Pension Lump Sums and Leftover Pension Savings woth UC

Universal Credit

Hi all,

I'm sorry if this question has been asked a million times, but I was struggling to find a concrete answer.

My Mum recently turned 55 and got access to a private pension totaling to £19k.

She is wanting to get it out in lump sums as and when she needs it, also to keep it in investments to help it grow.

I understand that each withdrawal will count as capital, and therefore won't affect her UC (she is not planning on getting out more than 16k at a time, she may occasionally get out more than 6k but she is aware this will reduce her benefits)

My question is, if she starts taking out lump sums, is the remaining pension left in the pension pot considered savings, and therefore stop her UC?

She is also planning on buying nice things like a new PC and a hoover, would this be considered deprevation of assets to stay under the 16k?

She is also planning on gifting me and my brother some money, 1k each to be more precise. Plus she owes my brother some money too, around another 1k.

I just want to make sure she won't lose her UC completely if she starts withdrawing it

Thank you all in advance

Posted Dec 9, 2025, 9:41 AM UTC

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