Giving to a person

You may already have made a will leaving money to a friend or relative with a learning disability, or you may be considering making provision in your will or making a gift now. It is sometimes a difficult subject to discuss with other relatives and you may want it to “come as a surprise”. Whatever your circumstances and those of your relative or friend we would urge you to get professional advice from someone experienced in the area. Potential pitfalls of giving money directly to your relative or friend can include:

• Negatively affecting any benefits they may currently receive. If they receive ESA, Universal Credit or Housing Benefit, then total “savings” (including all bank accounts and any gifts) of over £6,000 will mean reductions in their benefits. Receiving a substantial gift (bringing total savings over £16,000) will mean that a person no longer receives these benefits at all. Once the gift is used up and savings drop below the threshold then they will have to reapply for benefits which can be a very complex, anxious and time consuming process. In the ever changing world of benefits and allowances, there may be significant delays in receiving them and the benefits your relative used to receive may have changed or no longer be available.
• Leaving them vulnerable to financial abuse. Thankfully this is rare but unfortunately it does occur and can come from a wide variety of places, including the internet. Having a significant amount of money in the bank could expose someone to a higher risk of financial abuse and the subsequent anxiety and upset that could follow this.

We cannot and do not offer legal or financial advice here. But we would strongly recommend that you make a will and, if you have already done so, look at it again bearing in mind how it might affect your friend or relative with a lifelong learning disability. Many people who are making provision for a person with a learning disability will consider making a trust, either in their own lifetime (in which case other relatives can make gifts or leave money to the same trust) or in their will. Setting up a lasting power of attorney is also something important for you to consider. Make sure your legal adviser has experience of making arrangements for a person with a learning disability.

All the above may also apply to a well-meaning family friend or relative who is thinking of giving or leaving money to your relative in a community. Do broach the subject with them and show them this guide.