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England and Wales High Court (Administrative Court) Decisions |
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You are here: BAILII >> Databases >> England and Wales High Court (Administrative Court) Decisions >> Collins v Plymouth City Council [2009] EWHC 3279 (Admin) (11 December 2009) URL: http://www.bailii.org/ew/cases/EWHC/Admin/2009/3279.html Cite as: [2009] EWHC 3279 (Admin) |
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QUEEN'S BENCH DIVISION
ADMINISTRATIVE COURT
Strand, London, WC2A 2LL |
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B e f o r e :
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ANDREW CRAIG COLLINS (a protected party by Guy Petter Eskell his litigation friend) |
Claimant |
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- and - |
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PLYMOUTH CITY COUNCIL |
Defendant |
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Miss Lisa Sullivan (instructed by Plymouth City Council) for the Defendant
Hearing date: 3rd December 2009
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Crown Copyright ©
Mr Justice Holman
The Issue
The facts and claim
The statutory framework
"17. Charges for local authority services in England and Wales
(1) Subject to subsection (3) below, an authority providing a service to which this section applies may recover such charge (if any) for it as they consider reasonable.
(2) This section applies to services provided under the following enactments -
(a) section 29 of the National Assistance Act 1948 ....
(3) If a person-
(a) avails himself of a service to which this section applies, and
(b) satisfies the authority providing the service that his means are insufficient for it to be reasonably practicable for him to pay for the service the amount which he would otherwise be obliged to pay for it,
the authority shall not require him to pay more for it than it appears to them that it is reasonably practicable for him to pay.
(4) Any charge under this section may, without prejudice to any other method of recovery, be recovered summarily as a civil debt.
(5) This section has effect subject to any regulations under section 15 of the Community Care (Delayed Discharges etc.) Act 2003 (power to require certain community care services and services for carers to be free of charge)."
"7. Local authorities to exercise social services functions under guidance of Secretary of State
(1) Local authorities shall, in the exercise of their social services functions, including the exercise of any discretion conferred by any relevant enactment, act under the general guidance of the Secretary of State."
The guidance
"10.026 The following periodical payments are disregarded:
• Payments from a trust whose funds are derived from a payment made in consequence of any personal injury.
• ....
• ....
The payments in 10.026 are fully disregarded if intended and used to pay for any item which was not taken into account when the standard rate was fixed for the accommodation provided. Otherwise, £20 is disregarded."
As a minimum, users' income should not be reduced by charges below "basic" levels of Income Support, as defined in this guidance....., plus a buffer of not less that 25%."
Plymouth's own Fairer Charging Policy
"2.1 The charges implemented should be consistent, coherent and demonstrably fair to service users and carers.
2.2 All clients will be offered a full financial assessment and the charges implemented will not reduce their income below
current entitlement to Income Support .....plus a further 25% buffer."
"4.4 The clients charge will be calculated from the amount of income received and capital held. This will include benefits received by the client for example....."
Crofton v NHS Litigation Authority
"83. The position with regard to income is far from clear. The CRAG rules for dealing with such income are not expressly imported into the Fairer Charging Policy. In this respect, the contrast with the treatment of capital is striking.....
84. ....the treatment of investment income [which is in point in the present case] is a matter for the discretion of the local authority, untrammelled by any guidance in the Fairer Charging Policy as to how it should be exercised ...."
The further distinction between awards of damages held on trust and those
administered by or under the Court of Protection
The expressed reasons of Plymouth in correspondence
"I enclose for your information Local Authority Circular 2003 No.8, issued by the Department of Health. Please note that under heading 'Home Care Charges' the guidelines state that, when charging for home care, savings and capital should be treated no less generously than the rules for assessing residential care charges. On this basis Plymouth City Council has always disregarded capital sums from Personal Injury Awards that are held in Trust or administered by a Court, for example under Receivership Order.
The relevant Charging For Residential Accommodation guidelines relating to Personal Injury go on to state that income from such Trusts/Personal Injury Awards is also disregarded in full if used to purchase care not provided within the Local Authority standard cost of care; ie if the income is used to purchase care not covered by the Local Authority, it will be disregarded for financial assessment purposes. However, income not assigned to purchase said care will be disregarded up to a maximum of £20 per week. Thereafter it is taken into consideration in full when calculating how much a service user will contribute towards the cost of the care provided by the Local Authority. I attach the relevant part of the Charging For Residential Accommodation guidelines, paragraph 10.026 for your information. The City Council has treated income no less generously when assessing for non-residential care.
You stated in our telephone conversation that it is your contention that [the claimant] holds no money of his own and receives no income in his own name, as all funds are vested in the Court of Protection. I believe this to be an erroneous interpretation of the role of both Receiver and Court of Protection. Paragraph 2 of the First General Order makes it very clear that net income of the patient should be used for maintenance and general benefit of the patient, this includes providing for the care needs of the patient."
"It is our belief that we have and continue to assess [the claimant's] contribution towards the cost of his care correctly. This is because the Local Authority retains the discretion to take income from Personal Injury Awards into consideration when assessing charges for home care services. You do however have the right to ask for further review of the assessed charge if you consider [the claimant] is unable to pay the amount assessed. Therefore, if you require a further review of the assessed charge this matter will be referred to a Senior Manager for further consideration.
I enclose a financial assessment form for you to complete and would ask that you provide any details you would like us to take into consideration when reviewing the charge.
The aim of the review will be to consider the fairness of the charge in the light of [the claimant's] own financial circumstances but also in relation to the position of other users and charge payers."
Mr Bamsey's witness statement
"4. When considering charges to a service user who is a beneficiary of a personal injury trust or whose personal injury award is administered via the Court of Protection, capital sums are always disregarded. The income from these awards is in any event subject to a £20 disregard and if any of the remaining income is used to pay for care not provided by the City Council that is also disregarded; otherwise it is taken into account.....
5. It is the Council's view that this policy complies with the statutory guidance and is within the scope of the Council's discretion. The policy mirrored the guidelines of how income from personal injury damages could be taken into account where that was allowable for those clients receiving residential care...."
Discussion and conclusions
POST JUDGMENT DISCUSSION