Hi Team . I am trying to understand the logic - if someone is on contribution based esa then any capital they receive does not effect their entitlement, whereas if someone is on income related esa then their entitlement is totally lost if their capital exceeds £16,000. If the person on IR ESA has a full previous contribution record & an underlying entitlement , then it would seem fairer for them to keep an element of their entitlement rather than loose it altogether. ? Thank you for any clarification you can give on this.
ESA(CB) is always paid if the claimant met the Contributions Conditions and they are entitled to payment but if they are only entitled to ESA(IR) then there ESA claim will be closed and they will be expected to live off of their savings.
As to why this is the case, you will have to pose the question to the relevant Secretary of State.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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