Universal credit and pension op

AliceCamel

I'm disabled, claiming Universal credit with LCW, I'm not now 55 and have the option to withdraw from a very small private pension £6k. What are my options and how would it affect my Universal Credit and tax?

rosewalk

The withdrawal will be treated as capital by Universal Credit. Capital of under £6,000 is disregarded by UC and won't affect your payments. Do you have other capital as this will be added to the £6,000 if you take the money from the pension? Do you have any plans for how you are going to use the money? Is it going to be used for day to day expenses or are you planning to us any of this to pay off debts or replace items in your home?