Guidance

Appendices A to G

Published 15 February 2019

Appendix A – Summary 2017 to 2018 benefit subsidy arrangements

Basic rate of subsidy Arrangements for 2017 to 2018 Arrangements for 2018 to 2019 Remarks
  All Housing Benefit 100% All Housing Benefit 100% No change
Other rates of subsidy Arrangements for 2017 to 2018 Arrangements for 2018 to 2019 Remarks
1. Backdated awards All Housing Benefit
100%
All Housing Benefit
100%
No change
2. Overpayments
i) Eligible
All Housing Benefit
40%
All Housing Benefit
40%
No change
ii. LA error All Housing Benefit 100%
40%
or Nil
All Housing Benefit 100%
40%
or Nil
No change
iii. Administrative delay All Housing Benefit
100%
40%
or Nil
All Housing Benefit 100%
40%
or Nil
No change
iv) Technical All Housing Benefit
Nil
All Housing Benefit
Nil
No change
       
vi) Indicative rent level Rent allowance
100%
Rent allowance
100%
No change
vii) Recovered indicative rent level Rent allowance
Nil
Rent allowance
Nil
No change
viii) Duplicate Rent allowance
25%
Rent allowance
25%
No change
ix) Departmental error All Housing Benefit
100%
All Housing Benefit
100%
No change
x) Recovered Departmental error All Housing Benefit
Nil
All Housing Benefit
Nil
No change
3. Disproportionate increase in LA rents – HB attributable to increase in rents of HB Tenants which exceed those of non-HB tenants Scotland
Rent Rebate
Nil
Wales
Housing Revenue Account (HRA) rent rebate
Nil
Scotland
Rent Rebate
Nil
Wales
HRA rent rebate
Nil
No change
4. Unreasonable rents – deregulated private sector tenancies (cases not affected by the January 1996 changes only) Rent Allowances (subsidy on HB arributable to rent above rent officer determination)
60%
or Nil
Rent Allowances (subsidy on HB arributable to rent above rent officer determination)
60%
or Nil
No change
5. Homeless people in board and lodging accommodation Expenditure up to and including the appropriate LHA based cap
100%
Expenditure above the appropriate LHA based cap
Nil
Expenditure up to and including the appropriate LHA based cap
100%
Expenditure above the appropriate LHA based cap
Nil
No change
6. Homeless people in accommodation held on license by LAs or RSLs Expenditure up to and including the appropriate LHA based cap
100%
Expenditure above the appropriate LHA based cap
Nil
Expenditure up to and including the appropriate LHA based cap
100%
Expenditure above the appropriate LHA based cap
Nil
No change
7. Accommodation held on a short term leased by the LA or a RSL Expenditure up to and including the appropriate LHA based cap
100%
Expenditure above the appropriate LHA based cap
Nil
Expenditure up to and including the appropriate LHA based cap
100%
Expenditure above the appropriate LHA based cap
Nil
No change
8. Modular Improvements Rule HRA rent rebates in England and Wales
Nil
HRA rent rebates in England and Wales
Nil
No change
9. Extended payments All HB All HB No change
10. Discretionary Local Schemes 0.2% addition to their annual benefit subsidy, capped at 75% of the total benefit cost of the local scheme to the LA 0.2% addition to their annual benefit subsidy, capped at 75% of the total benefit cost of the local scheme to the LA No change

Appendix B – Effective dates of rent officers’ determination

Event Effective date
1 New claims The date entitlement starts or, when the 13 week rule applies, from the 14th benefit week of entitlement
2 Change of circumstances Effective date of change
3 Final determination higher than IRL The same as in 1 above
4 Final determination lower than IRL The same as in 1 above
5 Redetermination lower than original determination Date of redetermination or following Monday[footnote 1]
6 Redetermination higher than determination Date of original determination, that is whichever original date is appropriate under 1-3 above

At the 52 week review

Event Effective date
7 Determination is higher than existing determination Rent paid weekly or in multiples of weeks:
The first day of the benefit week in which the day following the last day of the 52 week exclusion period (starting from the date of the previous application to the rent officer) occurs.

Rent paid other than weekly or in multiples of weeks:
The day following the last day of the 52 week exclusion period.
8 Determination is lower than determination The first day of the benefit week following existing the date the local authority receives the determination

Appendix C – Subsidy arrangements for hostel accommodation

A definition of hostel is contained at regulation 2(1) of the Housing Benefit Regulations 2006.

