Deed of gift problems

[lba40]

Hi all,
My wife and I are separating prior to divorce. My wife is moving out and renting as an agreement between us as she has a substantial house in her name which was gifted to her by her Father via deed of gift 6 years ago. Her 90 year old father still lives in the house tho who is fit and well. My wife will have to claim Universal Credit (UC) when she moves, but as it is means tested, she will be entitled to nothing because her father's house is in her name solely which is deemed a capital asset. When it was gifted to her, stupidly, there was no trust setup so her father could live there until his death. Is there anyway around this at all? My wife would never evict her dad and he doesn't want anyone living with him either, so she can't move in with him. It's all amicable between my wife and I, and we are try to sort this out together.

[des8]

In this particular case I believe the value of property can be disregarded as the property is occupied by a relative who is over Pension Credit qualifying age

However before you start celebrating let me find the chapter and verse in the regulations to make sure I remember it correctly.
Might take a day or so


As an after thought will your wife not be assessed as owning a share of your current home?

[lba40]

In this particular case I believe the value of property can be disregarded as the property is occupied by a relative who is over Pension Credit qualifying age

However before you start celebrating let me find the chapter and verse in the regulations to make sure I remember it correctly.
Might take a day or so


As an after thought will your wife not be assessed as owning a share of your current home?

Hi Des8,
Thank you so much for reply. Is the disregard you refer to for persons claiming benefits who are over Pension Credit qualifying age themselves? I would be so grateful if you could prove me wrong, I sure hope I'm wrong and you are correct.
Regarding my current home, I've been told that it would be disregarded for 26 weeks in the first instance, also as one of my son's (16 yrs and in education) it would be disregarded and also because I am disabled and incapacitated that it would disregarded, so I think we're pretty safe on that front.
Thank you.

[des8]

The disregard refers to the occupier of the house being a close relative who is over PC qualifying age, not the claimant

Regulations: https://assets.publishing.service.go...2331/admh2.pdf

"Premises lived in by a close relative
The law
H2048 Premises that are occupied as the home by a close relative of a person are disregarded indefinitely where the close relative has
1. LCW or
2. reached the qualifying age for SPC1 . 1 UC Regs, Sch 10, para 2

H2049 A close relative in relation to a person means1
1. parent
2.....

[lba40]

The disregard refers to the occupier of the house being a close relative who is over PC qualifying age, not the claimant

Regulations: https://assets.publishing.service.go...2331/admh2.pdf

"Premises lived in by a close relative
The law
H2048 Premises that are occupied as the home by a close relative of a person are disregarded indefinitely where the close relative has
1. LCW or
2. reached the qualifying age for SPC1 . 1 UC Regs, Sch 10, para 2

H2049 A close relative in relation to a person means1
1. parent
2.....

Hi Des8,
Thank you so much for this, I am so happy that you have proved me wrong. That is great news! I know she has capital, but to kick someone out at that age (or any age really) is ludicrous. I have sent this to our benefits advisor as she wasn't sure as it crosses over into property. Much appreciated and have a great weekend !
Best regards.