The National Assistance (Assessment of Resources) (Amendment) (Wales) Regulations 2003

Explanatory Note

(This note is not part of the Regulations)

These Regulations make further amendments to the National Assistance (Assessment of Resources) Regulations 1992 (“the principal Regulations”).

The principal Regulations concern the assessment of the ability of a person (“the resident”) to pay for accommodation arranged by local authorities under Part III of the National Assistance Act 1948. Part III accommodation is arranged for persons aged 18 or over who by reason of age, illness, disability or any other circumstances, are in need of care and attention which is not otherwise available to them, and for expectant and nursing mothers in similar need.

The principal Regulations provide that a resident shall be assessed as able to pay for Part III accommodation at the standard rate if that resident’s capital calculated in accordance with the principal Regulations, exceeds an upper capital limit of £19,000. These Regulations amend the principal Regulations to increase the upper capital limit from £19,000 to £20,000. The principal Regulations also provide for the calculation of a resident’s income to take account of capital within a band between the upper capital limit and a lower capital limit. These Regulations amend the upper and lower capital limits. Each £250 or part of £250 within this band is treated as equivalent to weekly income of £1.

Regulation 4 makes amendments to the Principal Regulations with the effect that all periodical payments received in settlement of a personal injury claim, whether by virtue of an agreement or a court order, are, to the extent that they are not income, treated as income.

Regulation 5 amends the principal Regulations so as to replace reference to “invalid care allowance” with the term “carer’s allowance”.

Regulation 6 amends the principal Regulations with the effect that payments of income either, (a) received from trusts whose funds derive from personal injury settlements to the resident, or (b) from an annuity purchased with such funds or (c) by virtue of any agreement or court order to make personal injury payments, are disregarded in their entirety where they are intended and used for a need of the resident which was not taken into account in fixing the cost (or standard rate) of the accommodation provided. Otherwise the first £20 of such income is disregarded.

Regulation 7 and 8(4) amend the principal Regulations so as to exclude from calculations of income or capital any payments made to or on behalf of residents relating to welfare services in respect of which the National Assembly for Wales has made a grant to the local authority under s.93(2) of the Local Government Act 2000. Regulation 7 also excludes from calculation of income, guardian’s allowance and child tax credit.

Regulation 8(1) amends the principal Regulations so as to exclude from the calculation of a resident’s capital the value of the resident’s interest in a home which was formerly occupied with a spouse or partner who is now divorced or estranged if the home is still occupied by the former partner as a lone parent.

Regulation 8(2) amends the principal Regulations so as to maintain the current position regarding the treatment of arrears of various social security benefits in the assessment of a resident’s capital and removes a reference to a paragraph of the Income Support (General) Regulations 1987 which has been revoked.

Regulation 8(3) provides a capital disregard for any arrears or any concessionary payment made to compensate for arrears due to non-payment of tax credits for a period of 52 weeks from the date of their payment.