Benefits following ill health retirement

Kelli257

I originally posted this on a different forum and you lovely guys suggested I post on this one...... 
Hi all - I need some support for my dad please. He was ill health retired from his employment back in August and was given a lump sum which he is using to live on - however that's not sustainable.
Bit of background......
He was diagnosed approx. 5 years ago with alcohol related Cirrhosis and went from 18 stone to 8 1/2 stone - losing all his muscle tone put was given adjustments to enable him to do his job
2 1/2 years later, my mum passed away following a Brain Tumour, and this caused him to suffer loneliness, mental health issues and a relapse in his drinking, causing ongoing health issues, he was ill health retired before he was dismissed. due to absence
As I said the lump sum will only last a while, he's 61 and receives about £300 from a private pension a month, and I have looked at reduction on council tax but that wont even cover his bills when the lump sum runs out. I have no idea what else he could be entitled to, JSA (is that still a thing) - disability benefit ?  Any guidance would be great 
TIA  

poppy12345

If he's paid the correct amount of NI contributions in tax years April 2018 to March 2020 then New style ESA can be claimed with a fit/sick note from his GP. This pays £74.35 per week. Any pension over £85 per week will reduce the amount of ESA he's entitled to by 50p for every £1 over that amount. Pensions under £85 per week are ignored.

Universal Credit may also be possible but because it's a means tested benefit then his pension will reduce the UC £1 for £1. Savings/capital of more than £16,000 then he won't be entitled to any UC. Savings of £6,000 and over will reduce the UC by £4.35 per month for every £250 (or part there of) over that amount. If he's renting his home then help for the rent can also be claimed in with the UC monthly payments. Fit notes from his GP will also be needed to start the work capability assessment process off.

If he claims both the ESA and UC at the same time the ESA will be deducted in full from any UC entitlement.

PIP (personal Independence payment) is a disability benefit paid to those that have difficulties doing daily living tasks but a claim for this can potentially take several months and evidence will be needed to support a claim.

See links.

https://www.gov.uk/guidance/new-style-employment-and-support-allowance

https://www.moneyadviceservice.org.uk/en/articles/universal-credit-an-introduction

https://www.citizensadvice.org.uk/benefits/sick-or-disabled-people-and-carers/pip/

Spoonie_Turtle

ESA depending on his NI contributions record, it's for being unwell and unable to work; it's not means-tested but his pension may affect the amout payable.

Universal Credit is means-tested, so he may be eligible once his lump sum combined with any other savings (except pension pots) is below £16000.  It can include help with rent and can include an extra amount if he is assessed as being too unwell to work.  It would take into account his pension and ESA if he claimed it.  UC passports to some other help whereas ESA doesn't so you'll have to weigh those up if he wouldn't be eligible for UC if he claimed ESA but would be if he didn't claim ESA.

Council Tax support and possibly the single person discount (if he lives alone) if he doesn't already receive them.  Single person discount is not means-tested, CT support is.  Local councils vary in whether you can have up to £16000 or up to £6000 in savings/capital for CT support

PIP is a disability benefit, not means-tested at all and his pension wouldn't affect it.

I would suggest doing a benefits calculation, see what it says, then start looking at the most appropriate benefits.  You can put in his situation now, then play about with figures to represent when his lump sum goes below £16000 and then £6000 (below 6k is the threshold where no deductions are made from means-tested benefits).