Benefits
Compensation payments and your entitlement to benefit support
The compensation you receive from IBCA does not count as income or savings (capital) in the calculation of entitlement to means-tested benefits. Your compensation payment will not affect your entitlement to current or future means-tested benefits.
This also applies if you receive a payment from the estate of a deceased infected person.
The means-tested benefits are:
- Universal Credit (UC)
- Income Support (IS)
- income-based Jobseeker’s Allowance (income-based JSA)
- income-related Employment and Support Allowance (income-related ESA)
- Housing Benefit (HB) - administered by local authorities
- Pension Credit (PC)
- Council Tax Reduction - administered by local authorities
Telling the Department for Work and Pensions about your payments
The Department for Work and Pensions (DWP) pays most means-tested benefits.
If you receive benefits, you must inform DWP and your local authority if you receive a compensation payment. This will make sure it does not affect your entitlement to current or future means-tested benefits.
You should keep and safely store any letters or other documentation you get about your payments from an infected blood scheme. This will help DWP to make sure your benefits are not impacted.
You must tell DWP and your local authority about payments you get from the following schemes:
- English Infected Blood Support Scheme
- Scottish Infected Blood Support Scheme
- Welsh Infected Blood Support Scheme
- Infected Blood Payment Scheme for Northern Ireland
- Infected Blood Compensation Authority
You do not need to tell them about any payments from the following former infected blood support schemes:
- The Macfarlane Trust
- The Eileen Trust
- MFET Ltd
- Skipton Fund
- Caxton Foundation
You must also tell DWP and your local authority about any other savings or income you have. This includes savings held by your partner or any children you are claiming for. This will help them to separate your other income or savings from the infected blood payments you get.
How to tell DWP about your payments
For each of the means-tested benefits there are different ways to contact DWP.
Universal Credit
You will need to report the change in your finances online.
You do not need to tell us about any children’s savings accounts that are in their name such as Junior ISAs and Child Trust Funds.
Pension Credit
You will need to tell DWP about your payments by phone or by post. You can find out about how to do this on GOV.UK.
Housing Benefit or Council Tax Reduction
You will need to contact your local authority to inform them of any payment you receive.
Other means-tested benefits
These include:
- Income Support
- income-based Jobseeker’s Allowance
- income-related Employment and Support Allowance
You will need to tell DWP about your payments and any income or savings by calling the number at the top of letters they have sent you about your benefits. You can also find contact details online.
Income Support, income-based Jobseeker’s Allowance and income-related Employment and Support Allowance are gradually being replaced by Universal Credit, due to be completed in 2026.
Compensation and means-tested benefits
If you are currently receiving means-tested benefits, or think you might receive them in the future, it is important you keep your compensation payment in a separate account. You should not mix your compensation payment with any existing money you already have. This is because any interest, gains or profit you make from investing your compensation payment might be considered when assessing your eligibility for means-tested benefits.
See What investing your compensation means for your benefit support for more information.
What investing your compensation means for your benefit support
If you decide to keep your payment in a savings account, any interest or income you earn which comes from an investment made using your compensation payment only will not affect your entitlement to current or future means-tested benefits.
If you invest your payment in stocks and shares, any gains you make will not affect your entitlement to current or future means-tested benefits when sold.
If you use your payment to purchase property, any profit you make will not affect your entitlement to current or future means-tested benefits when sold.
Any interest, gains or profit you make must be a direct result of investments made using your compensation payment only.
If you combine your compensation payment with any existing savings you may have, any interest, gains or profit you make might be considered when assessing your eligibility for current or future means-tested benefits.
You will need to provide evidence that investments were made from your compensation payment. You can do this by keeping your compensation payment in a separate bank account from any other savings you may have. If you have any existing savings, you should request a bank statement to confirm the date and the amount.
You can view current tax allowances online on GOV.UK.
If you are unsure about your entitlement to means-tested benefits after receiving or investing your compensation payment, you can contact DWP.
If you live overseas
The policy regarding infected blood support payments, infected blood compensation payments and means-tested benefits applies to people living in Great Britain and Northern Ireland only.