Q2A

Got a quick question ......

hi my husband is trying to persuade me to sell the house and buy a narrow boat to live on,
however as much as i would probably love the lifestyle i am worried about money, we are
on benefits as he is long term sick and on dla, we own the house (as we would the boat)
but do get housing benefit for the council tax, so, how would we go on for money if we
lived on a boat?

This is our reply.......

If you decide to live on a boat you can continue to receive the benefits you get now as long
as you continue to meet the criteria e.g. Jobseekers Allowance/Income Support/Employment & Support Allowance/Disability Living Allowance.

Housing Benefit can pay for a boat licence (probably from British Waterways as they cover
most canals and rivers, or the licensing authority for the canal/river you're on), and mooring
charges if the boat is permanently moored. If you 'continuously cruise' i.e. move every 24
hours or 14 days, depending on the time limit for the mooring, you won't have to pay
mooring charges. If you are permanently moored and the rent office decides that the
mooring charges are unreasonably high your claim may be referred to the Rent Officer and
Housing Benefit may not cover all the cost of the mooring charges.

Council Tax is usually payable on a mooring so you could claim Council Tax Benefit to
cover this. The legal position about liability for Council Tax (and therefore eligibility for
Council Tax Benefit) if you leave a permanent mooring for e.g. a holiday, or if you're
'continuously cruising', isn't very clear at the moment.

However, and this is where it gets complicated, there are rules about the amount of
savings or capital that you are allowed to have which can affect your entitlement to
benefits. For example, if after selling your house and buying a narrow boat you have more
than £16,000 left you will not be entitled to any benefits, and this could include some of
the benefits you are receiving now. Between £6,000 and £15,999 you may be entitled to
receive a part of the benefits you are getting now.

A further complication to any claim for benefits may be the 'deprivation of capital' rule.
This is when it's decided that you have spent or got rid of savings or capital (capital can
include property i.e. your house) in order to qualify for benefits. They can decide that you
still have it and refuse your claim. You can get more advice about this from your local
Citizens Advice Bureau, you can search for your nearest Bureau at:
http://www.adviceguide.org.uk, scroll down to 'Get Advice' on the left hand side of the
screen.

Some other regular outgoings to take into account when living on a boat are:
# a survey (as when buying a house)
# a Boat Safety Scheme Certificate (renewable every 4 years)
# insurance (boat and contents)
# maintenance costs (e.g. engine servicing, bottom-painting)
# electricity at a mooring
# bottled gas (cooking/heating)
# fuel (to run the engine/charge batteries)
# heating (e.g. central/solid fuel)
# sewage pump-outs
# cost of travel to nearest town and amenities if at a rural mooring
There's lots more information and tips about living afloat from:
# The Residential Boat Owner's Association: Alan Wildman, N.B. Joss, Moorhen Marina,
Burnt Mill Lane, Harlow. Essex. CM20 2QS. Mobile: 07825 172021. Email:
chairman@rboa.org.uk   Website: http://www.rboa.org.uk/

Do plenty of research and get advice before you make a move.

home  answer bank  answer file  storyboard send an enquiry   ask a quick question

privacy policy  confidentiality policy  contact  terms and conditions