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I'm Italian and I have been Living in UK since 2001, full time working till 2008 when due to an accident, I have claimed Disability support for a short period and then back to work.

The passport office refused to give to my son (D.O.B 06/07/2013) the passport under the treaty right, because, they stated that I must have the last (not at least) 5years of living in UK without use public funds.

I do think it is not right that my treaty right 2001-2008 have been scrapped away. If I have had treaty right in 2006 after been working and living in uk, why in 2013 i haven't it any longer ???

You are not the first one who came across this view of the passport office. This view is not in accordance with the EEA Regulations.

I'm guessing you had an in person appointment in London Victoria. Apply by post with a cover letter and evidence of your employment. You should be fine.

I did it by post and a lady in charge refuse the treaty under my name and she said that she may try under my wife but she wants evidences that my wife did not use any public funds during the last five years till now .
She asked for NI statements or P60, that we do not have cuz sent to HOME OFFICE for the PR since June and we still not have any news.
I did order a NI statement but it cans take weeks to arrive .
I was thinking if worth to ask legal advice to have a legal letter to send her and made the point with my 7years 2001-2008.