Hostel Type Subsidy Control
A Hostel run by RSL
RSL is landlord
Referral to the rent officer[footnote 2]
B Local Authority Hostels:  
i. including social services hostels where Social Services Department is part of the same LA as the Housing Department Outside HRA: disproportionate rent increase (DRI) rule
ii. as i but RSL is managing agent (LA is landlord) Outside HRA: DRI rule
iii. where Social Services Department is part of County Council Mandatory referral to the rent officer
iv. as iii but RSL is managing agent Mandatory referral to the rent officer
C Health Authority Hostels Mandatory referral to the rent officer
D Resettlement Units Mandatory referral to the rent officer
E Private Sector Hostels  
i. private landlord is landlord Mandatory referral to the rent officer
ii. RSL is managing agent Mandatory referral to the rent officer
F Salvation Army Hostels

referral as
Mandatory referral to the rent officer (unless registered as RSL – then per [footnote 2]
G YMCA Hostels

referral as
Mandatory referral to the rent officer (unless registered as RSL – then per [footnote 2]
H Youth Hostels

referral as
Mandatory referral to the rent officer (unless registered as RSL – then per [footnote 2]

Appendix D – Administration Subsidy distribution for 2018 to 2019

Local Authority – England 2018 to 2019 DWP HB administration subsidy allocation (£)
Adur 168,661
Allerdale 262,412
Amber Valley 322,355
Arun 439,124
Ashfield 417,437
Ashford 332,412
Aylesbury Vale 408,425
Babergh 185,900
Barking 1,031,669
Barnet 1,478,278
Barnsley 841,419
Barrow-in-Furness 215,961
Basildon 604,550
Basingstoke and Deane 411,551
Bassetlaw 323,742
Bath and N E Somerset 414,650
Bedford 474,290
Bexley 700,259
Birmingham 4,845,983
Blaby 165,768
Blackburn with Darwen 518,877
Blackpool 831,138
Bolsover 254,274
Bolton 1,082,057
Boston 224,548
Bournemouth 716,277
Bracknell Forest 288,279
Bradford 1,911,684
Braintree 375,425
Breckland 348,285
Brent 1,825,004
Brentwood 138,800
Brighton and Hove 1,108,821
Bristol 1,759,545
Broadland 223,677
Bromley 875,650
Bromsgrove 164,936
Broxbourne 280,731
Broxtowe 262,047
Burnley 352,107
Bury 578,005
Calderdale 666,397
Cambridge 345,827
Camden 1,478,991
Cannock Chase 295,781
Canterbury 406,551
Carlisle 310,708
Castle Point 211,774
Central Bedfordshire 578,690
Charnwood 343,403
Chelmsford 388,426
Cheltenham 288,073
Cherwell 324,446
Cheshire East 774,548
Cheshire West and Chester 849,622
Chesterfield 393,601
Chichester 297,301
Chiltern 169,226
Chorley 258,250
Christchurch 121,477
City of London 62,210
Colchester 493,341
Copeland 202,557
Corby 250,517
Cornwall 1,745,138
Cotswold 180,982
Coventry 1,235,694
Craven 96,753
Crawley 432,204
Croydon 1,470,136
Dacorum 443,418
Darlington 411,782
Dartford 264,352
Daventry 140,106
Derby 889,298
Derbyshire Dales 140,921
Doncaster 1,073,628
Dover 357,141
Dudley 988,896
Durham 2,018,235
Ealing 1,571,849
East Cambridgeshire 190,181
East Devon 311,072
East Dorset 162,697
East Hampshire 224,619
East Hertfordshire 301,524
East Lindsey 488,039
East Northamptonshire 187,915
