Annuity & Pension Credit

margaretclare

Errata wrote: »

If your nan is self funding then she's eligible for AA, if she (or someone helps her) to apply for it. At her age she would probably be eligible for the top rate which is c£100 pw.

I agree, if she is paying for her own care then she should certainly be getting AA. The higher rate is for people needing care and attention by day and by night and at present it is £73.60 a week.

An annuity is income and can therefore be means-tested and taxed. AA is non-means-testable and non-taxable, so it is very useful.

An immediate needs annuity is different from an ordinary annuity.

sleepless_saver

sam_yates wrote: »

No she's not getting the attendance allowance as you don't get that if you are in a care home in England.

Yes, she can claim attendance allowance and this would more than make up the shortfall caused by losing the pension credit (which I don't think you have any convincing grounds for appeal against). It's people who are not self funders in E&W who can't get attendance allowance while in residential care. (Sadly in Scotland you do lose AA if a self funder...)

decision makers guide again:

61735 AA or the DLA care component is payable if the person for whom the accommodation is provided is meeting the whole cost of the qualifying services entirely out of their own resources or with the help of another person or charity.

sam_yates

Pollycat wrote: »

Sam
so DWP were aware of this annuity before they granted your Nan Pension Credit (5 or 6 years ago) but now they say she's not entitled to PC - is that true?
What I'm getting at is have your Nan's circumstances changed in any way?

I'm guessing your Nan (at her age) would have had an Assessed Income Period so I'm wondering why they suddenly decided to relook at what they were paying to your Nan.

Have they given a reason for the change of mind?

Yes, my mum declared everything every year. They have said that it has been an administration error that they have suddenly discovered, no change in circumstance occured!

Pollycat

Ah well, as it does sound like your Nan isn't going to get pension credit, I guess you'll just have to see it as a 5 year bonus that she had been getting it.

I assume that they've not asked you to repay it.

As others have suggested, I'd start the AA claim process pdq.

We claimed the care component of DLA for my Dad and there was a 6 month qualifying period,I'm not sure about AA.

Good luck.

margaretclare

We claimed the care component of DLA for my Dad and there was a 6 month qualifying period, I'm not sure about AA.

It works the same. However, that doesn't mean that you have to wait another 6 months before applying, simply that the condition/s that cause her to require care have had to exist for 6 months or more. As she's been in that care home for a few years, that condition can be easily met. Start the ball rolling immediately. Although AA is income and can be spent how you like, it is not taxable and is not means-tested.