{
  "url": "https://openlegislation.uk/housing-renewal-grants-regulations-1996/regulation-38",
  "json_url": "https://openlegislation.uk/housing-renewal-grants-regulations-1996/regulation-38.json",
  "legislation": "uksi/1996/2890",
  "legislation_title": "The Housing Renewal Grants Regulations 1996",
  "legislation_url": "https://openlegislation.uk/housing-renewal-grants-regulations-1996",
  "path": "regulation/38",
  "kind": "regulation",
  "number": "38",
  "heading": "Notional capital",
  "text": "(1) A relevant person shall be treated as possessing capital of which he has deprived himself for the purpose of increasing the amount of grant.\n(2) Except in the case of—\n(a) a discretionary trust; or\n(b) a trust derived from a payment made in consequence of a personal injury; or\n(c) any loan which would be obtained only if secured against capital disregarded under Schedule 4; or\n(d) a personal pension scheme or retirement annuity contract,\nany capital which would have become available to the relevant person upon application for that income being made, but which has not been acquired by him, shall be treated as possessed by him but only from the date on which it could be expected to have been acquired had an application been made.\n(3) Any payment of capital, other than a payment of capital made under any of the McFarlane Trusts, the Independent Living Funds or the Fund—\n(a) if made to a third party in respect of a single relevant person or in respect of a member of the family (but not a member of the third party’s family) shall be treated as possessed by that single person or by that member to the extent that it is used for the food, ordinary clothing or footwear, household fuel or rent of that single person or, as the case may be, of any member of that family, or is used for any council tax, personal community charge, collective community charge contribution or water charges for which that relevant person or member is liable;\n(b) if made to a single relevant person or a member of the family in respect of a third party (but not in respect of another member of that family), shall be treated as possessed by that single person or, as the case may be, that member of the family to the extent that it is kept or used by him or used by or on behalf of any member of the family.\n(4) Where a relevant person stands in relation to a company in a position analogous to that of a sole owner or partner in the business of that company, he may be treated as if he were such sole owner or partner and in such a case—\n(a) the value of his holding in that company shall, notwithstanding regulation 33 (determination of capital) be disregarded; and\n(b) he shall, subject to paragraph (5), be treated as possessing an amount of capital equal to the value or, as the case may be, his share of the value of the capital of that company and the preceding provisions of this Chapter shall apply for the purposes of determining that amount as if it were actual capital which he does possess.\n(5) For so long as the relevant person undertakes activities in the course of the business of the company, the amount which he is treated as possessing under paragraph (4) shall be disregarded.\n(6) Where a relevant person is treated as possessing capital under any of paragraphs (1) to (3) the preceding provisions of this Chapter shall apply for the purposes of determining its amount as if it were actual capital which he does possess.\n(7) In paragraph (3)—\n(a) the expression “ordinary clothing or footwear” means clothing or footwear for normal daily use but does not include school uniforms, or clothing or footwear used solely for sporting activities; and\n(b) “rent” means eligible rent within the meaning of regulation 10(3) (rent) of the Housing Benefit (General) Regulations 1987, less any deductions in respect of non-dependants which fall to be made under regulation 63 (non-dependant deductions) of those Regulations.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "footnote",
      "label": "f1",
      "text": "S.I. 1987/1971; regulation 10 was amended by S.I. 1988/1971, 1990/546, 1993/317 and 1995/1644 and 2868."
    },
    {
      "type": "footnote",
      "label": "f2",
      "text": "Regulation 63 was amended by S.I. 1990/546 and 1775, 1991/235, 387 and 503, 1992/50 and 2148, 1993/317, 963 and 1249, 1994/542 and 1995/559 and 2868."
    }
  ],
  "outstanding_effects": [
    {
      "type": "inserted",
      "affecting": "uksi/2013/276",
      "affecting_title": "The Jobseeker’s Allowance (Schemes for Assisting Persons to Obtain Employment) Regulations 2013"
    },
    {
      "type": "amended",
      "affecting": "uksi/2000/531",
      "affecting_title": "The Housing Renewal Grants (Amendment) (England) Regulations 2000"
    },
    {
      "type": "amended",
      "affecting": "uksi/1999/1523",
      "affecting_title": "The Housing Renewal Grants (Amendment) Regulations 1999"
    },
    {
      "type": "amended",
      "affecting": "uksi/1999/1523",
      "affecting_title": "The Housing Renewal Grants (Amendment) Regulations 1999"
    },
    {
      "type": "added",
      "affecting": "uksi/1998/808",
      "affecting_title": "The Housing Renewal Grants (Amendment) Regulations 1998"
    },
    {
      "type": "amended",
      "affecting": "uksi/1998/808",
      "affecting_title": "The Housing Renewal Grants (Amendment) Regulations 1998"
    },
    {
      "type": "modified",
      "affecting": "uksi/2010/1222",
      "affecting_title": "The Jobseeker’s Allowance (Work for Your Benefit Pilot Scheme) Regulations 2010"
    },
    {
      "type": "inserted",
      "affecting": "uksi/2011/688",
      "affecting_title": "The Jobseeker's Allowance (Mandatory Work Activity Scheme) Regulations 2011"
    },
    {
      "type": "inserted",
      "affecting": "uksi/2011/917",
      "affecting_title": "The Jobseeker's Allowance (Employment, Skills and Enterprise Scheme) Regulations 2011"
    },
    {
      "type": "substituted",
      "affecting": "uksi/2006/217",
      "affecting_title": "The Housing Benefit and Council Tax Benefit (Consequential Provisions) Regulations 2006"
    },
    {
      "type": "substituted",
      "affecting": "uksi/2007/2870",
      "affecting_title": "The Housing Benefit (Local Housing Allowance, Miscellaneous and Consequential) Amendment Regulations 2007"
    },
    {
      "type": "inserted (temp. until 30.4.2015)",
      "affecting": "uksi/2014/1913",
      "affecting_title": "The Jobseeker's Allowance (Supervised Jobsearch Pilot Scheme) Regulations 2014"
    },
    {
      "type": "am (E)",
      "affecting": "uksi/2002/530",
      "affecting_title": "The Housing Renewal Grants (Amendment) (England) Regulations 2002"
    },
    {
      "type": "am (W)",
      "affecting": "wsi/2002/2798",
      "affecting_title": "The Housing Renewal Grants (Amendment) (Wales) Regulations 2002"
    }
  ],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/1996/2890/regulation/38",
    "retrieved_at": "2026-10-29T12:32:09.045665+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}