Business capital / means testing

Pseudonym
Pseudonym Community member Posts: 17 Connected
edited June 2023 in Work
Does anyone know whether savings that are put into a business are still used to calculate (reduce) means tested benefits? Is there any difference for sole traders versus forming a company, if the business is then legally a separate entity?

(All very hypothetical at this point and may or may not be relevant in future.)

Comments

  • Cher_Alumni
    Cher_Alumni Scope alumni Posts: 5,714 Championing
    Hello @Pseudonym

    Good question! And one I couldn't reliably inform you of the answer to at this point, I'm afraid. I have however tagged your post as unanswered and will do some research unless one of our knowledgeable members can step in and help  :)

    Wishing you a lovely weekend. 
  • Hannah_Alumni
    Hannah_Alumni Scope alumni Posts: 7,866 Championing
    Hello @Pseudonym

    I've been doing some googling on this and probably like you, couldn't find much of an answer. I was reading the Parliamentary website which gives some indication that any capital is taken into account with most means tested benefits but isn't specific. I would reach out to someone like Citizen's Advice or even ask to speak to an advisor at your local job centre. The DWP have systems for those who are claiming and wanting to set up their own business. So they may have more knowledge on this. 

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