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Student grant - classified as income?

Hi,

I've just received a non repayable student grant, directly from my University, i.e. not through the Student Loans Company, as a cheque.

I currently claim for Housing Benefit only.
As far as I'm aware, student grants/loans aren't classified as income, so I'm not sure whether I need to let the council know?

The main reason I'm asking is that its a rather high amount, and if I pay it then, then reclaim for HB in a few months when I move, they could start asking questions as to the cash injection....

Comments

  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Parts of student grants are counted as income , you need to check with your local dept to see whether your grant comes under the definition of income or not.

    A full DWP manual can be found here:
    http://www.dwp.gov.uk/housingbenefit/manuals/hbgm/parts/ptc_02a.asp especialy not section 2.110.
    I no longer work in Council Tax Recovery but instead work as a specialist Council Tax paralegal assisting landlords and Council Tax payers with council tax disputes and valuation tribunals. My views are my own reading of the law and you should always check with the local authority in question.
  • real1314
    real1314 Posts: 4,432 Forumite
    Both Student Grants and Loans ARE classed as income.

    You should declare them immediately or you could be seen as failing to declare your income correctly.

    Some elements are disregarded, although in many cases students are not entitled to HB, a few exceptions can qualify though.
  • bwgames
    bwgames Posts: 137 Forumite
    Thanks!

    It looks like it WILL qualify as income :(



    2.362 A single payment, not intended to form part of a series, is treated as capital. Disregard the payment for 52 weeks if it is not intended or used for


    However...

    2.366 If the student's capital holding does not exceed £6000, disregard any payment which is a 'one-off', such as the payment of an electricity bill.

    It is a one off, but not for any real specific reason.... It is quite a high amount though (£2500), but as my accounts are negative in the first place, it won't come out to that much capital in the end....

    I'm writing them a letter with the following in it:

    "I have just received a student grant from my University of £2500. This is a one-off ‘Access to Learning Fund’ payment and will be used to clear my overdraft and give me money to live on over the summer. I assume that this will be treated as capital. I attach a copy of the letter accompanying the cheque."

    Reckon I need to say/do anything else?
    Some elements are disregarded, although in many cases students are not entitled to HB, a few exceptions can qualify though.

    I'm disabled and also claim DLA which is why I qualify for HB as well.
  • bestpud
    bestpud Posts: 11,048 Forumite
    I believe the fact that you are using it for 'living' expenses will be the problem.

    As far as tax credits are concerned (although I know HB is different) grants purely for 'educational' expenses don't count.

    hth

    Bestpud
  • Morglin
    Morglin Posts: 15,925 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    http://www.direct.gov.uk/en/EducationAndLearning/UniversityAndHigherEducation/StudentFinance/index.htm

    Or, your Uni loan/welfare department should be able to help you.

    Lin :)
    You can tell a lot about a woman by her hands..........for instance, if they are placed around your throat, she's probably slightly upset. ;)
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