Personal Injury Trusts

A personal injury trust is suitable if you have been awarded compensation as a result of a personal injury. A personal injury trust can also be suitable where you have received a gratuitous payment as a result of a personal injury.

It is a way of keeping your lump sum compensation award separate from your other assets so that the regulations which would otherwise apply with regard to obtaining means-tested benefits are not applicable i.e. you get to keep your compensation award and your means-tested benefits.

The funds remain your own and you are able to use these funds as you please, although payments should not be made on a regular basis and you must never have a total of more than £6,000 in your own name at any one time.

The personal injury trust should be set up within 52 weeks of the first payment you receive and it is better for the trust to be set up before you receive any payment so that the payment is made straight to the trust rather than to you. If you do not set it up within 52 weeks of the first payment then it may still be possible to set up a trust but it is harder.

Why do I need a personal injury trust?

If you have been awarded damages as a result of a successful personal injury claim and receive means-tested benefits, having a lump sum of compensation in excess of £6,000 may lead to you losing your entitlement to any means-tested state benefits you receive.

If your compensation is paid into a personal injury trust, you will be able to have access to these funds (subject to some minor restrictions) and still keep your entitlement to the means-tested benefits which assist you with your day to day expenses.

To discuss your personal injury trust requirements with one of our experienced solicitors, call us today on 0800 2800 421.

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Mihiri Gajraj


Richard Dollimore


Adam Scott


Gary Pick


Claire Radigois

Senior Associate

Jenny Shucksmith

Chartered Legal Executive

Paula Arnold

Associate (Trust and Tax Practitioner)

Helen Glatter

Chartered Accountant