Discretionary Housing Payments

[id6052]

Throughout the governments Welfare Reform in respect of Housing Benefit, there has been repeated reference by the government to Discretionary Housing Payments as a safeguard for those affected by: -

 

• Housing Benefit reductions in private sector
  
• the extension of shared room rate in private sector
  
• the introduction of the under occupation reduction for social tenants
  

I thought it might be helpful to provide some basic information about Discretionary Housing Payments (DHPs).

 

Since 2001, each Council has had a discretion to offer extra assistance to those in receipt of: -

 

• HB who require additional financial assistance to meet their rent costs.
  
• CTB who require additional financial assistance to meet their council tax costs.
  

The amount that a Council can spend is set by the DWP and varies by Council and by year. details of Council's funding limits for 2013/14 can be found at http://www.dwp.gov.uk/docs/s1-2013.pdf

 

Please note that with effect from 1 April 2013, DHPs will no longer be payable to assist with Council Tax costs. It will solely be for help with rent costs, and will be available to those in receipt of HB or Universal Credit.

 

If you are not receiving HB/UC, you will not be eligible for a DHP.

 

If your HB/UC meets your full rental costs, you will not be eligible for a DHP.

 

DHPs are not part of the normal Housing Benefit or Council Tax Benefit schemes. As the name suggests, any payments are made at the Council's discretion.

 

The DWP guidance advises that DHPs should not be used as a way to get round the application of any standard HB restrictions or the government's Welfare Reform.

 

There are no rules that give anyone a right to a payment, but the Council may be able to pay you Discretionary Housing Payments if they believe that you need extra financial support.

 

Normally to be awarded a DHP, you would need to have unusual or extreme circumstances which are causing hardship or mean that you're at risk of becoming homeless.

 

Situations where DHPs may be payable include: -

 

• Foster carers who require additional rooms not allowed for in HB
  
• Disabled people living in significantly adapted properties
  
• People who are unable to pay the shortfall between rent and HB due to other unusual circumstances
  

DHPs cannot be paid to meet service charges that don't count for Housing Benefit - things like charges for water, heating or meals.

 

As there is only a limited amount of money available to pay DHPs, most awards would only be paid for short periods of time to allow the person to make alternative arrangements to meet their rent costs.

 

I am aware that there is currently information being circulated through social network sites advising that anybody affected by the 'bedroom tax' can have the shortfall met by DHPs. This information is simply not true. The amount of money that the DWP have allowed for DHPs is a fraction of the reduction in HB caused by the 'bedroom tax'. So most applicants would be unsuccessful.

Edited March 8, 2013 by citizenB

[Michael Browne]

Shelter: Discretionary Housing Payments

 

DWP: Discretionary Housing Payments Guidance for Councils　

[citizenB]

Thread is now a sticky.

[kulie13]

Just a couple of issues that have come my way:

1. People might want to consider appealing the actual decision to impose the bedroom tax in the first place, using the guide written by Govan Law Centre http://govanlc.blogspot.co.uk/ and posted elsewhere on this site

2. Local authorities are counting DLA as income when assessing whether or not a DHP is payable. When you claim a DHP you have to give income/expenditure information and it is really important to make sure you show where your DLA is used for disability-related expenditure. We all know that you don't have to account for where you spend DLA normally, and it is not taken into account when looking at other means-tested benefits, but DHPs are discretionary payments and they are allowed to see whether DLA income is reasonably being allocated to disability-related expenditure. Try very hard to cover all of the extra heating, laundry bills, etc

[pitcher]

Yes, the “bedroom tax” will hit a lot of people who are most in need. Please remember, it's not the Romanians or the Bulgarians who have caused this problem, it's the Etonians who have put us in this mess. Some councils, mainly in Scotland, have given their word that there will be no evictions for anyone who is in rent arrears due to the “bedroom tax”.

Why not Email your council leader and ask what they are doing to help.

With the above advice, I'm going to give my council a run for my money.

I hope you will do the same.

Regards,

pitcher

[spen1966]

Hi re DHP for council tax

 

I made a claim for DHP and was successful and I also get CT support, has my council made a mistake?

[kulie13]

DHP would normally be to cover a shortfall in housing benefit, although you can get it for other reasons like help with costs of moving home etc. I've never heard of it being used for council tax, but it doesn't mean they have made a mistake - they could be paying it because they can see you can't afford to pay the contribution to council tax that most people are asked to pay now. Your CT support probably doesn't pay the full cost of your CT bill. Check with them if you are worried about being overpaid. DHP's are usually only paid for a short period so ask how long they will help you for.

[cheekipixi]

Hi,

 

I have recently had my Incapacity Benefit taken from me and all other entitlements, ie Income Support, Council Tax Reductions and the help towards the interest on my mortgage.

 

I applied for this payment from the Council as I was informed that the crisis loan had been abolished and I was desperately trying to stop my house from being repossessed. I filled in the form online and the following day I received a phone call for more details. Less than a week later I received a letter stating, they had me down as a priority but then stated I wasn't elidgable for this payment. If I wanted the reasons why I had to write and ask.

 

After reading some things about this D.payment I assumed I wasn't elidgable because the DWP had stopped ALL my money. The following day I received a letter stated as I had appealed I would get ESA. This meant I was now in receipt of ESA meaning I would now be entitled to this payment, I have written twice to them and had no reply.

 

I am getting very worried that repossession is imminant, I have 2 children still at home, 1 being disabled and I am on my own.

 

Can anyone help me make any sense of this please, as it is driving me insane at the present.

 

Many thanks

[id6052]

DHPs are only available to those who rent their homes and receive housing benefit

[spen1966]

you should still be able to get a budgeting loan depending on your circs and ability to pay back this is upto 1500 i think.

[cheekipixi]

I thought that too but I was that desperate I applied anyway and when they phoned me, I explained and they said I would be elidgable.

[cheekipixi]

I already have had one and nearly finished paying for it, but the DWP said I couldn't have a budgeting loan as I wasn't in receipt of any benefits????????

[spen1966]

I live in housing association so my discretionary payment is for the short fall in my hb for the bedroom tax as i have an extra bedroom

if your on esa you may get help with your mortgage interest you can have a budeting loan from the DWP and you pay it bak over 2 years

 

you are eligible for this if you dont owe them anything and can have it for anything you can also down load application form fill it in and send it off

 

you could go to shelter for advice on help with your mortgage arrears.

 

you wont be eligible for discretionary housing payments as you dont have a landlord who you pay rent to but should get CT benefit due to ESA

[spen1966]

you must have enquired in the time between your IS being stopped and before your successful esa claim/appeal, try again you should be successful, they will reduce the amount by the amount outstanding on your present loan.

[cheekipixi]

shelter in my area has closed down and yes it must have been in between losing my benfits and my appeal being accepted, I have applied again but they don't seem to be getting back to me.

 

Thank you everyone for your comments and advice xxx

[spen1966]

hi download a budgeting loan application form and send it off or hand it in to your local jobcentre who will send it through their internal post,

if you contacted them by phone they will send you a form through the post but it will speed things up if you print one off.

 

shelter have a website with a free fone number for advice.

[citizenB]

this thread has been updated and replaced with the link below.

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?393988-Discretionary-Housing-Payment-**Correct-as-at-June-2013**(1-Viewing)-nbsp