The Council Tax Benefit (Persons who have attained the qualifying age for state pension credit) Regulations 2006

Meaning of “income”

19.—(1) For the purposes of these Regulations, “ income” means income of any of the following descriptions—

(a) earnings;

(b) working tax credit;

(c) retirement pension income within the meaning of the State Pension Credit Act M1 ;

(d) income from annuity contracts (other than retirement pension income);

(e) a war disablement pension or war widow's or widower'' pension;

(f) a foreign war disablement pension or war widow's or widower's pension;

(g) a guaranteed income payment;

(h) a payment made under article 21(1)(c) of the Armed Forces and Reserve Forces (Compensation Scheme) Order 2005 M2 but only where the condition referred to in article 23(2)(c) is met;

(i) income from capital other than capital disregarded under Part 1 of Schedule 4;

(j) social security benefits, other than retirement pension income or any of the following benefits—

(i) disability living allowance;

(ii) attendance allowance payable under section 64 of the Act;

(iii) an increase of disablement pension under section 104 or 105 of the Act;

(iv) a payment under regulations made in exercise of the power conferred by paragraph 7(2)(b) of Part 2 of Schedule 8 to the Act M3 ;

(v) an increase of an allowance payable in respect of constant attendance under paragraph 4 of Part 1 of Schedule 8 to the Act;

(vi) child benefit;

(vii) any guardian's allowance payable under section 77 of the Act;

(viii) any increase for a dependant, other than the claimant's partner, payable in accordance with Part 4 of the Act;

(ix) any social fund payment made under Part 8 of the Act;

(x) Christmas bonus payable under Part 10 of the Act;

(xi) housing benefit;

(xii) council tax benefit;

(xiii) bereavement payment M4 ;

(xiv) statutory sick pay;

(xv) statutory maternity pay;

(xvi) statutory paternity pay payable under Part 12ZA of the Act M5 ;

(xvii) statutory adoption pay payable under Part 12ZB of the Act M6 ;

(xviii) any benefit similar to those mentioned in the preceding provisions of this paragraph payable under legislation having effect in Northern Ireland;

(k) all foreign social security benefits which are similar to the social security benefits prescribed above;

(l) any payment made under article 37 of the Naval, Military and Air Forces etc. (Disablement and Death) Service Pensions Order 1983 M7 ;

(m) a pension paid to victims of National Socialist persecution under any special provision made by the law of the Federal Republic of Germany, or any part of it, or of the Republic of Austria;

(n) payments under a scheme made under the Pneumoconiosis etc. (Worker's Compensation) Act 1979 M8 ;

(o) payments made towards the maintenance of the claimant by his spouse, civil partner, former spouse or former civil partner or towards the maintenance of the claimant's partner by his spouse, civil partner, former spouse or former civil partner, including payments made—

(i) under a court order;

(ii) under an agreement for maintenance; or

(iii) voluntarily;

(p) payments due from any person in respect of board and lodging accommodation provided by the claimant;

(q) payments consisting of royalties or other sums received as a consideration for the use of, or the right to use, any copyright, patent or trade mark;

(r) any payment made to the claimant in respect of any book registered under the Public Lending Right Scheme 1982 M9 ;

(s) any payment, other than a payment ordered by a court or made in settlement of a claim, made by or on behalf of a former employer of a person on account of the early retirement of that person on grounds of ill-health or disability;

(t) any sum payable by way of pension out of money provided under the Civil List Act 1837 M10 , the Civil List Act 1937 M11 , the Civil List Act 1952 M12 , the Civil List Act 1972 M13 or the Civil List Act 1975 M14 ;

(u) any income in lieu of that specified in sub-paragraphs (a) to (r);

(v) any payment of rent made to a claimant who—

(i) owns the freehold or leasehold interest in any property or is a tenant of any property;

(ii) occupies part of the property; and

(iii) has an agreement with another person allowing that person to occupy that property on payment of rent; and

(w) any payment made at regular intervals under an equity release scheme.

(2) For the purposes of these Regulations, a claimant's capital, other than capital disregarded under Schedule 4, shall be treated as if it were a weekly income—

(a) in the case of a claimant residing permanently in accommodation to which paragraph (6) applies, of £1 for each £500 in excess of £10,000 and £1 for any excess which is not a complete £500;

(b) in any other case, of £1 for each £500 in excess of £6,000 and £1 for any excess which is not a complete £500.

(3) Where the payment of any social security benefit prescribed under paragraph (1) is subject to any deduction (other than an adjustment specified in paragraph (5)) the amount to be taken into account under paragraph (1) shall be the amount before the deduction is made.

(4) Where an award of any working tax credit or child tax credit is subject to a deduction by way of recovery of an overpayment of working tax credit or child tax credit which arose in a previous tax year the amount to be taken into account under paragraph (1) shall be the amount of working tax credit or child tax credit awarded less the amount of that deduction.

(5) The adjustments specified in this paragraph are those made in accordance with—

(a) the Social Security (Overlapping Benefits) Regulations 1979 M15 ;

(b) the Social Security (Hospital In-Patients) Regulations 1975 M16 ;

(c) section 30DD or section 30E of the Act M17 (reductions in incapacity benefit in respect of pensions and councillor's allowances).

(6) This paragraph applies to accommodation provided—

(a) in a care home;

(b) in an Abbeyfield home;

(c) under section 3 of, and Part 2 of the Schedule to, the Polish Resettlement Act 1947 M18 (provision of accommodation) where the claimant requires personal care;

(d) in an independent hospital.

(7) For the purposes of paragraph (6), a person shall be treated as residing permanently in the accommodation—

(a) except where sub-paragraph (b) applies, notwithstanding that he is absent from it for a period not exceeding 52 weeks;

(b) if it is accommodation to which paragraph (6)(c) applies—

(i) notwithstanding that he is absent from it for a period not exceeding 13 weeks; and

(ii) if he, with the agreement of the manager of the home, intends to return to it in due course.

(8) In paragraph (1)(w), “equity release scheme” means a loan—

(a) made between a person (“the lender”) and the claimant;

(b) by means of which a sum of money is advanced by the lender to the claimant by way of payments at regular intervals; and

(c) which is secured on a dwelling in which the claimant owns an estate or interest and which he occupies as his home.

Marginal Citations

M1 See section 16(1) of the State Pension Credit Act 2002 (c. 16).

M2 S.I. 2005/439.

M3 See in particular paragraph 7(2)(b) of Schedule 8.

M4 Bereavement payment was introduced by section 54(1) of the Welfare Reform and Pensions Act 1999 (c. 30).

M5 Part 12ZA was inserted by section 2 of the Employment Act 2002 (c. 22).

M6 Part 12ZB was inserted by section 4 of the Employment Act 2002.

M7 S.I. 1983/883.

M8 1979 c. 41; amended by section 24 of the Social Security Act 1985 (c. 53).

M9 The Scheme is set out in the Appendix to S.I. 1982/719.

M10 1837 c. 2.

M11 1937 c. 32.

M12 1952 c. 37.

M13 1972 c. 7.

M14 1975 c. 82.

M15 S.I. 1979/597.

M16 S.I. 1975/555.

M17 Sections 30DD and 30E were inserted by section 3(1) of the Social Security (Incapacity for Work) Act 1994 (c. 18).

M18 1947 c. 19.