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Does backdated bereavement support payments count towards your universal credit savings?

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  • HillStreetBlues
    HillStreetBlues Posts: 6,046 Forumite
    1,000 Posts Third Anniversary Homepage Hero Photogenic
    edited 5 June 2024 at 8:01PM
    The UC memo does say it's 12 months
    "5. The Remedial Order provides that any payment of WPA or BSP in relation to the entitlement conditions set out in DMG memo 02/23 will be disregarded for a period of 12 months for UC."  (Source linked in my previous post.)

    The reference to time periods in the UC legislation would appear to mean once the payments have been made longer than 12 months ago, they are no longer disregarded.
    It's does seem to be a strange one.
    With IS JSA, PC HB ESA  all state at the end  "but only for a period of 52 weeks from the date of receipt of the payment." So for those benefits, it's clearly limited to 52 weeks from the date of payment.
    With UC they have chosen not to state 12 months as the wording does not appear the the section about UC.

    I do think it would be wise to consider it a 12 month
    disregard, but if capital is unspent after that time and money is deducted then a person could appeal as they do seem to to pointing to something that the Remedial Order doesn't actually say with UC.
    Let's Be Careful Out There
  • sheramber
    sheramber Posts: 22,396 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper

    https://www.legislation.gov.uk/uksi/2023/134/schedule/made

    Amendment of the Universal Credit Regulations 2013

    13.  In Schedule 10 to the Universal Credit Regulations 2013 (capital to be disregarded)(13)—

    (a)after paragraph 18 insert—

    “18ZA.  A payment made within the past 12 months of widowed parent’s allowance—

    (a)to the survivor of a cohabiting partnership (within the meaning in section 39A(7) of the Contributions and Benefits Act) who is entitled to widowed parent’s allowance for a period before the Bereavement Benefits (Remedial) Order 2023 comes into force, and

    (b)in respect of any period of time during the period ending with the day before the survivor makes the claim for widowed parent’s allowance.”;

    (b)in paragraph 20—

    (i)the existing text becomes sub-paragraph (1);

    (ii)after that sub-paragraph insert—

    “(2) Where bereavement support payment under section 30 of the Pensions Act 2014 (bereavement support payment) has been paid within the past 12 months to the survivor of a cohabiting partnership (within the meaning in section 30(6B) of the Pensions Act 2014) in respect of a death occurring before the day the Bereavement Benefits (Remedial) Order 2023 comes into force, any amount of that payment which is—

    (a)in respect of the rate set out in regulation 3(1) of the Bereavement Support Payment Regulations 2017, and

    (b)paid as a lump sum for more than one monthly recurrence of the day of the month on which their cohabiting partner died.”.



    The legislation states it should be disregarded for 12 months from it is paid.
  • Thank you to everyone that has commented, the information you have provided has been very helpful. The payment was received this year so well within 12 months. I just don't understand why universal credit have stated to me that 'where a claimant receives arrears of the regular monthly payment, these are not subject to the capital disregard'. I don't know where they have obtained this information as like everyone else I can only find information to contradict this.
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