The Community Charge Benefits (General) Regulations 1989

Regulation 28(2)

SCHEDULE 4CAPITAL TO BE DISREGARDED

1.  The dwelling together with any garage, garden and outbuildings, normally occupied by the claimant as his home including any premises not so occupied which it is impracticable or unreasonable to sell separately, in particular any croft land on which the dwelling is situated; but, notwithstanding regulation 10 (calculation of income and capital of members of claimant’s family and of a polygamous marriage), only one dwelling shall be disregarded under this paragraph.

2.  Any premises acquired for occupation by the claimant which he intends to occupy as his home within 26 weeks of the date of acquisition or such longer period as is reasonable in the circumstances to enable the claimant to obtain possession and commence occupation of the premises.

3.  Any sum directly attributable to the proceeds of sale of any premises formerly occupied by the claimant as his home which is to be used for the purchase of other premises intended for such occupation within 26 weeks of the date of sale or such longer period as is reasonable in the circumstances to enable the claimant to complete the purchase.

4.  Any premises occupied in whole or in part–

(a)by a partner or relative of any member of the family where that person is either aged 60 or over or incapacitated;

(b)by the fomer partner of the claimant as his home; but this provision shall not apply where the former partner is a person from whom the claimant is estranged or divorced.

5.  Where a claimant is on income support, the whole of his capital.

6.  Any reversionary interest.

7.  The assets of any business owned in whole or in part by the claimant and for the purposes of which he is engaged as a self-employed earner, or if he has ceased to be so engaged, for such period as may be reasonable in the circumstances to allow for disposal of any such asset.

8.  Any arrears of, or any concessionary payment made to compensate for arrears due to the non-payment of,–

(a)any payment specified in paragraph 5, 7 or 8 of Schedule 3;

(b)an income-related benefit or supplementary benefit, family income supplement under the Family Income Supplements Act 1970(1) or housing benefit under Part II of the Social Security and Housing Benefits Act 1982.

but only for a period of 52 weeks from the date of the receipt of arrears or of the concessionary payment.

9.  Any sum–

(a)paid to the claimant in consequence of damage to, or loss of the home or any personal possession and intended for its repair or replacement; or

(b)acquired by the claimant (whether as a loan or otherwise) on the express condition that it is to be used for effecting essential repairs or improvement to the home,

which is to be used for the intended purpose for a period of 26 weeks from the date on which it was so paid or acquired or such longer period as is reasonable in the circumstances to effect the repairs, replacement or improvement.

10.  Any sum–

(a)deposited with a housing association as defined in section 1(1) of the Housing Associations Act 1985(2) as a condition of occupying the home;

(b)which was so deposited and which is to be used for the purchase of another home, for the period of 26 weeks or such longer period as may be reasonable in the circumstances to enable the claimant to complete the purchase.

11.  Any personal possessions except those which have been acquired by the claimant with the intention of reducing his capital in order to secure entitlement to community charge benefits or to increase the amount of those benefits.

12.  The value of the right to receive any income under an annuity or the surrender value (if any) of such an annuity.

13.  Where the funds of a trust are derived from a payment made in consequence of any personal injury to the claimant the value of the trust fund and the value of the right to receive any payment under that trust, for a period of 2 years, or such longer period as is reasonable in the circumstances, beginning–

(a)if, at the date of the payment, the claimant or his partner is in receipt of an income-related benefit, on that date;

(b)in any other case, on the date on which an income-related benefit is first payable to the claimant or his partner after the date of the payment,

but, for the purposes of regulations 7, 8, and 26(2) (applicable amounts, polygamous marriages and modifications in respect of children and young persons), in calculating the capital of a child or young person there shall be no limit as to the period of disregard under this paragraph.

14.  The value of the right to receive any income under a life interest or from a liferent.

15.  The value of the right to receive any income which is disregarded under paragraph 9 of Schedule 2 or paragraph 23 of Schedule 3.

16.  The surrender value of any policy of life insurance.

17.  Where any payment of capital falls to be made by instalments, the value of the right to receive any outstanding instalments.

18.  Any payment made under section 1, 27 or 29 of the Child Care Act 1980 or, as the case may be, section 12, 24 or 26 of the Social Work (Scotland) Act 1968 (local authorities' duty to promote welfare of children and powers to grant financial assistance to persons in, or formerly in their care).

19.  Any social fund payment.

20.  Any refund of tax which falls to be deducted under section 369 of the Income and Corporation Taxes Act 1988(3) (mortgage interest payable under deduction of tax) on a payment of relevant loan interest for the purpose of acquiring an interest in the home or carrying out repairs or improvements to the home.

21.  Any capital which by virtue of regulation 24 (capital treated as income) is to be treated as income.

22.  Where any payment of capital is made in a currency other than sterling, any banking charge or commission payable in converting that payment into sterling.

23.  Any payment made under the Macfarlane Trust or the Independent Living Fund and any sum derived from such a payment.

24.—(1) Where a claimant has ceased to occupy what was formerly the dwelling occupied as the home following his estrangement or divorce from his former partner, that dwelling for a period of 26 weeks from the date on which he ceased to occupy that dwelling, or where the dwelling is occupied as the home by the former partner who is a lone parent, for so long as it is so occupied.

(2) In this paragraph “dwelling” includes any garage, garden and outbuildings, which were formerly occupied by the claimant as his home and any premises not so occupied which it is impracticable or unreasonable to sell separately, in particular any croft land on which the dwelling is situated.

25.  Any premises where the claimant is taking reasonable steps to dispose of those premises, for a period of 26 weeks from the date on which he first took such steps, or such longer period as is reasonable in the circumstances to enable him to dispose of those premises.

26.  Any premises which the claimant intends to occupy as his home and in respect of which he is taking steps to obtain possession and has sought legal advice, or has commenced legal proceedings, with a view to obtaining possession, for a period of 26 weeks from the date on which he first sought such advice or first commenced such proceedings whichever is the earlier, or such longer period as is reasonable in the circumstances to enable him to obtain possession and commence occupation of those premises.

27.  Any premises which the claimant intends to occupy as his home to which essential repairs or alterations are required in order to render them fit for such occupation, for such period as is necessary to enable those repairs or alterations to be carried out.

28.  Any payment made by the Secretary of State to compensate for the loss (in whole or in part) of entitlement to housing benefit.

29.  Any payment made by the Secretary of State to compensate for the loss of housing benefit supplement under regulation 19 of the Supplementary Benefit (Requirements) Regulations 1983.

30.  The value of the right to receive an occupational pension.

31.  The value of the right to receive any rent.

32.  Any payment in kind made by a charity.

33.  Any payment not exceeding £200 made under section 2 of the Employment and Training Act 1973(4) (functions of the Secretary of State) as a training bonus to a person participating in arrangements for training made under that section, but only for a period of 52 weeks from the date of the receipt of that payment.

34.  Any housing benefit.