What is the issue?
Under Regulation 16(1) of the Immigration (EEA) Regs 2016 a person cannot have a derivative right to reside if they also count as an "exempt person".
"Exempt person" means (Reg 16(7)(c)
) "a person—
(i)who has a right to reside under another provision of these Regulations;
(ii)who has the right of abode under section 2 of the 1971 Act(1);
(iii)to whom section 8 of the 1971 Act(2), or an order made under subsection (2) of that section(3), applies; or
(iv)who has indefinite leave to enter or remain in the United Kingdom."
The problem is in (i) - having a right to reside, where the person's only right to reside is as a "jobseeker" - because if the person also counts as a jobseeker they cannot have this derivative right to reside - but a "jobseeker" cannot claim Universal Credit
(5) Condition A is that the person—
(a)entered the United Kingdom in order to seek employment; or
(b)is present in the United Kingdom seeking employment, immediately after enjoying a right to reside under sub-paragraphs (b) to (e) of the definition of qualified person in paragraph (1) (disregarding any period during which worker status was retained pursuant to paragraph (2)(b) or (c)).
(6) Condition B is that the person provides evidence of seeking employment and having a genuine chance of being engaged."
(NB Condition C is where person has previously been outside the UK).
So if the claimant isn't looking for work immediately after entering the UK, or following having been:
"(b)a worker; (c)a self-employed person; (d)a self-sufficient person; or (e)a student " then they won't count as a jobseeker and so can claim UC under the derivative right to reside rules, where these apply.