Social welfare law provides that property not personally used or enjoyed, such as a second house, must be taken into account when assessing a person's means. Effectively this means taking the market value of the property and applying a yearly value to it as if it were a sum of money. The same assessment applies whether or not there is a rental income from the property. In the case of the person concerned, who is in receipt of unemployment assistance, it has been established, following a review of his entitlement, that he owns a second house valued at £20,000. A report on this matter has been prepared and a decision on the case will be made as soon as possible.
The present rules in relation to the assessment of the value of property for means test purposes are quite specific. I am, however, considering changes in the provisions for the assessment of means. This would include disregarding, in certain circumstances, the capital value of property where the property is not personally used for a limited period, for example through illness. I will be bringing forward proposals in this regard later this year.
