Simple attendance Allowance mistake could lead to loss of more than £5000 a year

Attendance Allowance recipients could lose all of their benefit if they do not report changes in health to the Department for Work and Pensions (DWP).

The DWP has strict rules on who is eligible for benefits like Attendance Allowance and insists claimants must get in touch if there is a major change in their situation. If not, they risk being taken to court, hit with fines, or stripped of their benefit payments.

Attendance Allowance aims to ease the cost of living for older people and is given tax-free. It can also help with the independence of some elderly, helping them stay longer in their own homes.

The government's official advice states: "You could be taken to court or have to pay a penalty if you give wrong information or do not report a change in your circumstances."

While it might seem that updating the DWP could cut your support, reporting changes could actually mean higher payments. For instance, if someone's condition deteriorates and they need increased help with everyday activities, they could be pushed from the lower to the upper rate of Attendance Allowance.

Attendance Allowance is strictly paid at two rates on a weekly basis. The lower rate, provided when someone requires frequent assistance or constant supervision during the day or night, is set at £73.60 per week or £294.40 per month.

The higher rate, given to those who need help or supervision throughout both the day and night, or when a medical professional has said that someone is nearing the end of life, is set at £110.40 per week or £441.60 per month.

There is an array of changes that must be reported to the DWP, including:

• you go into hospital or a care home - you’ll need to provide the address, the dates you’ve been there for, and how your stay is paid for
• your immigration status changes, if you’re not a British citizen
• you plan to leave the country for more than 4 weeks
• you want to stop receiving your benefit
• you go into prison
• you change your name, address or bank details
• your doctor’s details change
• the level of help you need or your condition changes - you’ll need to provide details like if the amount of times you need help each day has changed
• a medical professional has said you might have 12 months or less to live (you could get Attendance Allowance at a higher rate under ‘special rules for end of life’)

You can report any of these changes by calling the Attendance Allowance helpline by dialling 0800 731 0122.