East Riding of Yorkshire 837,734
East Staffordshire 297,962
Eastbourne 403,326
Eastleigh 245,547
Eden 96,353
Elmbridge 281,494
Enfield 1,560,821
Epping Forest 321,590
Epsom and Ewell 148,919
Erewash 299,681
Exeter 386,170
Fareham 193,886
Fenland 312,129
Forest Heath 163,075
Forest of Dean 213,816
Fylde 199,357
Gateshead 885,392
Gedling 300,683
Gloucester 410,346
Gosport 303,370
Gravesham 317,703
Great Yarmouth 380,857
Greenwich 1,535,326
Guildford 297,357
Hackney 2,278,328
Halton 473,845
Hambleton 167,917
Hammersmith and Fulham 1,030,738
Harborough 117,523
Haringey 1,665,501
Harlow 362,108
Harrogate 277,348
Harrow 841,293
Hart 121,839
Hartlepool 429,762
Hastings 420,606
Havant 340,395
Havering 691,892
Herefordshire 485,187
Hertsmere 300,007
High Peak 240,915
Hillingdon 1,025,399
Hinckley and Bosworth 191,985
Horsham 246,248
Hounslow 941,612
Huntingdonshire 396,617
Hyndburn 314,957
Ipswich 527,783
Isle of Wight 498,873
Isles of Scilly 1,779
Islington 1,660,490
Kensington and Chelsea 932,921
Kettering 261,678
Kings Lynn and West Norfolk 418,310
Kingston upon Hull 1,441,320
Kingston upon Thames 449,283
Kirklees 1,335,647
Knowsley 760,790
Lambeth 2,116,006
Lancaster 357,841
Leeds 3,000,369
Leicester 1,429,272
Lewes 276,347
Lewisham 1,972,731
Lichfield 190,731
Lincoln 391,402
Liverpool 2,706,464
Luton 749,632
Maidstone 403,528
Maldon 134,080
Malvern Hills 180,660
Manchester 2,663,251
Mansfield 387,934
Medway 871,344
Melton 89,038
Mendip 264,961
Merton 603,503
Mid Devon 191,837
Mid Suffolk 172,484
Mid Sussex 247,338
Middlesbrough 797,064
Milton Keynes 936,940
Mole Valley 177,763
New Forest 375,463
Newark and Sherwood 295,136
Newcastle upon Tyne 1,262,109
Newcastle-under-Lyme 342,445
Newham 1,713,116
North Devon 287,593
North Dorset 148,381
North East Derbyshire 279,461
North East Lincolnshire 633,576
North Hertfordshire 349,879
North Kesteven 223,363
North Lincolnshire 494,063
North Norfolk 287,501
North Somerset 579,464
North Tyneside 795,212
North Warwickshire 152,736
North West Leicestershire 207,790
Northampton 715,240
Northumberland 1,042,202
Norwich 701,790
Nottingham 1,573,781
Nuneaton and Bedworth 377,849
Oadby and Wigston 98,605
Oldham 841,141
Oxford 465,233
Pendle 325,830
Peterborough 725,956
Plymouth 1,010,710
Poole 384,168
Portsmouth 990,482
Preston 486,146
Purbeck 109,227
Reading 599,511
Redbridge 894,183
Redcar and Cleveland 595,052
Redditch 247,933
Reigate and Banstead 310,534
Ribble Valley 88,793
Richmond upon Thames 461,112
Richmondshire 81,472
Rochdale 888,867
Rochford 155,011
Rossendale 207,571
Rother 235,430
Rotherham 1,002,694
Rugby 221,259
Runnymede 189,945
Rushcliffe 180,560
Rushmoor 300,175
Rutland 59,284
Ryedale 107,869
Salford 1,211,029
Sandwell 1,451,145
Scarborough 413,616
Sedgemoor 293,746
Sefton 951,562
Selby 173,002
Sevenoaks 253,535
Sheffield 2,211,617
Shepway 386,086
Shropshire 717,236
Slough 548,949
Solihull 520,274
South Bucks 125,096
South Cambridgeshire 262,077
South Derbyshire 194,231
South Gloucestershire 644,006
South Hams 211,064
South Holland 214,481
South Kesteven 324,425
South Lakeland 187,569
