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Home > Benefits > Benefits information and advice > Capital: investments, properties and savings

Capital: investments, properties and savings

Capital is anything that has a monetary value, such as land and property, investments and savings. You need to let us know if you, or your partner, have a change in the amount of savings or capital you have.

How we treat capital

  • If you or your partner are under state pension age the first £6,000 of your savings is disregarded, a notional income of £1 week for every £250 or part thereof you have in capital is included in your income.
  • If you or your partner are over state pension age the first £10,000 of your savings is disregarded, a notional income of £1 for every £500 or part thereof you have is included in your income.
  • Regardless of your age, if your (and your partner's) combined capital exceeds £16,000 you do not qualify, (unless you get Guaranteed Pension Credit).

The following are some of the most common items counted as capital

  • Cash
  • Individual Savings Accounts (ISAs)
  • Land
  • Lump sums such as redundancy payments, insurance payments and back payments of social security benefits
  • Premium Bonds and Income Bonds
  • Properties you or your partner own or jointly own
  • Money held or jointly held in banks, building societies and the Post Office
  • Money held or jointly held in any current accounts or pre-paid cards
  • Money held in trust
  • Money you have borrowed
  • Stocks, shares, unit trust holdings, government securities and bonds
  • Tax Exempt Special Savings Accounts (TESSAs)
  • Tax refunds
  • Tessa only ISAs (TOISAs)
  • National Savings Certificate

Please note this is not a full list. Other forms of investments, properties, savings, or anything that has monetary value could be counted as capital. Please contact us if you need more information.