The LA decides that although DHP cannot meet the full shortfall or be paid long term, it will make up most of the difference in the short term to allow Susan time to either find full time employment or move into more affordable accommodation. If your LA makes an out of borough placement and the claimant is entitled to HB, the placing authority will pay the HB and consider the DHP. The legislation which specifies the overall limit on expenditure is Article 7 of the Discretionary Housing Payment (Grants) Order 2001 (S.I. 2.3. You are also asked to record the intended outcome by value of payments made. 4.5. 3.12. However, if it is reasonable in the circumstances, an application can be accepted from someone acting on behalf of the HB or UC claimant. The benefit cap is about incentivising work and promoting fairness for working households, whilst continuing to support the most vulnerable. The landlord does a rent review which results in an increase every 2 years. When deciding how to treat income from disability-related benefits such as Disability Living Allowance or the Personal Independence Payment, you must have regard to the decision of the High Court in R v. Sandwell MBC, ex parte Hardy. However, the regulations require that the level of DHP does not exceed the weekly HB eligible rent. The department currently requests the following information in relation to DHPs: 9.2. 1.10. Shortfalls caused by HB or UC overpayment recovery: when recovery of a HB or UC overpayment is taking place, such shortfalls should not be considered for a DHP. 4.26. For example, account could be taken of the following: is there information on the range of rents charged in the area? It is up to you to decide. The household income may be established by reviewing the claimants UC statement (Copy available from the claimant or via the LCTR data share information). you could consider paying a DHP until the earliest opportunity so that cheaper accommodation could reasonably be sought, a DHP could be paid until a particular milestone, such as the end of training or first possible break clause in a tenancy. That could be an agent, an appointee or a landlord. You could consider the following issues concerning the tenancy: is there scope for the landlord to reduce the rent? This may be in the form of an invoice or any other method you choose, for example using debt collection agencies or via the courts. This is an example of where a DHP may be used on an ongoing basis to provide support where an additional bedroom is not allowed for HB or UC purposes. Where UC is in payment the benefit cap is applied through UC. 1.3. However, you should consider the aims of UC when deciding a payment frequency for a UC claimant, with monthly payments designed to replicate the world of work and develop financial capability for claimants. 7.2. can the claimant change their spending pattern on non-essential items? 6.8. The DHP scheme is set out in the DFA regulations (S.I.2001/1167) as amended by the Council Tax Benefit Abolition (Consequential Provisions) Regulations 2013 (S.I. is the claimant a care leaver who has had a reduction in their LHA rate after becoming 22 years old? Regard should be given to the Court of Appealâs decision in R v. LB Lambeth, ex parte Gargett which sets out that any HB already paid towards âhousing costsâ must be deducted when calculating the amount of a DHP to avoid duplicate provision. 1.9. A housing benefit claim can sometimes be backdated for up to 3 months if you're pension age and up to 1 month if you're working age. From 7 November 2016 the amount at which benefits are capped and were tapered to: £23,000 in Greater London and £20,000 in the rest of Great Britain for couples and lone parents, £15,410 in Greater London and £13,400 in the rest of Great Britain for single childless households. She is matched with her new adoptive child, a 5 year old girl, and the child moves into the third bedroom. There may be circumstances when DHP is awarded and a subsequent successful application for an exempting benefit that is awarded retrospectively means the HB is paid again. As confirmed in paragraph 2.5 a DHP may only be awarded after the end of the first assessment period. The decision may be looked at again in the light of representations made by the claimant (in whatever form you decide) or whenever you consider it appropriate. It will take only 2 minutes to fill in. You should also clearly distinguish the dispute/appeal rights that apply to HB, UC and/or LCTS. As a matter of fact, chances are pretty strong that any insurance professional who you ask to backdate renters insurance is going to tell you to go buy your insurance somewhere else, particularly if you’re looking for coverage for a loss that has already occurred. 2.5. Ms Martin is struggling to move into work as she does not have any qualifications or work experience. 1.7. is the claimant in work but with high travel costs, because of distance from work or split shifts for example? 4.21. It may be useful for respective LAs to collaborate and agree which authority will support which home. The government has amended legislation to extend this easement to children and non-dependants. 