Hello and thank you for your question. I will be very pleased to assist you. I'm a practicing lawyer in England with over 10 years experience.
May I clarify when you refer to the monies being ring fenced - do you mean that you were told they would not impact any benefits you were entitled to please?
Thank you. Do you recall whether the damages you received were all for "pain and suffering" or whether any element was for loss of income or loss of mobility for example?
Loss of mobility pain and suffering
Thank you. If your damages paid to you did not include a "loss of income" element then the position should be as you have been previously advised, namely that the damages should not be treated as capital for the purposes of income related benefits. If you are in receipt of disability living allowance it is possible for the damages you received in relation to loss of mobility to be taken into account in respect of disability living allowance you may receive but from what you say the visit you are expecting is in relation to council tax
Based on what you say if your damages were for loss of mobility and pain and suffering then these monies you received should not be taken into account in respect of assessment of capital for council tax credit purposes.
If you have any difficulties with the council tax inspector you can contact a specialist compensation recovery unit team for benefits on 0191(NNN) NNN-NNNNwho can provide further support and if necessary a certificate or copy of a certificate that may have been previously issued to evidence the position for any future benefits inspections.
Thank you I receive middle rate of dlaandc the higher rate of mobility
Thanks. When you received your damages a certificate should have been issued by the above unit dealing with how much (if any) of the damages would be due back to the government. Assuming this was done then this should be an end to the matter and the position going forward should remain as is. If the damages were not notified and a certificate issued at the time you received the damages then strictly they should be notified and there may be an adjustment due in relation to the above benefits however assuming the correct process was followed at the time this would not be relevant. However in any event this is a separate matter to council tax which remains as above - namely that the damages you received should not be relevant to the same.
Is there anything above I can clarify for you?