LHA claims without Tenancy agreement?

999mph

I became unemployed recently and am in the process of applying for LHA. My problem is that I am living with my Sister-in-law's family on a commercial rent. According to some of well established housing charities that I had spoken to, as long as I am genuinely paying a monthly commercial rent to my Sister-in-law this would be ok and I should still be entitled to receive benefits. But the issue is my Sister-in-law is not happy to give me a letter confirming this, nor is she willing to sign up a tenancy agreement to help me out. Now, she doesn't know that this is for my LHA because I never told her that. Is there someway I can work around this?

Vader123

No.

You are either doing it commercially and have all the paperwork, or you don't.

Why doesn't she want to give you paper work? How much rent do you pay, if its more than the allowance is she declaring it as income?

Vader

zzzLazyDaisy

Okay, no-one can answer for the SIL's family, but it is possible that they are just doing it to help OP out and don't see it as a long term or permanent arrangement.

I had a friend's friend staying with me for a few months when she lost her digs at short notice. I soon found out why - I don't think she ever paid the agreed contribution in full or on time, added to which she frequently raided my fridge and store cupboard. Then she asked me for a lodger's agreement so she could claim LHA for the room, after she decided that she didn't like the place she was working at, and simply stopped going.

I refused and asked her to leave. I don't claim any means tested benefits and I didn't want someone else claiming at my address. Maybe that isn't a good reason, but there is is.

999mph

What I do have are bank statements with a regular monthly payment going to her account. The LHA application says either a tenancy agreement or a letter confirming the regular payments. I suppose I will eventually have to tell her that it is for my LHA. And quite possibly she won't be able to say 'no' then.

Oldernotwiser

I would've though that your SIL would prefer to know that you have some income from somewhere to enable you to pay the rent as you'll hardly be able to pay rent just out of JSA!

DX2

999mph wrote: »

What I do have are bank statements with a regular monthly payment going to her account. The LHA application says either a tenancy agreement or a letter confirming the regular payments. I suppose I will eventually have to tell her that it is for my LHA. And quite possibly she won't be able to say 'no' then.

Yes but nothing to confirm this payment is for rent, it could be a private loan that you're paying back.

zzzLazyDaisy

I think you need to sit down with SIL and explain that you don't have enough money coming in to pay what you agreed, but that you are entitled to claim LHA to cover the cost of the room, which will mean she is guaranteed to get the money, but in order to claim LHA you need a letter from her confirming that you are renting a room from her.

You might want to print off the information about the rent-a-room scheme so she knows that she won't get into complications with the tax-man.

One thing does occur to me - is she getting the single person's 25% discount on council tax? If so, she must report an extra adult living in the house and pay full CT whether you are working or not. If that is the case, you will need to agree to pay the shortfall CT on top of your rent.

Be prepared for a flat 'no', though. Some people just don't want (what they see as) the hassle.

Vader123

What I do have are bank statements with a regular monthly payment going to her account

This won't cut it.

The money could be for anything, an old loan etc.

If she is renting a dwelling out and getting rent there are hoops to jump through.

Like declaring the income (if over the "rent a room rate"), gas certificates, inventries etc.

To get the state to pay for your rent it has to be legit, a tenancy agreement is the very basic of these.

Vader

zzzLazyDaisy

Just to clarify - a lodger is a person who lives in someones house. The owner also lives on the premises. The lodger has a room in the house and shares facilities (bathroom, kitchen etc). This is not a tenancy, it is a licence to occupy, and there is no legal requirement to provide any form of written agreement, or to provide a gas safety certificate etc.

The situation may be different if several rooms are let, as that may be a HMO, giving rise to different obligations, but OP hasn't suggested that is the case here.

Vader123

zzzLazyDaisy wrote: »

Just to clarify - a lodger is a person who lives in someones house. The owner also lives on the premises. The lodger has a room in the house and shares facilities (bathroom, kitchen etc). This is not a tenancy, it is a licence to occupy, and there is no legal requirement to provide any form of written agreement, or to provide a gas safety certificate etc.

The situation may be different if several rooms are let, as that may be a HMO, giving rise to different obligations, but OP hasn't suggested that is the case here.

Your right.

But I don't feel we are getting the true story here.

When OP refers to "SIL family", I think he lives in another dwelling to the SIL, otherwise he would say, "I live with my SIL".

If the above was correct, the OPs SIL would comply with any requirements for LHA, as this is a garanteed source of income for her.

It feels more like the SIL has another house that she is letting the OP stay in.

Happy to be corrected.

999mph

I do live in the same house basically. I moved in just after my Brother died as a 'tenant' a couple of years back. The house was in my Brothers and SIL's name. Obviously now it's in her name. I have referred to my SIL as my SIL's family because of her kids basically. And that's the reason why ended up there in the first place.

Really appreciate all the advise so far.