DEPRIVATION OF INCOME

040982

 I HAVE INHERITED ENOUGH MONEY TO BUY MY COUNCIL HOUSE ,THUS NEGATING THE NEED TO CLAIM HOUSING BENEFIT, MY QUESTION IS  IF I PURCHASE HOUSE  AND THEN FIND  THAT I NEED TO CLAIM AGAIN .WOULD THE HOUSE PURCHASE COUNT AS AN INTENTIONAL DEPRIVATION OF CAPITAL 

Silvertabby

040982 said:

 I HAVE INHERITED ENOUGH MONEY TO BUY MY COUNCIL HOUSE ,THUS NEGATING THE NEED TO CLAIM HOUSING BENEFIT, MY QUESTION IS  IF I PURCHASE HOUSE  AND THEN FIND  THAT I NEED TO CLAIM AGAIN .WOULD THE HOUSE PURCHASE COUNT AS AN INTENTIONAL DEPRIVATION OF CAPITAL 

If you own the property, you won't need to claim housing benefit.  Or have I missed something in all the shouting?

BAFE

You don't need housing benefit if you own your own home.  Why would you?

calcotti

If you own your home you will not be able to claim Housing Benefit because you are not renting. If, for some reason, you later lose the house and have to rent again the fact that you previously used capital to purchase the house will not be relevant.

More immediate is that if you have inherited money you must tell Housing Benefit (and any other benefit agencies you deal with). Your entitlement to means tested benefits has ended if you have capital over £16,000 (unless you are a pensioner in which case that might not be true - but you still need to tell them).

GHolmesAdmin

I think they meant if they have to claim any benefits in the future, how would he house purchase affect the claim?

MalMonroe

GHolmesAdmin said:

I think they meant if they have to claim any benefits in the future, how would he house purchase affect the claim?

Yes, that's the very question calcotti has answered, above. And, as others have also said, if you own your own home then you are not eligible for housing benefit. 

mggftz30

If OP means the claiming of other benefits in future such as JSA, UC or Council Tax Support, then buying a property to live in would not be considered deprivation of capital. 

Al_Ross

Would buying a new car be classed  as deprivation of capital. 

NedS

Al_Ross said:

Would buying a new car be classed  as deprivation of capital. 

It depends, but quite possibly.

It is simply not possible to give general answer such questions. In each case they will be referred to a decision maker who will look at all the information available when reaching a decision. What sort of car was it (Ford, Ferrari?), how much did it cost, was the cost reasonable, could they have purchased a cheaper car, why was it needed, was the claimant aware they would need to claim benefits when they purchased the car, did the claimant deliberately purchase it with a view to reducing their capital in order to claim more benefits. Such decisions are complex and depend on many factors so it is simply not possible to give generic advice.