Thanks for your question
I am sorry to advise (and I am sure it coems as no surprise) that anything you do that sees you deprive yourself of capital will effect a claim for the Jobseekers allowance, although your first 6 month claim would be contributions based so your capital would not come into play, but thereafter - it would.
I would advise that you donate this after the event - so that DWP cannot create an issue, although after that first 6 months (by which time you may well be back in employment) when you are then consdiered for income based JObseekers, then the capital may well prevent you from having a valid claim if it will be more than £16,000 as a lump sum (although it afefcts entitlement with any amount in excess of £6000)
So just be aware
Let me know if you have any follow up questions on the advsie I have provided
Whereas I understand the argument of intentionally depriving oneself of capital, I could not find any provision in the UK Benefits laws limiting how the capital should have been spent prior to an individual applying for income based JSA.
E.g. it could have been preserved, used towards existing loans/mortgage, spent on consumer goods etc. Any conclusion appears so judgmental and again I am not aware of any specific clause in the law requiring an assessment of the use of capital prior to a JSA application.
What if an individual has lost their money due to unwise actions (e.g. betting & games, bad financial investments etc. etc.) - would this prevent that individual to access JSA?
Can you please clarify if your answer reflects a potential risk (i.e. how this might be judged by the DWP) or is rather based on a certain law requirement/priory applied common practice (in this case which?)
Thanks for your response
Clearing ones debts is never an issue - but this does not fall into that catagory - which I a sure you can appreciate.
If you had lst it though gambling - again it would be treated as deprivation of capital and affect the income based claim position.
I cannot offer advise on risk (I assume you are asking me whetherr its worth taking a chance on the factor this would not be asked after) as I am sure you can appreciate I would not be doing my job properly if I advsied any customer/client to act in any way other than that which prevented it being open to investigation which led to payback of the amount along with charges and in some instances criminal charges.
I advise always on the legal position and if there was any bending of those laws or the ability to apply in your favour - I promise I would offer that up to you, as clearly what you propose to do with this lump sum is a very charitable act nand should be applauded and not held against you.
Thank you Sam - indeed my intention is not to break the law, but to understand the potential consequencies of my options.
Thank you again for your prompt input
You are most welcome - I only wish this was possible for you to benefit from - but sadly not - mores the pity.
Let me know if you wish any further information on this topic, but, if in the menatime you would rate the level of serrvice I have provided, it would be appreciated, as this ensures I am credited for my time by Just Answer.