Changing House while on Housing Benefits

slimg

Hello,
Im a self employed on Housing Benefits, I live in a studio flat in London. Recently I have received a letter from my landlord where he says I need to return my flat back to him in december because of refurbishing...so in few words I have to move out.
The price of my studio is really cheap (way cheaper than all studios out there)... and my HB cover my full rent at the moment (585pcm)...my income at the moment is really low (about 250pcm...i recently started freelancing)...So I was wondering is the HB going to help me for the next house? Im pretty sure I wont be able to get any studio for less than 650-700£ and obviously I dont have enough income...what should I do? Ive got 3 months of time but the situation is really stressful and I would like to sort everything as quick as possible, at least having a plan!
Hope someone can help me, thanks in advance!

BigAunty

You can identify your maximum LHA rate on the local council website (shared property rate if single, no dependents and under the age of 35) or 1 bedroom rate if 35 or over.

As you are probably aware, you can live in any size/cost of property you like but the LHA rate will be fixed and you will have to make up the difference and top up the rent out of other income. The LHA rate is based on the lowest third of local market rents, therefore anything average or above tends to be unaffordable to LHA tenants unless they can pay the difference, or impossible for those receiving the shared property rate who want their own self contained place.

You can enter your income into the Turn2us online benefit calculator and this will identify how much your LHA will be reduced by. It will also tell you if you are entitled to tax credits (so long as you are over 25 if single without dependents, disabilities and work more than 30 hours per week).

Therefore, identifying your LHA entitlement is your primary step, following by finding out how your income may reduce it. You then find a property that meets your LHA rate (and any top ups you can afford, though generally a landlord will not be happy to rent to a LHA tenant with a significant shortfall due to the risk of arrears).

If you are not entitled to tax credits or enough LHA, perhaps you could get a part time job to boost your income while you build up your business?

slimg

I just tryied to calculate my LHA and it says:

"The calculator cannot calculate your entitlements if you are not a British or Irish citizen"

Yeah im not British or Irish...Unfortunately I dont have that much time for a part-time job since Im freelancing so jobs pops out suddenly and I have to be available for anything...I work quite a lot actually 7 days out of 7 but rates are really low especially because I just started...
It's a really complicated situation...only reason why I need a studio flat is because I have some healthy problem (ulcerative colitis) and if you are not familiar with this kind of problem I think none can understand the needs to have a own space....thanks anyway for the info....

BigAunty

Well, most EU residents qualify for HB, if you are getting it now I can't see why you would struggle with a future claim. That calculator is probably avoiding the most complex groups to process - what nationality are you? Run the figures through there anyway.

I'm assuming from your response that you are under 35 and therefore have the lesser rate of HB for a shared property which is why most studios will be unaffordable to you. I'm not aware of any exemption to this except perhaps for those with severe disabilities - perhaps another poster can clarify how this is defined.

You could apply for discretionary housing payment to make up a shortfall but this is not guaranteed, will be just a one off, temporary thing.

If you have any care or mobility needs, you could look into whether you are eligible for Disability Living Allowance.

slimg

Im 27 and Im Italian...
I was on the help line this afternoon and they said my weekly HB was 80pw (while I receive 270£ every 2 weeks)...is a bit strange.
I really thought HB was going to help me (obviously I wasnt going to rent a 1000pw villa I just need my own small spaces.
I heard some people get house directly from the council (after attending long long list)....Do you think I could be apply for that?
Unfortunately my disease is not recognized as a severe disability (even though I never tryied to get DLA - not sure if I can get it) but during inflammatory is really harsh.
Well anyway I really appreciate for the quick and genuine response I hope I can get as much info as I can....

Caz3121

DLA is not based on a diagnosis but on care and/or mobility needs. Unless you receive DLA you will be restricted to the shared room rate.
You may well have been in a transition period and still getting the one-bedroom rate until the anniversary of your tenancy and then you would have been dropped to the shared room rate

BigAunty

slimg wrote: »

...
I heard some people get house directly from the council (after attending long long list)....Do you think I could be apply for that?
.....

There are two routes into social housing (housing association AND local councils), one is to apply and go on a waiting list or bid for properties that become vacant which may have hundreds of bids on them by people with greater priority.

The other is to apply when you are homeless (less than 28 days security of tenure) because local councils are obliged by law to house the homeless who are in priority need (those with children or vulnerabilities, such as a disability that would be aggravated by homelessness are priorities).

Single homeless people who are not considered vulnerable tend to be the least supported group. And London has extraordinary demand and very small supply.

The Direct Gov and Shelter websites will explain how social housing is allocated. The Shelter website has a section on homelessness - how the council process works for those who have nowhere to go. Your local council website should also have homelessness and homelessness prevention information. Read them all.

There's nothing to stop you now from applying to housing associations and the local council to go on the lists. Only when you have no security of tenure (less than 28 days) could you make a homelessness application to your local council but some will ask tenants to contact them early to try to prevent their homelessness.

BigAunty

Caz3121 wrote: »

...
You may well have been in a transition period and still getting the one-bedroom rate until the anniversary of your tenancy and then you would have been dropped to the shared room rate

Good point.

The LHA rates changed in January for new claims - all under 35s on the 1 bed rate were moved to the shared property rate, though there was transitionary protection.

General explanation here

http://www.west-norfolk.gov.uk/default.aspx?page=26542

The OP should contact his council asap and ask for discretionary housing payment if this is the case. The OP should have received letters about the changes.

slimg

Thanks very much for the replies....

I wouldnt have problem to go in flatshare if my health conditions was alright - Ive been flat sharing before! With years unfortunately I realised how better it was for my disease to have my own space (which I know it's a bit the wish of everybody to own our spaces!). The point is, to me is not really a choice but a NEED. Should I talk with my doctor to try to see what;s the best way I should go through?
At the end of the day right now Im receiving 500£ of HB which is good (I pay 585£ rent) but the problem is with freelancing and self employment you never know how the income is going to be and Im really afraid of bad months! Right now I just have to pay that extra 85£ which I can sort out in the good and the bad.... where is the right place where I could go and talk about my issue? Citizen Advice Bureau? Or should I talk with the people at the Housing Benefits?

princessdon

Can you apply to Italy for benefits? I know our ex pats still claim UK benefits.

BigAunty

slimg wrote: »

... The point is, to me is not really a choice but a NEED. Should I talk with my doctor to try to see what;s the best way I should go through?

.. where is the right place where I could go and talk about my issue? Citizen Advice Bureau? Or should I talk with the people at the Housing Benefits?

You may have a need for your own place and a low and variable income but you do not have the right to have housing benefit to pay anything other than the shared rate - you are entitled to the shared rate and this isn't something you can appeal about. It's very much a 'computer says no' approach. There's no discretion. You need to find a place where your LHA meets all or virtually all of the cost or you will struggle to pay for it.

Here are the exemptions - only the severely disabled get an exemption and your condition is unlikely to be classified in that capacity

http://england.shelter.org.uk/get_advice/housing_benefit_and_local_housing_allowance/changes_to_local_housing_allowance

The GP may be able to help you manage your condition but they may not necessarily know much about benefits.

Shelter is a housing advice charity that can help you understand your rights and options, advice on how to find a new place, how to prevent homelessness, if you are entitled to any support from your local council. They may not be able to help you with your HB claim.

The Citizens Advice Bureau should also be able to advise you on benefits and housing rights.

Your local council have a homelessness team - they will tell you if you are due any support because your tenancy is ending but as a single person without dependents or disabilities, you may not be considered a priority and they may not need to help - Shelter will know.