Inheritance problem

xylophone

http://www.saga.co.uk/saga-magazine/2014/january/money-clinic-can-you-hand-on-inherited-money-to-someone-else.aspx

"The other thing to be aware of is your mother’s entitlement to benefits and liability for contributions to care home fees. If she was ever assessed for either, the existence of the deed could be evidence of ‘deliberate deprivation of assets’, meaning the variation could be ignored and your mother assessed as if she had actually received the money."

http://www.fbcmb.co.uk/Content/Resources/files/FBCMB%20Deeds%20of%20Variation.pdf

. For example, if you are
considering long term care, and want
to redirect the gift so as it does not
form part of your estate for means tested
care funding, this could be
considered deliberate deprivation.
The same would be true of any
other means-tested benefits that
you may be in receipt of. In these
circumstances, the Department
for Work and Pensions or the local
authority would be able to challenge
the gift when deciding what benefits
you are entitled to"

camlo

i don't know much about any of these issues but wondering if you say your Grandmother left her money to your mother then should it be distributed according to your mother's will? I guess as nobody else has suggested it then probably not but it would solve your problem if Mothers will specified a 50 : 50 split?

TELLIT01

The basic issue is that the OP's mother died before the grandmother but the grandmother's will left everything to the mother. As the mother had already died the inheritance passed to her child, the step-daughter would not inherit irrespective of the content of the mother's will.
The clear intention of the mother was for her daughter and step-daughter to inherit 50% each and it is that which the DM to whom I spoke used as the basis for his opinion that he would not treat a deed of variation as deprivation.

Bomopu

Thanks for everyone's help. Tellit01 is right. The problem is that my grandmother did not re-write her will and just left it all to mum even though she had already died. My mum's will is not really relevant anymore.

Thanks for asking your colleague, Tellit01, that is somewhat reassuring as that is the route we are trying - to vary the will and then be open about it with DWP and hope for the best.

xylophone wrote: »

"The other thing to be aware of is your mother’s entitlement to benefits and liability for contributions to care home fees. If she was ever assessed for either, the existence of the deed could be evidence of ‘deliberate deprivation of assets’, meaning the variation could be ignored and your mother assessed as if she had actually received the money."

Mum was not receiving any benefits or in a care home before she died.

xylophone wrote: »

But your mother had the opportunity to ask your grandmother to change her will and even though she didn't, your grandmother could have chosen to change her will when her daughter (your mother) died.

My mother did talk to my grandmother about it but she refused to discuss it. That is why my mum asked me to give 50% to my sister. To be honest I only tried with her once after mum died but didn't push the subject very much. I think the whole thing about her daughter dying first was something she didn't like to think about.