Capital: savings, investments & properties
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
- Individual Savings Accounts (ISAs)
- 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.