Deprivation of savings

Onthebrinkofdisaster

Due to reasons beyond my control I’m probably going to have to sell my house shortly. After everything is paid off (mortgage and debts) I am considering buying a Motorhome to live in on camp site that my friend owns. 

I’m on a low income and get universal credit now. Will deprivation of savings come into play if I spend money on buying a Motorhome to live in full time? I won’t have anywhere else to go unless I do this. I don’t want to / can’t private rent for various reasons and on my income I’d struggle to do this given the price of rent in my neck of the woods. 

calcotti

If you spend the money on a somewhere to live that will not be deprivation of capital. However I am not that a Motorhome counts. 

Onthebrinkofdisaster

Thanks. It’s my only option sadly 😢 it won’t be for going on jollies in, it will be my home. It will be either that or a static caravan

calcotti

Fairly sure that a static caravan will count as a home and not deprivation of capital. It’s the mobile home I am not sure about. The rules actually refer to ‘premises’. There’s a discussion about what this may mean here 
https://www.rightsnet.org.uk/forums/viewthread/16992/

tacpot12

The Universal Credit Regulations refer to  "Premises occupied by a person as their home." as Calcotti says, and also refer to case of Secretary of State for Works and Pensions v Mohammed Miah R(JSA) 9/03, where the court decided that the key definition governing the operation of the Jobseekers Allowance Regulations was ‘dwelling occupied as the home’. As the UC Regulations cite this case, it is reasonable to expect decision makers to apply the ruling from the case in deciding on a capital disregard for someone's home. Thus the decision maker can disregard a dwelling occupied as the home, and a dwelling can be a boat or a static caravan or a motorhome, if it is where someone lives.

So in theory, the capital tied up in you motorhome should be disregarded because it is your home. Even if you drove it away from your friend's site, until you acquire another home, it would seem to remain your home. 

The problem you have is that no-one, and especially not the members of the forum, can guarantee that a decision maker will take the reasonable approach that if you live in the motorhome all the time, get your post delivered to the site office, and don't have another home, it is clearly your home and should be disregarded. Your only way to avoid the possibility of a problem is to rent. 

calcotti

tacpot12 said: Your only way to avoid the possibility of a problem is to rent. 

But then they would still have the capital which would exclude them from claiming if over £16,000 (which presumably it would be).

tacpot12

calcotti said:

tacpot12 said: Your only way to avoid the possibility of a problem is to rent. 

But then they would still have the capital which would exclude them from claiming if over £16,000 (which presumably it would be).

It was late last night when I was replying and I forgot this essential point. Thanks 

pmlindyloo

Probably the easiest thing to do is ask before you buy.

If you have permission from UC that a purchase of a motor home to live in it would not be seen as deprivation of capital then you would be OK to go ahead and purchase 

If permission was refused then you would  have to consider something else - the static caravan for example.
From Advice for Decision Makers

Did people say what they were going to do with their capital
 H1842 Claimants or partners have not deprived themselves of capital for the purpose of getting UC or more UC if they
 1. say exactly what they are going to do with their capital
and 2. are told by an officer of DWP it will not affect the amount of UC they can get
 and 3. do what they said they were going to do with their capital. H1843
 However, DMs should consider whether claimants or partners have deprived themselves of capital for the purpose of getting UC or more UC if they
 1. say exactly what they are going to do with their capital
and 2. are told by an officer of DWP it will affect the amount of UC they can get
 and 3. do what they said they were going to do with their capital.