume?) could affect their claims.

Jowo_2

skint-student-nurse wrote: »

try entitledto.com for what you could be able to claim but i dont think HB is payable to people who rent out from family in my experience. HTH

If the landlord and tenants live in the same property, sharing amenities and they are landlord/lodgers then HB is not permitted.

If the tenants live in a separate property to the landlord and it's a proper tenancy and not contrived, then they can get HB (now LHA). An example of a contrived tenancy, one set up to exploit the HB system, is where the landlord only charges rent when the tenants are eligible for LHA but doesn't when they are working.

stphnstevey

Thanks for all your replies

So if they bought a house in the UK with the proceeds from selling the house in France, would this be classed as an asset for assessment of benefits (eg pension credit and council tax benefit)?

Where does it state the maximum joint income the penrsion credit will make things up to?