Universal Credit: Veterans
The question
To ask the Secretary of State for Work and Pensions, whether an armed forces pension is treated as unearned income for the purpose of calculating Universal Credit.
Answered by Sir Stephen Timms
Regular, unearned income payments that are paid to meet living costs cause reductions in the customer’s Universal Credit entitlement pound for pound. This includes occupational pensions such as Armed Forces Pensions.
War Pensions and Armed Forces Compensation Payments are not taken into account in Universal Credit. Guaranteed Income Payments, Service Attributable Pensions and service-attributable, non-taxable Service Invalidity Pensions are also not taken into account.
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