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AIBU?

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Pension lump sum and Universal Credit

2 replies

colinpatrick · 06/01/2021 12:38

We are currently in receipt of UC. As I am 64, I plan to stop my claim for UC and drawdown 25% of my private pension. The current advise we have received is extremely ambiguous but I understand if I spend this money, except the £6000 allowed and wait three months, I am entitled to restart my claim?
Does anyone know if this is correct?

OP posts:
Oldsu · 06/01/2021 12:49

It may do, taking out an annuity most certainly would this link should provide the answers www.gov.uk/government/publications/pension-freedoms-and-dwp-benefits/pension-freedoms-and-dwp-benefits

colinpatrick · 06/01/2021 13:05

Many thank, I am aware any regular monthly private pension income will be deducted from our UC.
I just need to make the decision to stop my claim for the drawdown, or leave the claim in place and hope the assessor at the time, looks upon it favourably as most of the money will be used to purchase a vehicle, which I believe is allowed.
In any event, UC advise I need to receive the capital before the decision can be made, so I think to stop the claim beforehand maybe the most prudent.

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