Means Testing for Benefits

bluelionman

For 20 years I have worked in a okay paid job - for a single man with no qualifications really to speak off - 1 GCSE.
Alas I have recently been sacked for Gross Miss Conduct - (didn't turn in after suffering a relapse to one of my addictions and feeling suicidal). I also felt I couldn't do the job anymore - mental issues, depression and anxiety.  However for those last 20 years I rarely went out, went without a car last 3.5 years to - all to save as much as I could as I hate where I live and dream of owning a house but coming from the SE of England they are so expensive need masses to get a big enough deposit to land a mortgage and have time to pay it off. So unlike my younger siblings that never save anything and party party party and even take out loans to get to the next pay day should they ever lose work they would get full benefits as pass the means testing - have nothing on paper. So Housing Benefit, Universal Credit, Council Tax Benefit etc. However as I have over the threshold I will not be able to claim anything till I've used up all my savings that I have sacrificed so much to acquire over the last 20 years of working - so much for dreaming of a house. How on earth do the government expect people to willingly save for a house, old age or anything if ya penalised like this. I'm 46 and losing the money I've saved just to pay Council Taxes, Utility Bills and essentials like food shopping, clothes, washing machine and cooker when it breaks - washing machine think drum has gone plus all my leasehold fees over the next year or two until my savings fall below the means tested threshold seems like I've scrimped and gone without holidays for 20 years for nothing. I had a dream, had I not and spunked all that money enjoying life I'd be better off now it seems. if I don't find work again and quickly I will never get back those funds in time to buy a house or get a mortgage before retirement. My addiction is gambling and alas with Covid-19 there are no GA meetings open to attend to see if that could aide me in stopping for good. I'm giving serious consideration to betting the lot on a make or break one off bet to increase my capital to get me a house or lose the lot so I can then claim bens as I'll have sod all left and thus qualify through the means testing but really why should one have to go to such drastic matters - I'm not willing to see it ebb away on everyday stuff over the next year or two just because I saved when others didn't. I don't begrudge the government not wanting people to rely on benefits but when wages can be so low compared to the costs of housing etc. why should savers be penalised when falling on hard times - losing a job. I know I will never bother saving again - not worth it - the government can pay for me in a care-home when I'm an OAP - there take ya house and savings anyway to pay for such I do believe, so why have any in the first place! 

[Deleted User]

 Is there a question in there? Couldn't read it properly due to the lack of paragraphs. Or just a rant? 

If the latter it should should be in the discussion board not here. 

McNinian

An awful lot of people who are suddenly in need of state support via Universal Credit or other means-tested benefit(s) whose capital is above the £16k threshold have had and will have a rude awakening.

It's easy to understand the original poster's frustration, though s/he would do better to accept that's how the system operates rather than act in haste.

Caz3121

bluelionman said:

 I will not be able to claim anything till I've used up all my savings 

you will be able to claim when your savings drop below £16k

tacpot12

I agree with the OP that means-testing rewards feckless behaviour. Those that squander their money are always provided for, while those that have worked and saved are given much less, even in times of need. 

But the problem is that there are many more people with money than without. If the benefits system provided universal benefits (i.e. without means-testing), the amount of benefit paid to each person would have to be reduced substantially, to the point where those who have no other money could not survive. 

The benefits that are paid at the moment are not generous - generally the only people that can 'party' on them are the young who are living rent free with their parents. Anyone with rent and council tax to pay will only be just managing if they are on benefits.

To the OP I would say. Accept that the loss of your job is your fault. You were honest enough to admit that in your post. As you were dismissed from your job, you won't be paid JSA for 13 weeks, but after that you can claim JSA and it will be paid regardless of the savings you have - it is not a means-tested benefit! So you just have to survive for 13 weeks. 

Please don't look at your savings a burden or a misfortune, but as a cushion that has caught you on your way down. If you didn't have those savings but were dismissed for misconduct you would have no money to live on for 13 weeks! At least with your savings you can survive. You will be able to replace the savings you have lost as soon as you get a job.

20 years in one job is actually quite an achievement. Under normal circumstances I would take a couple of weeks off on holiday before throwing myself back into job hunting, but in the current situation, I think you are better off starting straight away while supermarkets and other businesses are re-adjusting their business models to suit the new situation. You can take a break when the pandemic ends. 

One final thought - you should consider moving to the north - you can still buy flats in my city for £50,000. If you have £16,000 of savings, you have deposit of over 30% and your mortgage payments would be about £150 per month! Perhaps a friend in similar situation would consider making the move with you. Get a job in a supermarket for six months and you might be able to transfer to a store in the north. 

Alice_Holt

OP -  Difficult to understand your post, and what (if any) questions you ask.
If you are asking about any possible entitlement to benefits, then look at:
a) New Style ESA* -  https://www.gov.uk/guidance/new-style-employment-and-support-allowance
b) PIP -  https://www.citizensadvice.org.uk/benefits/sick-or-disabled-people-and-carers/pip/

What level of savings do you have?
Are they in a pension, or just held as savings?

* If your health continues to prevent you from working.
Or alternatively NSJSA after its dismissal sanction expires, unless you can persuade the DWP not to apply a sanction as the dismissal was unwarranted and due to health issues.