1.1. Donât worry we wonât send you spam or share your email address with anyone. Sanctions and reductions in benefit: DHPs cannot meet these because to do so would undermine the effectiveness of the sanctions or reduction in benefit. Some claimants may be caring for siblings, or for 2 or more unrelated foster children, and require additional bedrooms. Also, temporary accommodation used to house homeless people can be expensive. In addition to providing details of DHP expenditure, the Responsible Finance Officer must certify that all entries on the forms are accurate and expenditure has been incurred in accordance with this guidance and the regulations governing DHPs. You should consider making the DHP award on a longer-term basis, including an indefinite award where appropriate, subject to a relevant change in their circumstances. How to get it You don’t need to submit a claim for Rent Assistance. Pretty sure he can't get away with backdating a rent review. With the assistance of his LA he finds a bedsit in another borough within the LHA rate with a rent of £500 per month and he receives a direct payment of UC which includes rental housing costs totalling £380 per month. The rates of reduction to the eligible rent for those affected by this policy are: 14% where there is under-occupation by 1 bedroom; and, 25% where there is under-occupation by 2 or more bedrooms. The objectives include, but are not limited to: encouraging and sustaining people in, and into, employment, tenancy maintenance and homelessness prevention, safeguarding residents in their own homes, helping those who are trying to help themselves, supporting those with kinship or shared care arrangements, ensuring that domestic abuse victims who are trying to move to a place of safety are supported, supporting the vulnerable, including young children and the elderly in the local community, helping claimants through personal and difficult events, supporting young people in the transition to adult life, promoting good educational outcomes for children and young people, supporting disabled people to remain in adapted properties. You can get Rent Assistance if you get certain payments from us and pay rent. 4.1. This could increase the demand for DHPs in some areas, depending on the levels of local rent increases. DHPs have been fully devolved from 1 April 2017, with the Scotland Act 2016 implementing the Smith Commission Agreement. Claimants will need clear information about the decision on their DHP application as soon as reasonably practicable. have they sought advice on how to clear their debts? In this case it may be prudent for you to award a backdated DHP to meet those arrears so as not to undermine the claimantâs move into employment. You should claim as soon as you think you may be eligible. From 19 June 2017 all payments made by either WLMEF or LET are fully disregarded for the purposes of calculating HB and applies to existing and new claims. This is because the allocation of DHP funding is based on the caseload data within each LA area. The examples are simply ideas as to what you may wish to think about when considering a DHP award. 4.24. However, the length of time over which an award of DHP can be paid is your decision, but it may be helpful to consider the following: is the claimant likely to require assistance in meeting their housing costs for as long as they remain in the property? 2001/2340). Alternatively, you may wish to make a long term or indefinite award until the claimantâs circumstances change. You can send a letter to explain your circumstances. does living in the area mean a better chance of employment? When processing an application from a UC claimant, consideration should be given to: total monthly household income including the whole value of the UC award, less total monthly household expenses (which you deem reasonable), equals shortfall in income to consider for DHP award. can the housing options or homelessness prevention team help the claimant to negotiate a lower rent if the claimant feels unable to attempt to do so themselves? 9.1. How much you can get The amount of Rent Assistance you can get depends on how much rent you pay. does the household have a member who has been affected by the 2017 terrorist attacks in Manchester and London? 6.1. This is unlike HB overpayments where there is a regulatory provision to allow recovery from ongoing HB. The summary of the total expenditure supplied should be consistent with the total figure submitted on the mandatory DHP claim form. Use our template letter to ask the council to backdate your housing benefit. Following the Autumn Budget 2017 additional TAF of £125 million was made available for 2018 to 19 and 2019 to 2020 was based on 50% of the savings from the LHA freeze. When deciding whether to backdate a DHP, each application should be considered on its own merits. 4.29. If the family moved to a smaller home, that property would then need to be adapted at considerable expense. does the claimant require an extra room because of a physical, or mental, health problem that affects them or a member of their household? As there are variations in local rental markets across the country, some claimants may have a greater shortfall between their LHA and their rent than others. 4.10. 6.12. 8.1. LAs in England and Wales can use their own funds to top up their government contribution by an additional 150%. 2.18. 