South Norfolk 267,200
South Northamptonshire 129,724
South Oxfordshire 236,961
South Ribble 235,100
South Somerset 398,192
South Staffordshire 228,960
South Tyneside 807,910
Southampton 937,411
Southend on Sea 674,571
Southwark 1,821,052
Spelthorne 238,464
St Albans 266,714
St Edmundsbury 260,676
St Helens 687,740
Stafford 282,170
Staffordshire Moorlands 187,524
Stevenage 328,392
Stockport 786,763
Stockton on Tees 723,140
Stoke on Trent 1,070,400
Stratford-on-Avon 253,567
Stroud 244,426
Suffolk Coastal 270,052
Sunderland 1,354,237
Surrey Heath 156,737
Sutton 552,843
Swale 451,413
Swindon 544,653
Tameside 892,517
Tamworth 215,178
Tandridge 175,139
Taunton Deane 283,257
Teignbridge 348,469
Telford and Wrekin 674,888
Tendring 545,504
Test Valley 257,724
Tewkesbury 180,578
Thanet 613,951
Three Rivers 202,728
Thurrock 515,679
Tonbridge and Malling 295,320
Torbay 621,630
Torridge 184,810
Tower Hamlets 1,975,866
Trafford 572,504
Tunbridge Wells 282,174
Uttlesford 137,566
Vale of White Horse 232,307
Wakefield 1,324,444
Walsall 1,182,221
Waltham Forest 1,200,866
Wandsworth 1,460,967
Warrington 500,707
Warwick 295,984
Watford 295,967
Waveney 378,119
Waverley 251,210
Wealden 267,480
Wellingborough 247,314
Welwyn Hatfield 347,407
West Berkshire 337,409
West Devon 129,865
West Dorset 253,631
West Lancashire 287,148
West Lindsey 262,726
West Oxfordshire 207,734
West Somerset 111,146
Westminster 1,378,835
Weymouth and Portland 246,684
Wigan 1,053,308
Wiltshire 1,044,787
Winchester 245,154
Windsor and Maidenhead 297,451
Wirral 1,238,690
Woking 224,465
Wokingham 188,393
Wolverhampton 1,138,969
Worcester 311,222
Worthing 301,724
Wychavon 282,274
Wycombe 395,036
Wyre 335,089
Wyre Forest 329,150
York 416,507
Total 185,132,133
Local Authority – Scotland 2018 to 2019 DWP HB administration subsidy allocation (£)
Aberdeen 689,041
Aberdeenshire 609,938
Angus 368,077
Argyll and Bute 319,323
Clackmannanshire 204,134
Comhairle nan Eilean Siar 105,407
Dumfries and Galloway 609,978
Dundee 823,321
East Ayrshire 531,445
East Dunbartonshire 221,758
East Lothian 282,606
East Renfrewshire 175,490
Edinburgh 1,752,172
Falkirk 562,731
Fife 1,319,829
Glasgow 3,943,978
Highland 686,589
Inverclyde 388,854
Midlothian 270,558
Moray 257,770
North Ayrshire 672,284
North Lanarkshire 1,457,778
Orkney 62,862
Perth and Kinross 446,995
Renfrewshire 778,470
Scottish Borders 417,835
Shetland 50,400
South Ayrshire 442,814
South Lanarkshire 1,114,586
Stirling 235,824
West Dunbartonshire 540,770
West Lothian 666,878
Total 21,010,495
Local Authority – Wales 2018 to 2019 DWP HB administration subsidy allocation (£)
Blaenau Gwent 335,207
Bridgend 494,528
Caerphilly 670,501
Cardiff 1,311,726
Carmarthenshire 574,293
Ceredigion 208,376
Conwy 386,790
Denbighshire 354,600
Flintshire 396,103
Gwynedd 375,758
Isle of Anglesey 220,487
Merthyr Tydfil 247,532
Monmouthshire 219,545
Neath Port Talbot 573,428
Newport 574,254
Pembrokeshire 396,561
Powys 346,356
Rhondda Cynon Taf 875,988
Swansea 895,579
Torfaen 360,633
Vale of Glamorgan 382,134
Wrexham 463,982
Total 10,664,361

