Frequently Asked Questions

The information below gives you an idea of the principles which are involved, BUT it will not show you how to calculate the grant you might receive.



The means test is calculated by following these four steps:



(1) YOUR AVERAGE WEEKLY INCOME IS CALCULATED



This is done:



By looking at your income over the past twelve months including interest on savings of more than £6,000, and deducting:

Income Tax, National Insurance, Pension Scheme Payments and eligible child-care costs.

(but no account is taken of mortgage payments for buying your home)



(2) PERSONAL ALLOWANCES ARE SUBTRACTED FROM YOUR INCOME



This is similar to the principle of Housing Benefit where fixed allowances are made for your personal circumstances including:



- Number of dependant children



- Special Disabilities



- Retired persons



- Single parents etc





(3) THE AMOUNT WHICH IS LEFT IS USED TO ESTIMATE THE MAXIMUM THAT THE GOVERNMENT SAYS YOU CAN BORROW



The proportion of your income in excess of your personal allowances is used to calculate the maximum loan you could, in theory borrow to finance the works. You would be expected to obtain this loan through the private sector.



(4) AMOUNT OF GRANT AVAILABLE



The loan you are considered to be able to afford is then deducted from the cost of the eligible works and what is left will be the amount of grant you are entitled to, subject to a maximum grant limit of £25,000.



If you would like more detailed information please ask us to give you an estimate of your likely contribution under the means test. This will be based on your particular case, but it is important to remember that the final figure cannot be decided until you make a full application. Alternatively you can download a preliminary owner/occupiers means test in pdf format here.






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