Confused about HB

Gettingtherequickly

We have received a letter from local council advising that due to empty bedroom, the rent we will be receiving will be reduced by £40 pw, but they have told the tenant they will have to pay £10 pw.

On this basis, there is a £30pw difference, so we are all confused.

As the rent is paid 2 weeks in arrears and 2 weeks in advance and the change in occupancy happened in the last week rent was paid, my instinct is that the £10 the council is talking about relates to this week only and actually relates to technical arrears.

Can anyone advise what the situation should be?

Thanks.

pmlindyloo

Could you copy the letter so we can try to help?

Also, I am presuming this is a council/social housing and relating to the so called 'bedroom tax'?

So, who lives in the property? Ages/relationship? How many bedrooms?

And finally, rent of property!

Gettingtherequickly

pmlindyloo wrote: »

Could you copy the letter so we can try to help?

Also, I am presuming this is a council/social housing and relating to the so called 'bedroom tax'?

So, who lives in the property? Ages/relationship? How many bedrooms?

And finally, rent of property!

Sorry, the letter is in the office so can't provide full details.

However, tenancy is with private landlord but tenant on benefits as unable to work currently, recovering from serious illness and due to have major operations in near future.

2 bed property, £800 pcm, tenant with 16 year old. Due to issues with child, has been forced to throw child out, initially it was hoped it would be temporary, but situation appears to be deteriorating and, although it was hoped there would be a reconciliation before child starts college in Sept, it now appears unlikely. Counselling is not working as child will not engage. Situation began when mum became ill and they had to leave where they were living, but they are not in a hovel, it is a nice flat in a nice area, just not where they were. Mum is a single parent, but dad has been providing, and crucially, is supporting mum in this. He warned child that he would stop pocket money if situation didn't change, child now lost that, currently still has phone which dad is paying for, but that could change. The child simply does not comprehend reaction to action, purely views themself as victim.

Child is in a hostel, so claiming benefits, hence the HB re-assessment downward. Rent being received was less than mortgage, but may have to terminate tenancy.

Housing_Benefit_Officer

What Local Authority area are you in? What ages and sex are the 2 children?

Is this private rented or Housing Association?

Gettingtherequickly

16 year old girl in private rented, Croydon

Own_My_Own

I would think it is because the lady is now only entitled to a one bed, so her LHA has been reduced to that rate.

It would be best for her to look for a one bedroom flat. Although I know they are not easy to find.

pmlindyloo

So the situation is (as I understand it) that the tenant's daughter has moved out.

When the daughter lived there the tenant would have been entitled to the 2 bed rate of local housing allowance (either £200.47 per week - outer south Croyden) or £245.28 per week - inner south) But because the rent was £800 per month this would have been the maximum that she was being paid. ie £800 x 12 divided by 52 per week = £184.62 per week.

Now that the daughter has left and is receiving HB in her own right the tenant will now be entitled to the one bed rate of local housing allowance - £159.20 per week (outer) or £188.68 (inner)per week.

Hope you're still with me!

So basically her rent is £184.62 per week and now she will receive either £159.20 per week (outer Croyden) or £188.68 (inner Croyden)


From what you are saying she lives in Outer Croyden and will have a shortfall of about £30 per week.

Does this make sense?

If it does then she could have the following options:

1. Apply for a Discretionary Housing Payment to make up the shortfall- she could cite possible homelessness if she cannot get out of her tenancy agreement and would have rent arrears because of the change of circumstances, plus ill health.

2. If she can get out of her tenancy agreement she could move to a one bed cheaper property

3. She could find the extra money through other benefits (is she claiming PIP/DLA?) or ex partner may help in view of the possible reconciliation of mother and daughter.

Hope this helps and hope I have understood the situation properly.

Link about the local housing allowance

http://www.croydon.gov.uk/advice/benefits/lhallowance/

Gettingtherequickly

pmlindyloo wrote: »

So the situation is (as I understand it) that the tenant's daughter has moved out.

When the daughter lived there the tenant would have been entitled to the 2 bed rate of local housing allowance (either £200.47 per week - outer south Croyden) or £245.28 per week - inner south) But because the rent was £800 per month this would have been the maximum that she was being paid. ie £800 x 12 divided by 52 per week = £184.62 per week.

Now that the daughter has left and is receiving HB in her own right the tenant will now be entitled to the one bed rate of local housing allowance - £159.20 per week (outer) or £188.68 (inner)per week.

Hope you're still with me!

So basically her rent is £184.62 per week and now she will receive either £159.20 per week (outer Croyden) or £188.68 (inner Croyden)


From what you are saying she lives in Outer Croyden and will have a shortfall of about £30 per week.

Does this make sense?

If it does then she could have the following options:

1. Apply for a Discretionary Housing Payment to make up the shortfall- she could cite possible homelessness if she cannot get out of her tenancy agreement and would have rent arrears because of the change of circumstances, plus ill health.

2. If she can get out of her tenancy agreement she could move to a one bed cheaper property

3. She could find the extra money through other benefits (is she claiming PIP/DLA?) or ex partner may help in view of the possible reconciliation of mother and daughter.

Hope this helps and hope I have understood the situation properly.

Link about the local housing allowance

http://www.croydon.gov.uk/advice/benefits/lhallowance/

Thanks for that, thought that was the case, but council giving confusing info. As if mum did not have enough on her plate, she is desperate to work, but with the uncertainty of dates for operations, unable to look for full time permanent work. One bed properties rare as hens teeth, so alot of cutting back to be done to ensure she has a roof over her head.

Hello OMO

paddedjohn

Can she find a lodger to fill the empty room?

Dunroamin

Gettingtherequickly wrote: »

Thanks for that, thought that was the case, but council giving confusing info. As if mum did not have enough on her plate, she is desperate to work, but with the uncertainty of dates for operations, unable to look for full time permanent work. One bed properties rare as hens teeth, so alot of cutting back to be done to ensure she has a roof over her head.

Hello OMO

This hen seems to have rather a lot of teeth as Rightmove lists well over 100 x 1 bed properties to rent under the inner Croydon LHA threshold, with quite a few being under the outer rate.

http://www.rightmove.co.uk/property-to-rent/Croydon-93944.html?sortType=1&minBedrooms=1&maxBedrooms=1&index=40

Gettingtherequickly

Dunroamin wrote: »

This hen seems to have rather a lot of teeth as Rightmove lists well over 100 x 1 bed properties to rent under the inner Croydon LHA threshold, with quite a few being under the outer rate.

http://www.rightmove.co.uk/property-to-rent/Croydon-93944.html?sortType=1&minBedrooms=1&maxBedrooms=1&index=40

Fair comment, problem is very few want to have tenants on benefits, especially now that the money will possibly be paid directly to tenant.