Appendix E – Weekly limit rents for LAs in England 2018 to 2019

Local Authority Limit rent
Adur £93.67
Arun £90.45
Ashfield £68.12
Ashford £89.13
Babergh £89.11
Barking £97.75
Barnet £107.95
Barnsley £74.53
Barrow £74.87
Basildon £87.55
Bassetlaw £72.24
Birmingham £82.61
Blackpool £71.08
Bolsover £81.61
Bournemouth £83.32
Brent £115.86
Brentwood £94.22
Brighton & Hove £84.18
Bristol £80.90
Broxtowe £74.23
Bury £76.45
Cambridge £102.69
Camden £121.13
Cannock Chase £75.43
Canterbury £88.11
Castle Point £88.14
Central Bedfordshire £101.36
Charnwood £74.14
Cheltenham £80.14
Cheshire West £82.23
Chesterfield £79.50
City of London £106.20
City of York £79.15
Colchester £87.32
Corby £78.62
Cornwall £70.84
Crawley £102.93
Croydon £105.82
Dacorum £108.18
Darlington £70.84
Dartford £89.81
Derby £78.50
Doncaster £73.09
Dover £84.08
Dudley £82.54
Ealing £101.32
East Devon £81.52
East Riding £79.09
Eastbourne £79.33
Enfield £101.10
Epping Forest £99.17
Exeter £75.13
Fareham £90.81
Gateshead £76.27
Gosport £83.63
Gravesham £89.44
Great Yarmouth £74.70
Greenwich £102.98
Guildford £110.47
Hackney £100.76
Hammersmith £115.80
Haringey £106.19
Harlow £91.92
Harrogate £80.51
Harrow £113.57
Hartlepool £100.62
Havering £96.37
High Peak £73.03
Hillingdon £109.03
Hinckley £78.30
Hounslow £102.46
Ipswich £82.06
Islington £121.19
Isles of Scilly £80.09
Kensington £127.88
Kettering £81.26
Kingston upon Hull £74.98
Kingston upon Thames £112.18
Kirklees £69.66
Lambeth £108.68
Lancaster £77.13
Leeds £74.04
Leicester £71.72
Lewes £89.29
Lewisham £96.29
Lincoln £68.65
Luton £86.53
Manchester £74.13
Mansfield £73.01
Medway Towns £81.79
Melton £77.06
Mid Devon £78.55
Mid Suffolk £82.21
Milton Keynes £85.68
North East Derbyshire £81.18
New Forest £99.28
Newark £77.98
Newcastle upon Tyne £75.07
Newham £97.67
North Kesteven £76.56
North Tyneside £76.47
North Warwick £87.76
Northampton £83.05
Northumberland £68.17
Norwich £79.22
Nottingham £74.88
Nuneaton £78.05
North West Leicester £78.89
Oadby & Wigston £79.19
Oldham £79.33
Oxford City £108.92
Poole £84.98
Portsmouth £84.78
Reading £104.67
Redbridge £102.63
Redditch £77.97
Richmondshire £77.60
Rotherham £75.79
Rugby £86.53
Runnymede £110.22
Salford £80.25
Sandwell £81.28
Sedgemoor £77.57
Selby £78.21
Sheffield £71.78
Shepway £84.04
Shropshire £81.41
Slough £106.14
Solihull £82.13
South Cambridge £106.87
South Derby £79.81
South Holland £75.60
South Kesteven £78.67
South Tyneside £75.22
Southampton £84.68
Southend-on-Sea £85.75
Southwark £107.89
St Albans £113.74
Stevenage £97.80
Stockport £74.61
Stoke-on-Trent £70.37
Stroud £82.37
Sutton £106.95
Swindon £82.74
Tamworth £80.28
Tandridge £98.06
Taunton Deane £82.23
Tendring £83.82
Thanet £80.84
Thurrock £85.89
Tower Hamlets £110.64
Uttlesford £98.32
Waltham Forest £101.92
Wandsworth £124.78
Warwick £93.66
Waveney £80.20
Waverley £114.44
Wealden £84.65
Welwyn Hatfield £107.96
West Lancashire £76.06
Westminster £124.93
Wigan £76.89
Wiltshire £88.03
Winchester £101.19
Woking £104.18
Wokingham £115.22
Wolverhampton £79.69

Appendix F – Amounts for rent rebate subsidy deduction calculation for LAs in Wales 2018 to 2019

Local Authority Specified amount ‘O’ Guideline rent increase ‘P’
Caerphilly 86.00 5.72
Cardiff 96.69 6.29
Carmarthenshire 85.56 5.68
Denbighshire 83.28 5.68
Flintshire 86.50 5.87
Isle of Anglesey 82.38 5.73
Pembrokeshire 86.83 5.36
Powys 87.41 5.67
Swansea 84.32 5.78
Vale of Glamorgan 93.60 6.09
Wrexham 85.61 5.73

Appendix G – Subsidy arrangements for Temporary Accommodation

Calculating subsidy

1. The weekly amount of subsidy payable in cases subject to Articles 17–17C is the lowest of the:

  • weekly HB entitlement (the amount paid to the customer for the week or part week, as the case may be)
  • maximum weekly subsidy amount (described below), or
  • upper cap limit £375 or £500 (also detailed below)

