HELP, advice on housing benefit

craftygran

My granddaughter is 18 and expecting her first baby in 2 weeks, she work full time and is starting her maternity leave next week. For reasons I don't want to go into here she does not want to continue living at home with her Mother and Stepfather and has been looking for somewhere else to live. She started the job she is in at the moment in Jan this year and before that completed an apprenticeship. She knows she will receive e £139.58 weekly maternity allowance. She has just been offered a private rented 2 bedroom house with a rent of £500 monthly, which she knows she can afford while working but is worried about what help she will receive while on maternity leave. We have tried the benefit calculators and one said she would only receive maternity allowance until baby is born then she could claim housing benefit, working tax and child tax benefit but the other said she would receive no help even after baby is born, other than the maternity allowance and child benefit. Can anyone help, she is desperate to leave home.

pmlindyloo

How much did she earn in the last tax year? And when does she intend to return to work? And will she be requiring child care?

Once we have that information then one of our resident 'experts' on tax credits will be able to help.

In the meantime whilst she is on maternity leave she will be eligible for Housing Benefit and Council Tax support. Some of the tax credits will be counted as income so it is important to know her award so that her HB can be worked out.

Once the child is born (does she intend to move about before baby is born?) then she will be eligible for the two bed rate of local housing allowance (the rate can be found on her local council website)

If she moves into the 2 bed place before baby is born then she may only be eligible for shared accommodation rate of housing benefit as she is under 35.

If you could answer the questions more help could be available.

burlington6

What about getting the father to contribute?

Caz3121

Is she planning on living with the baby alone or with the father. If together, any benefits would be based on the joint household income so if he has a high income there may be nothing payable
Does she have savings behind her for deposits, rent in advance etc

craftygran

Thanks for the replies. She is planning on living on her own at the moment and she has saved enough for the deposit and a month's rent in advance.

The Father is on an apprenticeship and is willing to contribute but only earns £400 a month and still has to pay his Mother board and fares to work.

Last tax year she earned £7800 but with the new job she started in Jan she earns £15000. She is planning to take 6 months maternity leave and is going back to work in December. She will not require child care.

She was planning to move next week and the baby is due 9th June. She has just contacted the council about housing housing benefit and been told she will not receive any help until after the baby is born, not even the shared accommodation rate because the house is too big for her needs.

Caz3121

craftygran wrote: »

not even the shared accommodation rate because the house is too big for her needs.

that sounds incorrect. The shared accommodation rate should be used int he calculations (possibly about £50-£60 per week) but it is probable that her current income is too high to qualify for any help
What is the 2 bed LHA rate for her area?

pmlindyloo

Caz3121 wrote: »

that sounds incorrect. The shared accommodation rate should be used int he calculations (possibly about £50-£60 per week) but it is probable that her current income is too high to qualify for any help
What is the 2 bed LHA rate for her area?

I agree. I suspect that the shared accommodation rate is low (look on your local council website for the rates) and her SMP means that she is not entitled to it.

I suspect that your granddaughter has misunderstood what they have said.

Try using the https://www.entitledto.co.uk calculator putting in that she is single with no children and see if she would be entitled to any help.

if she is not currently entitled to help with rent then she will have to wait until baby is born. Then she can claim the 2 bed local housing allowance rate.

Also she needs to apply for tax credits, child benefit and council tax reduction when baby is born.

craftygran

I've checked the rates and the shared accommodation is £45 and the 2 bedroom is £97.81, her maternity allowance is £139.58, these are all weekly.

Caz3121

It does sound like her income is too high for any benefit before baby is born, once baby is here they will use the £97.81 in the calculations so that means she will still have a fair amount to pay as the maximum payable will be £424 before any deductions for income. Has she accounted for the costs of paying a minimum of £76 rent on top of bills in her budget calculations?

craftygran

She has accounted for all her costs and was aware that she would be struggling while on maternity leave but was prepared for that and she has stocked up on everything she needs for baby.