23. Compensation schemes
Compensation for personal injury – If you have been awarded compensation because of a personal injury and it is held in a trust, its value is disregarded indefinitely. If the compensation is administered by the court on your behalf or can be used only by direction of the court, it is also disregarded. If you have been awarded compensation but it has not been put into a trust or used to buy an annuity (or other such arrangement), it can be disregarded for up to 12 months from the date you receive it, to allow you time to set up a trust or buy an annuity.
Special compensation schemes – Any payment from one of the special compensation schemes listed in
14 above that is disregarded as income is also disregarded as capital. From 10.10.24, any payment from an estate which is derived from a payment made under an approved blood scheme is disregarded indefinitely.