Hi Hardie
The first thing I would say is that you cannot claim CB ESA and State pension.
If you receive Contribution Based ESA only then a lump sum payment will not affect your ESA although further ones might, if you take a regular payment then there is an £85/week disregard followed by £1/week deduction for every £2 in excess of the £85.
If you receive Income Related ESA in part or in whole then any lump sum will be treated as capital, see the following
assets.publishing.service.gov.uk/governm.../1073454/dmgch52.pdf Any regular income will be deducted from your ESA(IR) £ for £.
Gary