2. A maximum weekly subsidy cap of £500 is applicable in respect of customers placed into temporary accommodation located in the following Broad Rental Market Areas (BRMAs), in London:

  • Central London
  • Inner West
  • Inner North
  • Inner South West
  • Inner East
  • Inner South East
  • Outer South West

3. A maximum weekly subsidy cap of £375 is applicable for customers placed into temporary accommodation located in:

  • all remaining BRMAs in London (not listed above), and
  • all other BRMAs outside of London

Notes for all cases:

  • by landlord we mean the claimant’s immediate landlord, i.e. the person to whom the claimant is ultimately liable to pay their rent
  • from April 2011, the subsidy scheme only applies to ‘homelessness accommodation’. This is accommodation made available to discharge any of the LAs statutory homelessness functions, or to prevent homelessness
  • the legislation now refers to all ‘licensed’ accommodation cases as, ‘accommodation which the authority has a right to use under an agreement, other than a lease, with a third party’
  • all cases where the person’s appropriate home is in supported housing that is ‘exempt accommodation’, will continue to be excluded from this scheme

Cases subject to Articles 17–17C

Item no. Accommodation Landlord Treatment under HB Maximum weekly subsidy amount Cell no. on subsidy claim form
1 Great Britain
Homelessness accommodation (excluding prevention cases):
- Board and lodging (B&B).
LA or RSL Non HRA rent rebate or Rent Allowance One bedroom LHA rate 012 & 013 – LA landlord or 104 & 105 – RSL
2 Great Britain
Homelessness accommodation:
- Non self-contained
- Held on licence.
LA or RSL Non HRA rent rebate or Rent Allowance One bedroom LHA rate 012 & 013 – LA landlord or 104 & 105 – RSL
3 Great Britain
Homelessness accommodation:
- Non self-contained
- Leased to the LA
(Including hostels on a lease)
- Period up to 10 years
- Outside HRA in England
- In or outside HRA in Wales and Scotland.
LA Non HRA rent rebate in England
Non HRA or HRA rent rebate in Wales / Scotland
90% one bedroom LHA rate 014 & 015 (non HRA in Wales and HRA in Scotland.
056 & 057 (HRA Wales)
4 Wales or Scotland only
Homelessness accommodation:
- Non self-contained
- Leased to the LA
(Including hostels on a lease)
- Period 10 years or over
- In or outside HRA
LA Non HRA or HRA rent rebate in Wales / Scotland 90% one bedroom LHA rate 014 & 015 (non HRA in Wales and Scotland and HRA in Scotland)
056 & 057 (HRA Wales)
5 Great Britain
Homelessness accommodation:
- Non self-contained
- Leased to or owned by RSL
(Including hostels)
- Any period.
RSL Rent Allowance 90% one bedroom LHA rate 106 & 107
6 Great Britain
Homelessness accommodation:
- Self contained
- Held on licence by LA or RSL.
LA or RSL Non HRA rent rebate or Rent Allowance 90% of appropriate LHA rate 014 & 015 – LA or 106 & 107 – RSL
7 England
Homelessness accommodation:
- Self-contained
- Leased to the LA
- Period up to 10 years
- Outside HRA.
LA Non HRA rent rebate in England 90% of appropriate LHA rate 014 & 015
8 Wales and Scotland
Homelessness accommodation:
- Self-contained
- Leased to the LA
- Any period
- In or outside HRA.
LA Non HRA or HRA rent rebate in Wales / Scotland 90% of appropriate LHA rate 014 & 015 (non HRA in Wales and Scotland and HRA in Scotland.
056 & 057 in Wales
9 Great Britain
Homelessness accommodation:
- Self contained
- Leased to RSL
- Owned by RSL[footnote 3]
- Any period.
RSL Rent Allowance 90% of appropriate LHA rate 106 & 107
10 Great Britain
Homelessness accommodation:
- Leased to or owned by RSL
- Sub-leased to the LA.
Treat as 3, 4, 7 or 8 - LA-leased.
LA Non HRA rent rebate in England, Non HRA or HRA rent rebate in Wales / Scotland 90% of appropriate LHA rate (use one bed rate if non self-contained) 014 & 015 (non HRA in England, Wales and Scotland, HRA in Scotland).
056 & 057 (HRA in Wales)

