RE; Contrinution based ESA and Business Drawings

Hi All,

Would anyone know the answer to this question which I am asking for a friend who is a bit confused about what he can and cant do.

He is in receipt of ESA (Cont R)because he has been found unfit for work. He also owns his own business and can take drawing weekly from the business.

Is he entitled to remain on ESA for as long as he is found unfit for work, regardless of his drawings or savings simply because he has paid sufficient NI contributions. Or, is his time on ESA (Cont R) limited.

Thanks in advance

Kathy

kathy1 wrote:

Hi All,

Would anyone know the answer to this question which I am asking for a friend who is a bit confused about what he can and cant do.

He is in receipt of ESA (Cont R)because he has been found unfit for work. He also owns his own business and can take drawing weekly from the business.

Is he entitled to remain on ESA for as long as he is found unfit for work, regardless of his drawings or savings simply because he has paid sufficient NI contributions. Or, is his time on ESA (Cont R) limited.

Thanks in advance

Kathy

As he is on Contribution based ESA, provided he continues to satisfy the criteria to receive it (ie DWP class him as unfit to work etc) he can carry on receiving it until retirement (as things currently stand). If he receives contractual sick pay from his own company then that can be disregarded.

If he receives, or starts to receive an Occupational Pension over £85 per week I think it is currently, this may affect the amount he receives.

Pete

Thanks Pete.

Kathy x