UC and exempt / temporary accommodation

Early days of course; however a few comments on hbinfo that are self-explanatory. I suspect some housing providers risk going under unless they can influence DWP on this (the LA may not even know of these claims or have a right to know):

“We had our first UC claimant who moved into the local nightshelter.

We contacted the DWP, who informed us that they had included housing costs within UC and paid claimant direct”.

“There are a number of our temporary accommocation cases whose housing costs are going through UC who have either left with arrears or eviction is being considered”.

“I don’t think they (DWP) ask any questions as part of the claim process to help them identify Exempt or Specified, and neither do they have a list or local knowledge,  i think they are relying on the support staff in the accommodation knowing to submit two claims and for the LA to confirm the accommodation type”.

Of course, the tenant in this type of short-term accommodation may simply pay the landlord before they move on but the temptation of a large monthly amount including the housing costs monies may be too much for some….

LAs were directed to identify all exempt/specified accommodation,  for the very reason above, to enable housing costs not to be included within UC and also in terms of being part of the future funding for supported accommodation. Of course if support provider is involved in the claim process it can be made clear, but if they are not, then the chances are it will be paid as part of UC. The DWP must address this and not leave it at risk for the housing/support provider to ensure 2 claims are made. Just another thought, surely the higher charges normally associated with such accommodation will alert the DWP that it may be supported, they are not dealing with a high number of claims and are the basic JSA claims so hardly complicated.

Going on with this thought; if DWP pay housing costs to (for example) a claimant in a night shelter that is exempt, does that mean the LA can legitimately refuse an HB claim?

I dont see how. The transitional regs say that HB cannot be awarded where a UC claim has been made….except for exempt. So it seems to me that the award by DWP of housing costs in an exempt case is an error that they can recover (because there is no such argument as official error)....but only from future UC awards. Any Housing Benefit claim must be paid and if it is refused, there would be a right of appeal to a FT Tribunal.