Cases which are not subject to Articles 17–17C

Item No. Accommodation Landlord Treatment under HB Maximum weekly subsidy amount Cell no. on subsidy claim form
11 Great Britain
Hostels:
- Owned by LA
- Outside HRA in England
- In or outside HRA in Wales and Scotland.
LA HRA and/or Non HRA rent rebate 100% subsidy up to level of rent. 023 (non HRA in England & Wales and HRA in Scotland) or 060 (HRA in Wales)
12 Great Britain
Supported exempt accommodation.
Housing Association, Non metropolitan county council in England etc. Rent Allowance TA subsidy rules do not apply

Treated separately for subsidy purposes.
096, 097 & 098

Referring rents to a Rent Officer

4. As this scheme relates only to HB subsidy, there remains some flexibility in these cases as to the level of rent that will be met by HB, i.e. the eligible rent. It is also a reason for having cells in the Subsidy Claim Form that record ‘expenditure above the cap’. The existing HB regulations when the landlord is a registered housing association remain unchanged. These cases continue to be treated as ‘excluded’ rent allowance cases for HB purposes (see below). However, the Department did provide guidance in May 2010, HB/CTB Circular S4/2010, advising LAs to use the maximum subsidy amounts in this scheme as a benchmark for considering whether or not the rent is unreasonably high. That guidance is essentially repeated here, for ease of reference.

5. Under Schedule 2 paragraph 3 of the HB Regulations 2006, the relevant LA is not required to apply to a Rent Officer for a determination in relation to a registered housing association tenancy except in a situation where the LA considers that the:

  • claimant occupies a dwelling larger than is reasonably required by the claimant and any others who occupy that dwelling (including any non-dependants of the claimant and any person paying rent to the claimant), or
  • rent payable for that dwelling is unreasonably high

See The Housing Benefit Regulations 2006 (SI 2006/213)

6. This means that a tenancy with a registered housing association as the landlord is ‘excluded’ from mainstream LHA rules or, as was the case pre-LHA, mandatory Rent Officer referral. It also means that the rent does not have to be referred simply because it is high, or higher than for similar properties. It must be unreasonably high before a referral needs to be made.

7. A referral is also required if the authority considers that the accommodation is larger than is reasonably required by the claimant and any others who may occupy the dwelling. In such circumstances the authority should have regard to the circumstances and housing options available to the individual household. 8 In relation to a profit-making registered provider of social housing, the above provision exempting tenancies from Rent Officer referral only applies to the provider’s social housing. All other housing would be subject to the local housing allowance.

What is reasonable?

9. As every authority is given discretion under the regulations, you should not have a blanket policy of either referral or non-referral of registered housing association cases. However, uniform procedures for assessment of each case should be put in place for staff to follow, backed up by training and written guidance in order to achieve consistency and fairness.

10. The DWP believes that the formulae for calculating maximum subsidy in cases subject to this scheme, along with the upper cap limits, provides sufficient resources to meet the reasonable costs of the leasing obligations to the landlord and any reasonable management costs. Therefore, the LA should have regard to these figures when deciding whether or not a referral is required.

11. The LA should make an informed decision about whether the rent is appropriate given the circumstances of a particular case. It may be reasonable to agree a rent that is higher than will be recouped through subsidy. Conversely, when the actual costs of leasing and managing property are lower than the maximum subsidy amount, it would be reasonable to expect the rent level to reflect this lower amount.

Treatment of HB following referral to a Rent Officer

12. If a tenancy of a registered housing association is referred to the Rent Officer because the accommodation is too large or the rent unreasonably high, then the maximum rent rules apply to the determination of the eligible rent. HB is then payable up to the eligible rent.

13. For HB subsidy purposes, the amount payable in these cases continues to be the lowest of the:

  • weekly HB entitlement (the amount paid to the customer for the week or part week, as the case may be)
  • maximum weekly subsidy amount, or
  • upper cap limit of £375 or £500

The following examples use specific locations for illustrative purposes only

Subsidy Treatment - Example 1 - Rent Officer referral for HAL tenancy (Central London)

6 room property (4 bedrooms). Central London BRMA.

Leased by registered housing association as part of HAL scheme.

Rent is set at £1000 per week.

It is April 2011 and LA decides to refer rent to the Rent Officer.

Rent Officer Determination for the property is £700.

Maximum rent is therefore £700.

