Inheritance and ASN children

[sunshine244]

I have two autistic children. Both get mid rate care and low rate mobility DLA. They are only 8 and 11 and it's really hard to predict how they will develop over time. They are both intelligent but struggle hugely with anxiety and sensory issues etc.

I am looking to redo my will and was considering a trust for vulnerable people. But in order to qualify the beneficiary needs to be eligible for DLA/PIP or similar. What happens if a child is eligible now but not in future?

In England, I believe the trustees must inform HRMC if the vulnerable person ceases to be meet the definition of vulnerable (DLA/PIP are just 2 of the criteria, there are others) and it affects the tax status of the trust.

Your use of ASN suggests you are in Scotland, though, so I don’t know if the rules are different there. Mencap may be able to advise.

Ah thanks... yes in Scotland so we have child disability support here but it's the same equivalent (and more people know DLA).

I didn't know ASN was a Scottish term?

What happens to the money if a child losts their status?

In England and NI, SEN is used rather than ASN. In Wales it is ALN.

I think what happens to the money depends on the specific details of the Trust. Some Trusts will cease and the funds distrusted according to the details of the Trust. Some become ordinary discretionary Trusts I think.