Client (in sheltered accommodation on long (RSL) lease) gets PC and Housing Costs for all Service Charges effective from Oct 03. Increased Service charge demand faxed to PS April 04. PS reduce Housing Costs and say balance should be claimed/paid via Supporting People section in HB department instead. CPAG says if claimants on MIG before Apr 03 and getting full housing costs then costs of support eg from a warden will be paid under transitional arrangements under the new Supporting People legislation. Otherwise these costs will have to be assessed by LA under a formula which I cannot find.
LA however advises that if claimant lives in block of flats where someone was getting full housing costs for service charges before Apr 03 then all other new claimants will get ‘Supported Housing’ costs anyway. LA says also the Supported Housing Costs will be paid direct to the RSL. The reason given by the LA for this Byzantine arrangement carefully designed to kill off old people and advice workers is that no one knows how much the Supporting People element costs the taxpayer - so now is the time to find out. Does anyone know if I have understood this correctly or not? Many thanks.

Hi
Supporting People became operational from April 2003 - before that time local authorities were supposed to identify all clients with service charges for support ('ineligible service charges' in HB or IS housing costs), and pay tenants transitional HB. This amount would determine each LA's supporting people budget from 2003. In the meantime LA's were also drawing up continuing contracts with support providers/landlords.

Through our national Age Concern Information Line we've heard of a few similar cases where the Pension Service has just noticed client is receiving ineligible service charges, removed that element from their Pension Credit and referred them to their local supporting people. As your local authority advised you there is transitional protection for people receiving HB/IS for support before April 2003 to ensure that the changes leave them no worse off, and anyone receiving HB will not be charged for their support services -- however owner occupiers in sheltered housing who moved in after April 2003 have less clear protection.

So far we've not heard of clients being left with shortfalls, but the two recent Rightsnet news stories about budget cuts are worrying.

We've got a Age Concern information sheet (IS/19) on supporting people, but unfortunately it's not currently on the net (being updated, should be available within a month) -- to get a copy call our information line 0800 009966

alban