HC Deb 12 February 2004 vol 417 c1592W
Mrs. Curtis-Thomas

To ask the Secretary of State for Work and Pensions for what reasons a compensation award counts as capital for benefits calculations. [150129]

Mr. Pond

Income-related benefits are intended to target help on those with the least resources. It is a long established principle that substantial amounts of capital should not be ignored when deciding entitlement to a benefit based on need and it is for this reason that all compensation payments are counted as capital.

However, compensation payments received and placed in trust for the injured person are disregarded when determining benefit entitlement.