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Advice please

happydayz11
happydayz11 Posts: 5 Forumite
First Post
edited 12 February 2020 at 10:46PM in Benefits & tax credits
Asking for a friend who might/or might not be in trouble. Situation is the lady is an OAP living in Housing Association/or Council (not sure which) property. She receives Pension credit and HB/CC. She has allowed her eldest daughter to stay with her, this has been on and off for I think a year or so. The daughter used the address as a postal address for a while (not sure how long). Should the daughter staying have been disclosed? Some weeks she could stay all week, others perhaps a few days.  The daughter is of no fixed abode due to a relationship breakdown for a couple of years etc. A letter has been received from the Council saying they believe the daughter is living there blah blah asking if correct. They are also suspending HB.CC until resolved.What is the situation here, i suggested speaking to CAB as she obviously doesnt want to get into trouble, 

Comments

  • poppy12345
    poppy12345 Posts: 18,883 Forumite
    Tenth Anniversary 10,000 Posts Name Dropper
    Asking for a friend who might/or might not be in trouble. Situation is the lady is an OAP living in Housing Association/or Council (not sure which) property. She receives Pension credit and HB/CC. She has allowed her eldest daughter to stay with her, this has been on and off for I think a year or so. The daughter used the address as a postal address for a while (not sure how long). Should the daughter staying have been disclosed? Some weeks she could stay all week, others perhaps a few days.  The daughter is of no fixed abode due to a relationship breakdown for a couple of years etc. A letter has been received from the Council saying they believe the daughter is living there blah blah asking if correct. They are also suspending HB.CC until resolved.What is the situation here, i suggested speaking to CAB as she obviously doesnt want to get into trouble, 

    More information needed. Does the person claim PIP daily living PIP or DLA care or Attendance allowance? Do they usually live alone?
    If she lived alone then she wouldn't have been entitled to the single person discount in her Council tax. More information needed for the rest.
  • Alice_Holt
    Alice_Holt Posts: 6,094 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper
    "Non-dependant deductions
    The amount of housing costs included in your appropriate minimum guarantee may be reduced if someone else lives with you other than your partner or dependant children, called a ‘non-dependant’ deduction. Deductions are made because it is assumed someone living with you, such as an adult son or daughter, contributes towards your housing costs. The sums deducted are fixed regardless of how much, or if at all, the person actually contributes. If you have more than one non-dependant, there is a deduction for each of them but only one deduction is made for a couple. The deduction for a couple is the highest that would have been made if they were treated as individuals but based on their joint income. Where a non-dependant deduction has to be made, a fixed amount is deducted.
    The deduction is £15.60 a week unless the person works 16 hours a week or more, does not get PC and has a gross income of at least £143 a week, in which case the following rates apply:
     Gross weekly income of non-dependant            Weekly deduction from housing costs
    £143.00–£208.99 .............................................................£35.85
    £209.00–£271.99............................................................. £49.20
    £272.00–£362.99............................................................. £80.55
    £363.00–£450.99............................................................. £91.70
    £451.00 or more............................................................. £100.65

    When assessing the gross income of a non-dependant, most income is counted apart from AA, DLA or PIP. If you apply for housing costs and have a non-dependant, you must produce evidence of their income, for example pay slips or benefit entitlement letters. Changes due to non-dependants joining your household or changes in their income that would reduce your PC should not apply until 26 weeks after the change of circumstance.
    No deductions are made if you (or your partner) are registered as blind, or receive AA, DLA care component or PIP daily living component, or they are already being made from your Housing Benefit.
    No deductions are made for any non-dependant who is:
      a joint owner or joint tenant with you
     a boarder or sub-tenant
     receiving Pension Credit
     under 25 receiving Universal Credit, provided they do not have earned income
     under 25 receiving Income Support, income-based JSA or income related ESA provided it does not include a work related activity or support component
     a full-time student, provided they are not working in the summer break, and people on some training allowances
     aged under 18; or under 20 for whom you are responsible
     employed by a charitable or voluntary organisation as a resident carer for you or your partner and who you pay for that service
     staying with you but who normally lives elsewhere"

    She may wish to speak to Age UK:
    https://www.ageuk.org.uk/information-advice/
    Alice Holt Forest situated some 4 miles south of Farnham forms the most northerly gateway to the South Downs National Park.
  • Asking for a friend who might/or might not be in trouble. Situation is the lady is an OAP living in Housing Association/or Council (not sure which) property. She receives Pension credit and HB/CC. She has allowed her eldest daughter to stay with her, this has been on and off for I think a year or so. The daughter used the address as a postal address for a while (not sure how long). Should the daughter staying have been disclosed? Some weeks she could stay all week, others perhaps a few days.  The daughter is of no fixed abode due to a relationship breakdown for a couple of years etc. A letter has been received from the Council saying they believe the daughter is living there blah blah asking if correct. They are also suspending HB.CC until resolved.What is the situation here, i suggested speaking to CAB as she obviously doesnt want to get into trouble, 

    More information needed. Does the person claim PIP daily living PIP or DLA care or Attendance allowance? Do they usually live alone?
    If she lived alone then she wouldn't have been entitled to the single person discount in her Council tax. More information needed for the rest.
    I know she receives State Pension. No other form of income. She does, her husband passed away a long time ago and she lives in the family home. She advised her Rent and C Tax is paid for also.
  • I think in fairness she feels she was doing the daughter a favour by letting her stay there but it seems that she didnt tell HB /CT because it was an on off arrangement.
  • poppy12345
    poppy12345 Posts: 18,883 Forumite
    Tenth Anniversary 10,000 Posts Name Dropper
    I think in fairness she feels she was doing the daughter a favour by letting her stay there but it seems that she didnt tell HB /CT because it was an on off arrangement.

    Changes should have been reported and because she doesn't claim a qualifying benefit then non dependent deductions will apply. It's very likely that she will have an overpayment for housing benefit and council tax, which will both need to be repaid back.
  • Thanks for your help I will also recommend she speaks to Age Concern. To be honest I am sure the daughter will pay her way if she is to become a permanent fixture. I cannot advise her on what will happen about her not informing them but i guess because it wasnt a permenant stay she didnt know she had to. She is really worried sick (just what she doesnt need at her age), At what stage would she be permanent if she comes and goes freely? Anyway thanks i will speak to her again tomorrow and try put her mind at rest . Thank you
  • Can someone advise if a family member is officially a lodger please. 
  • calcotti
    calcotti Posts: 15,696 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Can someone advise if a family member is officially a lodger please. 
    Am fairly sure that a family member cannot be treated as a lodger. For benefits purposes they are a ‘non-dependant’.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • poppy12345
    poppy12345 Posts: 18,883 Forumite
    Tenth Anniversary 10,000 Posts Name Dropper
    Can someone advise if a family member is officially a lodger please. 

    If you rent a room to a family member, different rules will usually apply. The bedroom wouldn't be considered as a spare room, but your Housing Benefit might be reduced because of a 'non-dependant deduction'. The amount of the deduction depends on your relative's income. The deduction might not be taken if you or your relative claim certain benefits.

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