S2/2026: Discretionary Housing Payment administration funding for Welsh local authorities for the financial year ending March 2027
Published 19 March 2026
Applies to England, Scotland and Wales
© Crown copyright 2026
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This publication is available at https://www.gov.uk/government/publications/housing-benefit-subsidy-circulars-2026/s22026-discretionary-housing-payment-administration-funding-for-welsh-local-authorities-for-the-financial-year-ending-march-2027
Housing Benefit circular
Subsidy circular
Who should read
All Housing Benefit colleagues and wider if appropriate.
Action
For information
Subject
Discretionary Housing Payment administration funding for Welsh local authorities for the financial year ending March 2027.
Guidance manual
The information in this circular does not affect the content of the HB Guidance Manual.
Queries
If you:
- want extra copies of this circular/copies of previous circulars, they can be found on the subsidy circulars collection page
-
have any queries about the technical content of this circular, contact lawelfare.lafunding@dwp.gov.uk
- distribution of this circular, contact lawelfare.correspondence@dwp.gov.uk
Crown Copyright 2026
Recipients may freely reproduce this circular.
Introduction
1. This circular is to inform you of additional funding of £995,337 that will be allocated to local authorities (LAs) in Wales to support the costs of delivering Welfare Reform changes in the financial year ending (FYE) March 2027.
2. The funding is intended to meet New Burdens incurred by LAs in Wales because of the following areas of Welfare Reform:
- Discretionary Housing Payment (DHP) administration
Funding details
3. This New Burdens funding relates to the costs incurred by LAs in administering the DHP scheme in Wales.
4. DHPs for Scottish LAs were devolved from 1 April 2017 and the Scottish Government will communicate directly regarding the costs of administering their DHP scheme for the FYE March 2027.
5. From 1 April 2026 a new Crisis and Resilience Fund (CRF) is being introduced, incorporating Discretionary Housing Payments (DHPs) in England. Funding for CRF will be communicated by the Ministry of Housing, Communities and Local Government (MHCLG) as part of the Local Government Finance Settlement.
Payment details
6. Each LA will receive their allocations in the week commencing 6 April 2026.
Individual LA allocations
| LA | FYE March 2027 DHP Admin allocation (£) |
|---|---|
| Blaenau Gwent County Borough Council | 26,032 |
| Bridgend County Borough Council | 43,728 |
| Caerphilly County Borough Council | 58,179 |
| Cardiff Council | 120,745 |
| Carmarthenshire County Council | 50,340 |
| Ceredigion County Council | 30,882 |
| Conwy County Borough Council | 29,759 |
| Denbighshire County Council | 29,362 |
| Flintshire County Council | 34,167 |
| Gwynedd Council | 65,604 |
| Isle of Anglesey County Council | 18,880 |
| Merthyr Tydfil County Borough Council | 24,048 |
| Monmouthshire County Council | 18,782 |
| Neath Port Talbot Council | 50,916 |
| Newport City Council | 59,609 |
| Pembrokeshire County Council | 33,242 |
| Powys County Council | 57,250 |
| Rhondda Cynon Taf County Borough Council | 78,042 |
| Swansea Council | 68,139 |
| Torfaen County Borough Council | 30,646 |
| Vale of Glamorgan Council | 30,050 |
| Wrexham County Borough Council | 36,935 |
| Total | 995,337 |