Dismissal on not capable of doing job even with reasonable adjustments in place

Hi everyone, it's Trufflecake.
Hope your are all well.
I have been employed 5 years in retail, currently off sick for last 7 months due new diagnosis straightening of kyphosis thoracic (Osteo-arthritis in thoracic area upper back) Reasonable adjustments were put in place over the years to help me, reduced hours, able to sit/stand during 5 hour shift in retail. Despite all the above being put in place, I was still struggling with health conditions and in a lot of pain and still taking time off sick due to a combination of conditions i.e arthritis in thoracic area of back, L4/5 herniated disc, degenerative changes to facet, sciatica, trochanteric bursitis in both hips, plantar fibroma and plantar fascitis. Don't receive SSP as I don't earn enough. Recently
awarded LCW and already receiving PIP and on Universal credit
My work place requested a home visit, which took place 19/4/24. An option that was mention was to be dismissed on ill-health grounds. I don't have a company pension, but have a very small pension which would not be enough to survive on. I was told that the company cannot hold my position indefinitely and need yo advertise for my position to be filled.
If I choose dismissal on ill-health grounds, will this affect my universal credit and LCW awards?
Any advice from anyone or anyone who has experienced a similar situation would be welcome.
Thank you.
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