Lump sum pension - Universal credit automatically reduced to zero in January?

desperate_times

Ok so I know about the capital rules for UC for £6k-16k but what about immediate automatic effect in the month that the lump sum is received?   

I will get small lump sum of £8k pre-tax on Dec 30th.  My UC is around £700-1000 usually varying month to month and next payable on Jan 7th and calculated based on income up until Dec 31st.  I will pay small amount of tax on the £8k so will it show on my PAYE and automatically be considered income and be used to calculate UC entitlement for January?  If it is obviously UC will go to zero in January?   (albeit back to normal less a little for capital income reduction in Feb)

MovingForwards

@desperate_times

Ask on the benefits board as the members are knowledgeable
https://forums.moneysavingexpert.com/categories/benefits-tax-credits