It’s not something most of us want to think about, but like with Inheritance Tax and sorting someone’s estate, there comes a time when a death in the family brings financial ramifications for the loved ones they leave behind.
That is one of the reasons the DWP offers a benefit to households which can be claimed following the death of a spouse or partner, but which a lot of people probably don’t know about.
Bereavement Support Allowance (BSP) offers payments of up to £3,500 as a ‘lump sum’, followed by 18 monthly payments thereafter of £350 per month.
BSP is paid out by the DWP in two different rates. If you’re responsible for a child under the age of 20, you get the full £3,500, then £350 a month for 18 months.
If you’re not responsible for a child under 20, you get £2,500, followed by 18 monthly payments of £100.
Unlike some Inheritance Tax loopholes though, BSP can be claimed by unmarried couples too.
Age UK explains: “If you have a child or children and were living with your partner when they died, then you can claim BSP.
Cohabiting, unmarried partners can also claim BSP provided the claimant has a child or children.”
BSP is payable to anyone who is eligible whose partner died after April 6, 2017. Before that date, the previous benefit, Widowed Parent’s Allowance, was in place instead.
your partner paid National Insurance contributions for at least 25 weeks in any single tax year since 1975
you were living in the UK at the time of the death (or another country that pays bereavement benefits).
“If your partner died due to a workplace accident or illness caused by work, you may still be able to claim BPS, even if they had not made the necessary National Insurance contributions.”
The government says that you need to make a claim within 21 months of your partner’s death, although you can still claim later than that in some circumstances, for example if the cause of death was only recently confirmed, such as in a coroner’s court.
The government adds that you need to make a claim within 3 months of your partner’s death in order to get the full amount, but it’s not means tested (so ignores any other savings or income).
To apply, go to the Bereavement Service Helpline or call 0800 1512012.
