Frequently Asked Questions

Can’t I just spend the money?

Generally the answer is no. There is a 52 week disregard applied to personal injury damages to allow you to spend some or all of the money before your benefits are affected.

However, you should be careful to avoid anything which may be seen as you deliberately getting rid of money in order to retain your right to claim benefits. If you are found to have done this (such as spending money on a large holiday, or paying off debts) your entitlement to benefits will be affected even if you spend the damages money. Any benefits received will be recalculated to take into account the damages money and may result in you having to return money to the government!

If you are in receipt of benefits, the easiest way to avoid any of these problems is to set up a personal injury trust.

The rules are simple. How they apply is not. For expert help call us on 0800 783 6191

Accreditation and Regulation

  • The Legal 500
  • Chambers UK
  • Association of Personal Injury Lawyers
  • The Law Society
  • Solicitors Regulation Authority
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