Housing Benefit is administered locally by the Borough Council and helps people on low incomes to pay their rent. Where people pay rent to a private landlord, the Housing Benefit awarded will be paid by cheque or on written request, direct to bank/building society account. These payments are not legally payment of rent, but are assistance towards rent. Any shortfall in the rent due is outside the authority of the Borough Council.
Payments of Local Housing Allowance
If your tenant is in receipt of payments of the Local Housing Allowance then payments of this allowance is usually paid to your tenant. Under this scheme a tenant can no longer request that payment is made to a landlord unless there is a justified reason.
The Safeguard Policy covers the following categories where payment of Local Housing Allowance can be considered payable to the landlord:
- tenants unable to pay
- tenants unlikely to pay
- tenants up to 8 weeks in arrears
Payment of Rent Allowance which are exempt from Local Housing Allowance
All new and existing claims are paid in arrears. Tenants can elect to receive their payments directly into their bank account. Landlords must be paid four weekly direct to bank/building society account. Please see the Download Application Forms page where a form to request direct payments to a landlord/agents bank/building society account can be downloaded. If an account cannot be opened, then we may consider making payment via cheque.
Payments can be made payable to either the tenant, the Landlord or Landlord's agent. Payments cannot be made to any other third party. It is your tenant's choice whether payment is made direct to them or to you. However, where we believe it is in your tenant's best interest not to pay them, we will pay you. Also, if your tenant is more than 8 weeks in arrears, payments must be made to you. If your tenant builds up arrears of 8 weeks or more and you believe that they are in receipt of Housing Benefit, write to us immediately to arrange for their benefit to be paid to you direct.
If you receive direct payments, we can discuss certain aspects of the claim with you. Even if your tenant receives the payments, we may still be able to discuss the claim with you if your tenant has given us written permission. Please note that we will never disclose your tenant's personal or financial details.
Landlord's and Agent's duty to report changes in circumstances
If you are a Landlord/Agent and you receive direct payments, you must notify us of any change in your tenant's circumstances which you might reasonably be expected to know could affect your tenant's benefit. The kind of changes to report include where a tenant moves from his accommodation (including any change of rooms within the same property) or a rent increase or decrease, or where the number of occupants changes.
If your tenant is in arrears with the rent...
If you are considering taking eviction action against your tenant for arrears of rent and you feel the arrears are due to a delay in the payment of Housing Benefit, please contact the Housing Benefit office before taking enforcement action.
Overpayments of Housing Benefit
Where more Housing Benefit is paid than a claimant is entitled to, the overpayment may be recovered from the claimant or the person to whom it was paid, i.e. the Landlord or Landlord's agent.
If recovery of an overpayment is sought from you and you do not repay it, we can recover it from any future benefit entitlement which you might be eligible to receive in respect of any of your tenants. The recovery of such an overpayment will not affect the other tenants rent liabilities; such tenants will be deemed to have paid their rent to the full value of their benefit entitlement.
Notice and payments prior to occupation
Housing Benefit is not normally payable for a dwelling which the claimant has not yet occupied, even if there is a liability to make payments. This means that even where a new tenancy agreement has started, Housing Benefit cannot be paid until the claimant has actually moved into the property.
Information that you give:
- Will be used to work out Housing Benefit and Council Tax Benefit.
- May be used for Council Tax purposes.
- Could be given to the Department for Work & Pensions, other Council departments or Government departments.
- Might be checked with third parties to prevent or detect crime, protect Public Funds or in other ways as permitted by Law.
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