BH -v- Secretary of State for Work and Pensions (CA): [2025] UKUT 423 (AAC)

Upper Tribunal Administrative Appeals Chamber decision by Judge Grey KC on 12 September 2025.

Read the full decision in UA-2025-000173-CA.

Judicial Summary

In this appeal against a First-tier Tribunal (F-tT) decision regarding Carer’s Allowance overpayments and employment status classification, I considered the F-tT’s approach to deciding whether the claimant (BH) was employed or self-employed in his work. The sole ground of appeal was whether the F-tT correctly applied the legal test distinguishing between employment under a “contract of service” (employee) or a “contract for services” (self-employed). I accepted BH’s argument that the F-tT wrongly treated payment through PAYE as determinative of BH’s status; it was the contractual relationship that was key. I also found that the F-tT was wrong to rely on the category of “worker employment status” for benefits computation, treating BH as employed despite having the status of neither employee nor self-employed. I took the view that this was inconsistent with The Social Security (Computation of Earnings) Regulations 1996, which recognize only two categories: employed earners and self-employed earners. The F-tT’s use of the broader “worker” definition, derived from other legislation, was inappropriate in this context. The case was remitted for further consideration of BH’s status.

Updates to this page

Published 23 December 2025