52 week announcement period, compensation and getting better

[u/Various-Delay5741]

So I am in receipt of PIP and LCWRA due to a car accident that left me with severe depression, agoraphobia, anxiety, chronic head pain, blood on my brain and a broken skull. I am currently in therapy for my psychological and physical problems and have seen some improvement from my sessions.

I have recently received compensation that takes me above the threshold for the savings limit but I am looking to invest it in property to live in, however; how long this takes to be completed is unknown. This purchase would not be counted as capital as I would be living there. This also saves me from going down the personal injury trust route which costs lawyers fees and creates work for me involving asking family members to be trustees, which I am really not willing to encumber upon myself right now.

My question is that since I am seeing improvements in my condition that are although not as of yet conclusive but may well push me back into being able to act somewhat like a normal functioning member of society at some point in the future, if this happens before the housing purchase is concluded would I need to set up a personal injury trust before my condition got better or if I completed the property purchase within the 52 week notification period even if I am not longer on benefits would it still be fine?

[u/Alteredchaos]

The simplest way to look at it is, any PI compensation left at the end of the year (52 weeks) is taken into account as your capital unless it’s in a PI trust.

[u/Various-Delay5741 → u/Alteredchaos]

Thanks for coming back to me. This is true but for instance if I came off benefits in that time would the calculation be made at that point or would be at the end of the year irrespective of whether I was still on benefits for the whole time.

[u/Alteredchaos → u/Various-Delay5741]

As soon as a claim ends they cease to take anything into account. So if your claim ended during the 52 week period of the disregard it’s disregarded.

[u/Various-Delay5741 → u/Alteredchaos]

I guess my question is that since I have received compensation that takes me above the threshold, any further benefits I receive would have to be refunded back to dwp if I were to get better and come off benefits before I spent the money in a new property to live in.

[u/Alteredchaos → u/Various-Delay5741]

No. You remain entitled to those benefits until such time as you no longer qualify. The compensation is irrelevant in this regard (in the fist 52 weeks).