  • weekly HB entitlement (claimant on full HB) = £700
  • maximum weekly subsidy amount is 4 bed LHA (£1,150) – 10% (£115) = £1,035
  • upper cap limit = £500

Subsidy payable is the lowest of the three = £500 (Expenditure above the cap = £200)

Subsidy Treatment - Example 2 - Rent Officer referral for HAL tenancy (Aberdeen City)

4 room property (3 bedrooms). Aberdeen and Shire BRMA

Leased by registered housing association as part of HAL scheme.

Rent is set at £200 per week.

It is April 2011 and LA decides to refer rent to the Rent Officer.

Rent Officer Determination for the property is £160.

Maximum rent is therefore £160.

  • weekly HB entitlement (claimant on full HB) = £160
  • maximum weekly subsidy amount is 3 bed LHA (£173.08) – 10% (£17.31) = £155.77
  • upper cap limit = £375

Subsidy payable is lowest of the three = £155.77. (Expenditure is above the 2011 LHA level.)

Key definitions

Registered Housing Association

14. The definition of a registered housing association has been updated. The term ‘registered housing association’ has the same meaning as in regulation 2(1) of the Housing Benefit Regulations 2006. ‘Registered housing association’ means a:

  • private registered provider of social housing, as defined by the Housing and Regeneration Act 2008. These bodies (formerly known as Registered Social Landlords (RSLs)) are registered with the Tenant Services Authority, the regulator of social housing in England
  • housing association which is registered in a register maintained by Welsh Ministers under Chapter 1 of Part 1 of the Housing Act 1996, or
  • housing association which is registered by Scottish Ministers by virtue of section 57(3)(b) of the Housing (Scotland) Act 2001

15. In England, instead of having Registered Social Landlords (RSLs) there are now two types of Private Registered Providers (PRPs) of social housing: those that are non profit-making (effectively the same as previous RSLs); and those that are profit-making (this could be, for example, a private rented sector landlord that has some social housing stock and is registered with the regulator).

16. For ease, registered housing associations have also been referred to as RSLs in some sections of this guidance.

Exempt accommodation

17. Exempt supported accommodation cases dealt with under the pre-1996 rules (including those placed under homelessness legislation) are described as those where the accommodation is provided by a:

  • housing association
  • registered charity
  • voluntary organisation, or
  • non-metropolitan county council in England

that is also:

  • the landlord, and
  • responsible for providing the care, support and supervision or for having it provided on their behalf, to meet their tenant’s needs

18. These homes are exempt from both the maximum rent and LHA methods of working out the eligible rent. These rent allowance cases rely on the pre-1996 system of rent restriction and its allied subsidy rules.

Board and lodging accommodation

19. ‘Board and lodging accommodation’ means:

  • accommodation provided for a charge which is inclusive of the provision of that accommodation and at least some cooked or prepared meals which are both cooked or prepared and consumed in that accommodation or associated premises, or
  • accommodation provided in a hotel, guest house, lodging house or some similar establishment

but it does not include accommodation in a residential care home or nursing home within the meaning of regulation 19(3) of the Income Support (General) Regulations 1987 nor in a hostel within the meaning of Regulation 14 of the Housing Benefit Regulations or, as the case may be, Regulation 14 of the Housing Benefit (State Pension Credit) Regulations.

Self-contained accommodation

20. Accommodation is self-contained if the claimant’s household is not required to share one or more of the following with another household:

  • kitchen
  • bathroom
  • toilet

Licensed accommodation

21. Generally, accommodation will be held on licence (rather than a lease) in circumstances where the local housing authority has occupation rights in respect of homeless persons but does not have the right to exclusive occupation for a defined term on payment of rent. This is likely to be accommodation which the authority has agreement to use on a nightly, weekly or monthly basis to accommodate potentially homeless people.

22. From April 2011, for Housing Benefit subsidy purposes, ‘licensed’ accommodation is referred to in the legislation as: ‘accommodation which the authority has a right to use under an agreement, other than a lease, with a third party’.

  1. In the case of items 4 and 5, when a payment for the week of the final determination or redetermination has already been made when the rent officer’s decision is received, Local Authorities (LAs) may use one of the following, as the effective date for subsidy purposes, the:

    • date of the determination
    • following Monday

  2. Referral must be made if the authority considers (one of the following):

    • accommodation is over-large for the claimant’s reasonable housing needs
    • rent for the accommodation is unreasonably high

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  3. Applies only to accommodation acquired by an RSL, the purpose of which is to be used as homelessness accommodation.