ESA and inherited pension question

Nicknack77

Hi I am hoping that someone will be able to help me with a question I have.

My newish (5years) husband claims income based ESA and is in the support group I am also on the claim as his partner.

10 years ago I became a widow my late husband left me his pension pot which was turned into an annuity. It at the moment less than £450 a year it increased each year this year by just £14 a year. It's paid calendar monthly to myself and dies with me my children will never be able to claim it.

The annuity was declared to DWP and is being deducted each week from the ESA. I had to call DWP yesterday because it's due to increase in may and they want the information regarding this. The DWP has this as a 'occupational pension' the company that pay it has it as a 'widows pension'. I explained to the lady at DWP what the pension was and why I am receiving it I stated that if this was child matenance for the 2 children that myself and my late husband had it would be completely disregarded but as he did the right thing and paied into a pension and then died aged 44 I see this as child matenance for the children I cannot get any from him as he's dead. (The children are 10 and 16 they were just 8 months old and 6 years old when their dad died)

The lady then told me that she thinks they are deducting the money wrongly as it's an inherited pension not actually mine (I'm only 38 was 28when he died). It was taken to a decision maker who stated that it's income full stop so has to be deducted. The lady who called me back stated that I could ask for a mandatory reconsideration of this decision based on it being a inherited pension which I have done. Received a call this morning DWP want proof that it's a inherited pension proof that they had when the pension was declared. Due to the age of it I no longer have any of the original paperwork but have called the company who are issuing a letter stating that the pension is inherited and from whom etc but is going to take 15 working days to get to me.

My question is who's right should this pension be disregarded due to being inherited or should it be classed as income no matter what? Is there any thing I can include in a letter to DWP when I send the proof letter from the company who are paying the pension?

Sorry for the length of this just wanted to give the background. Many thanks for any information anyone has.

TELLIT01

You, and the lady you spoke to at DWP are correct, an inherited pension should be disregarded. When you forward the letter from the pension company to DWP make sure you put your name and National Insurance number on the letter itself. Anything attached to it could become detached on it's journey through the labyrinth of DWP post delivery.
Put a covering letter in with it stating that you are providing the evidence of an Inherited Pension as requested, to support your current Mandatory Reconsideration. Staple all the documents together too. Belt and braces!!
How long after you spoke to the lady at DWP did they call back to say that it was income? I ask because it's highly unlikely that the original papers were still at the processing office, and if you had a quick reply it's probable that the papers hadn't been recalled from storage and therefore, the DM didn't have full information to work from.

sludepulit

Payments treated as not being payments to which section 3 applies

68. The following payments are to be treated as not being payments to which section 3 of the Act applies—

(a)any pension payment made to a claimant as a beneficiary on the death of a member of any pension scheme


The Employment and Support Allowance Regulations 2013 PART 9 Regulation 68

Nicknack77

Thank you. The annuity was declared at the beginning of the claim 5 1/2 years ago and they have been deducting it each week for that lenght of time, even though I have explained every time I've had to speak to someone where it came from that it was my late husband's etc this has been at least twice a year as they believed that it increased twice a year when in fact it increases once a year on the anniversary of his death. I send in the p60 and the increase letter each year.

It has only ever been this lady yesterday that I spoke to 1st who has said it should be disregarded. She emailed someone who called me back approx 3 hours later and said a decision maker had looked at it and said it was income so tough. There is no way they pulled the file out of storage in that time. Which is when the 2nd lady said about mandatory consideration so I asked for that to happen. There was a phone call this morning asking for proof of it being inherited and then they would consider the mandatory consideration. I just hope I don't run out of time to get the letter from the company who pays it and then get that to Belfast. The company who pay it has said it's 100% an inherited pension and they can trace it from the original company to themselves as the original company are no longer trading it was a pension pot that brought the annuity.

Am planing to take the letter covering letter, death certificate etc into the local Job center plus and ask them to fax it as I know from bitter experience that DWP constantly lose important documents.

Am really annoyed as from my understanding now they have been taking money each week that they should not have been when they were fully aware that I inherited it and would not be receiving it except that he died. I would and could totally understand if it was £450 pounds a month but it's less than than £450 a year now from less than £300 a year 10 years ago less than £10 a week but that could get my kids some little treats etc

If DWP do decide as they should that it should have been disregarded would they pay back the money they have taken each week going back to the beginning of the claim?

If the mandatory consideration says that it is classed as income what do I need to do then? Or is the MA the end of it?

Thank you do much for your help its really really appreciated.

sammyjammy

You mention Belfast in your last post does that mean you are based in Northern Ireland? If so its NI social security agency which administer your benefits, they may have different rules.

Alice_Holt

The MR should not be the end of the appeal process.

When you get your MR Notice from the DWP, it will tell you what you can do next (if their decision is not in your favour).
It is possible you could appeal to the Tribunal Service.

At which stage you can then submit the pension documentation, a reference to the ESa Regulations, etc to the TS. Probably worthwhile getting some advice on the appeal procedure and on the relevant ESa regulations - your local CAB may be able to help.

Nicknack77

No sammyjammy I'm in England but the person on the phone this morning told my husband that I needed to send the proof to the DWP in Belfast so am going to take it to the job center plus and get them to fax it.
Thank you for your help

Nicknack77

Hi,

I just received a call from DWP giving me the outcome of their decision which is tough luck the annuity is an income so we will continue to deduct it.

Their reasons are:

1. As it is a income based esa claim the annuity is income so tough . If the claim had been contrbution based then it would be disregarded. If it was child matenance then it would be disregarded. I can't get child matenance as my children's father is dead. We were lead to believe that although my current husband is entitled to contribution based esa as it is a joint claim we cannot get contribution based.

2. The annuity is not a pension even though it was purchased with my late husbands pension pot and because it's an annuity not a pension tough. Doesn't matter that the only reason I recieve it is because my husband died. Doesn't matter that my late husband did the right thing paying into a pension pot for 20 years because it was turned into an annuity upon his death it's classed as income. Doesn't matter that the DWP themselves have labeled it as a occupational pension, but the company who pay it has it as a widows pension tough luck it's an annuity and therefore is a income.

3. It's an income.

Where do u go from here? Is there anything else I can do to appeal this?

Many thanks