1.1. A DHP can therefore be made towards housing costs for a property other than the one for which benefit has been awarded. backdated rental profits You could of course avoid the need to complete tax returns for 2009 and earlier by providing details of the net rental profit for each year in a letter (assuming of course that there were profits after deducting all allowable expenses) and enclosing your client's cheque for the unpaid tax that you have calculated from your schedules of rental profits. One of the LAs objectives is to use DHPs to help people maintain their employment. DHPs may be delivered via HB payment systems and may also be paid alongside HB payments. Before considering an award, you must be satisfied that the claimant is entitled to: UC that includes a housing cost element towards rental liability, and requires further financial assistance with housing costs. This could be an appointee or advocate, for example, if the person is vulnerable and requires support; or the claimant may request that someone acts on their behalf. From April 2017 we only require information from English and Welsh LAs as DHPs are now devolved to Scotland. a second member of staff could check the decision to ensure consistency, some LAs find a partnership approach between HB departments and other housing departments such as Housing Options, Housing Strategy and private rented sector access schemes highly effective in making best use of DHPs, to ensure awards are reviewed and monitored, a system for example a spreadsheet, could be utilised, it may be appropriate to visit claimants in their own home as it helps to confirm their circumstances and establish what further help or advice they require, when a change of circumstances means that an award of HB or UC is reviewed the DHP award should be reviewed at the same time. As such you could issue a review form prior to the end of the first award to ask for relevant information, if you have a claimant, whose circumstances are unlikely to change, for example, (either they or a member of their family is severely disabled, or are in a sanctuary scheme), you may wish to consider using a shorter review or rapid reclaim form when they renew their application for a DHP, paying DHPs from the date on the application form would be more transparent for both LAs and claimants, although backdating and paying in advance is allowable, claimants normally have to arrange their finances quickly so you could ensure that decisions on DHP applications are made within 4 weeks, to ensure a DHP award remains necessary and fit for purpose, you could incorporate a review mechanism for longer term awards. When backdating an award, you may wish to consider: the claimantâs age, health and personal circumstances, whether the claimant has taken up a mitigating option. 2013/458), which came into force on 1 April 2013; and the UC (Consequential, Supplementary, Incidental and Miscellaneous Provisions) Regulations 2013 (S.I. As the DHP scheme has been in place for some years you are likely to have built up expertise and local knowledge enabling the DHP budget to be profiled to meet demand over the course of the year. You can also Private Message one of our Community Managers here. For the purposes of applying the benefit cap we define a household as a claimant, their partner and any children they are responsible for and who live with them. 4.29. The government has provided additional funding for DHPs to support claimants affected by the benefit cap who, as a result of a number of complex challenges, cannot immediately move into work or more affordable accommodation. Backdating is sometimes possible but only in limited circumstances. Your housing benefit can only be backdated for a maximum of: If your benefit is backdated, you usually get a lump sum payment to cover the period before you claimed. 2006/214)) define which payments qualify as rent and therefore in respect of which HB may be paid. 4.8. In addition, Mr and Mrs Smithâs oldest child is 15 years old and in the process of completing her GCSEs at school. 6.6. You're a mixed age couple if one of you is pension age and the other is working age. In some cases, your LA will specify that an adopted child should have their own room, and not share with another child, which is in contrast to the size criteria rule. 9.11. These are when: 7.10. 2.1. 7.14. of the existence of DHPs, establishing and maintaining links to ensure awareness of the scheme among staff working in housing options, homelessness and adult and childrenâs services, including DHP advice as part of general welfare advice services, making landlords aware of the scheme (private landlords, housing associations and registered providers), establishing links with social housing tenants and residentsâ organisations to ask them to help raise awareness of the scheme, raising awareness by having information of the scheme available at tenants and residentsâ forums, including clear DHP eligibility requirements, application and appeal information on your LA website, ensuring it is visible and easily accessible to both HB and UC claimants, information on Choice Based Lettings scheme websites, information within literature or communications relevant to housing allocations policies or placements, raise awareness through interviews with local radio, including stations targeting different ethnic groups, targeted communications aimed at those likely to be affected by telephone, text message or social media such as Twitter. 3.4. 1.16. âHousing costsâ are not defined in the regulations and this approach purposely allows broad discretion for interpretation. 7.6. If a DHP is paid with HB, notifications to the claimant must clearly show how much is the HB and how much is the DHP. They have 2 children, a girl aged 7 and a boy aged 5. The service charge rules for UC can be found in the UC Regulations 2013, Schedule 1. There are certain elements of a claimantâs rent that the HB and UC regulations exclude so they cannot be included as âhousing costsâ for the purposes of a DHP.