Morning,

Am trying to clarify whether a part of a residents service charge is eligible or ineligible for HB purposes.

The background is that the property is in an extra care housing scheme. All the flats are self contained. There is a staff sleepover flat so that care staff can be on site 24 hours a day. The cost of this sleepover flat is apportioned and is part of each residents service charge. An amount of £1.57 per week is the cost that has been calculated.

I'm trying to establish whether the cost of the sleepover flat is eligible or ineligible for HB purposes.

The HB Regs Schedule 1, part 1, paragraph 1(e) states that charges in respect of the provision of nursing care or personal care are ineligible

Paragraph 1(f) states that charges in respect of general counselling or of any other support services, whoever provides these services are ineligible.

The above regs seem to be relating to the actual provision of these care and support services, rather than the cost of the flat where the services are provide from or it could be that I have confused myself with reading the HB regs?

Could it be argued that the cost of this service should be eligible as it is connected with the provision of adequate accommodation or should it be classed as an ineligible service charge?

Any advice, comments, information, etc, as always would be gratefully received.

Cheers

John

Thu 10-Sep-09 11:32 AM by Kevin D

This is one of those issues where it's easier to sort out than it first seems.

Fortunately, I have the advantage of knowing a little about Housing 21's extra-care set up and so have a degree of understanding of what is being argued.

Firstly, it is imperative to understand the meaning of "services" for HB purposes. In HBR 12(7) (i.e. the SAVED version for exempt accommodation), "services" is stated as meaning:

"....services performed or facilities (including the use of furniture) provided for, or rights made available to, the occupier of a dwelling."

This may surprise other posters, but my view on the specific issue of the "sleep-over" in H21s extra-care schemes is that the related accommodation cost does not consitute a "service" AS DEFINED BY HBR 12(7). It is not a service performed, nor a facility provided, for the occupier of a dwelling (the occupier being the claimant; dwelling being the one occupied by the clmt). The flat is merely a consequence of what the landlord offers and the related cost is too far removed to count as being a "service" for HB purposes. In short, the flat cost for the carer(s) is simply a landlord overhead and counts as rent.

Thanks for your insight Kevin, your advice is very much appreciated

Regards

John

Kevin,

Another issue has subsequently come to light regarding this issue.

The sleep over flat is a self contained flat for which the local authority are sending the council tax bill directly to the landlord.

Am I correct in assuming that the council tax for this flat is the responsibility of the landlord and can't be classed as to do with the provision of adequate accommodation and as such be incorporated in with the residents rent and service charge?

Just want to make sure I am clear on this!

Cheers

John

I don't think CTAX for the sleep-over can be remotely considered a "service" AS DEFINED BY (old) HBR 12(7).

If it is not a "service", it is simply a L/L overhead and the cost is, presumably, taken into account when setting the rent charge and, from a benefits perspective, is simply part of the "rent" ("rent" being distinguished from charges for "services").

In turn, "...connected with the provision of adequate accommodation..." ("CPAA") is an irrelevant consideration. CPAA only applies to SERVICES. If the charge is not for a SERVICE, CPAA is not engaged.