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<p>The capital thresholds strike a balance between protecting less well-off people
and the taxpayer, whilst at the same time recognising the conscientious efforts of
people who have built up capital. This limit also ensures that the help which comes
from taxpayers, many of whom are themselves on low incomes and have limited capital,
is directed to people who need it most. Whilst it is important to encourage saving,
it has never been thought right for substantial amounts of capital to be ignored,
therefore it is also reasonable that there should be a capital limit above which benefits
are not available. The current system allows people to continue to receive benefit
even though they may have an amount of capital, by gradually reducing the level of
their entitlement.</p>
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