•Capital includes savings, investments, property and lump-sum payments.

•Some kinds of capital are ignored when working out your universal credit (UC) – eg, the value of the home in which you live.

•If you have more than £16,000 capital, you are not entitled to UC.

•If you have capital above a certain amount, your UC is affected, because this is assumed to give you a certain monthly income.

•If you deliberately get rid of capital in order to get more UC, you are treated as still having it. This is called ‘notional capital’.