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PART 5Third parties

Persons unable to act

57.—(1) Where a person (“P1”) is, or may be, entitled to benefit (whether or not a claim for benefit has been made by P1 or on P1’s behalf) but P1 is unable for the time being to act, the Secretary of State may, if all the conditions in paragraph (2) and the additional conditions in paragraph (3) are met, appoint a person (“P2”) to carry out the functions set out in paragraph (4).

(2) The conditions are that—

(a)no deputy has been appointed by the Court of Protection under Part 1 of the Mental Capacity Act 2005(1);

(b)no receiver has been appointed under Part 7 of the Mental Health Act 1983(2) who is treated as a deputy by virtue of the Mental Capacity Act 2005 with power to claim or receive benefit on P1’s behalf;

(c)no attorney with a general power, or a power to claim or receive benefit, has been appointed by P1 under the Powers of Attorney Act 1971(3), the Enduring Powers of Attorney Act 1985(4), the Mental Capacity Act 2005 or otherwise; and

(d)in Scotland, P1’s estate is not being administered by a judicial factor or any guardian acting or appointed under the Adults with Incapacity (Scotland) Act 2000(5) who has power to claim or receive benefit on P1’s behalf.

(3) The additional conditions are that—

(a)P2 has made a written application to the Secretary of State to be appointed; and

(b)if P2 is a natural person, P2 is over the age of 18.

(4) The functions are exercising on behalf of P1 any right to which P1 may be entitled and receiving and dealing on behalf of P1 with any sums payable to P1.

(5) Anything required by these Regulations to be done by or in relation to P1 may be done by or in relation to P2 or any person mentioned in paragraph (2).

(6) Where a person has been appointed under regulation 82(3) of the Housing Benefit Regulations 2006(6) by a relevant authority within the meaning of those Regulations to act on behalf of another in relation to a benefit claim or award, the Secretary of State may, if the person so appointed agrees, treat that person as if the Secretary of State had appointed that person under paragraph (1).

(7) A direct credit transfer under regulation 46 into the account of P2 or any person mentioned in paragraph (2), or the receipt by such a person of a payment made by some other means, is sufficient discharge for the Secretary of State for any sum paid.

(8) An appointment under paragraph (1) or (6) comes to an end if—

(a)the Secretary of State at any time revokes it;

(b)P2 resigns P2’s office having given one month’s notice in writing to the Secretary of State of an intention to do so; or

(c)the Secretary of State is notified that any condition in paragraph (2) is no longer met.

Payment to another person on the claimant’s behalf

58.—(1) The Secretary of State may direct that universal credit be paid wholly or in part to another person on the claimant’s behalf if this appears to the Secretary of State necessary to protect the interests of—

(a)the claimant;

(b)their partner;

(c)a child or qualifying young person for whom the claimant or their partner or both are responsible; or

(d)a severely disabled person, where the calculation of the award of universal credit includes, by virtue of regulation 29 of the Universal Credit Regulations, an amount in respect of the fact that the claimant has regular and substantial caring responsibilities for that severely disabled person.

(2) The Secretary of State may direct that personal independence payment be paid wholly to another person on the claimant’s behalf if this appears to the Secretary of State necessary to protect the interests of the claimant.

Direct payment to lender of deductions in respect of interest on secured loans

59.  Schedule 5 has effect where section 15A(1) of the Administration Act(7) (payment out of benefit of sums in respect of mortgage interest etc.) applies in relation to a case where a claimant is entitled to universal credit.

Deductions which may be made from benefit and paid to third parties

60.  Except as provided for in regulation 59 and Schedule 5, deductions may be made from benefit and direct payments may be made to third parties on behalf of a claimant in accordance with the provisions of Schedule 6 and Schedule 7.