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Universal Credit and shared accommodation

CHC
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Welfare rights team - St Mungo's Broadway

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Joined: 22 June 2010

HB Regs, reg 13d (2)(b) states that single claimants age 35 and over are entitled to the one bedroom rate of LHA unless they live in shared accommodation in which case they will only qualify for the shared accommodation rate. Interestingly I can find no equivalent restriction in the UC regs for those age 35 and older in shared accommodation. 

Could it possibly be the case that those age 35+ can get the one bed rate paid for UC housing element even if in shared accommodation?  Am I missing something here?!

 

HB Anorak
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Benefits consultant/trainer - hbanorak.co.uk, East London

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You are right, the UC Regs are very unclear about this.  It is no clearer if you read the UC Regs alongside the Rent Officers (UC Functions) Order - the use of the word “bedroom” is ambiguous.  It is possible to read the Regs as meaning that for a person in shared accommodation it is reasonable to allow only the shared accommodation rate of LHA.  Basically there are two LHA categories of one-bedroom accommodation: with and without exclusive use of K/B/WC.  You could read paras 8 to 12 of UC Schedule 4 as allowing only the latter in the case of singles or couples without children occupying a room in a shared house.

However, as I understand it, DWP’s practice is to use the shared accommodation rate of LHA only in cases where the claimant is a “specified renter” (single under 35).  Couples, singles 35+ and “excepted persons” all get the self contained one bed rate irrespective of where they live.  Of course, any windfall is limited by the fact that the “core rent” (their actual liability) will tend to be less than the 1B LHA if they live in shared accommodation and the UC housing element cannot be any higher than that.  But it gives them a nice budget and it offers an opportunity to knowledgeable landlords as well.

Madamejones
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Benefits Take Up officer - Cheltenham Borough Council, Gloucestershire

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HB Anorak - 20 October 2017 08:49 AM

You are right, the UC Regs are very unclear about this.  It is no clearer if you read the UC Regs alongside the Rent Officers (UC Functions) Order - the use of the word “bedroom” is ambiguous.  It is possible to read the Regs as meaning that for a person in shared accommodation it is reasonable to allow only the shared accommodation rate of LHA.  Basically there are two LHA categories of one-bedroom accommodation: with and without exclusive use of K/B/WC.  You could read paras 8 to 12 of UC Schedule 4 as allowing only the latter in the case of singles or couples without children occupying a room in a shared house.

However, as I understand it, DWP’s practice is to use the shared accommodation rate of LHA only in cases where the claimant is a “specified renter” (single under 35).  Couples, singles 35+ and “excepted persons” all get the self contained one bed rate irrespective of where they live.  Of course, any windfall is limited by the fact that the “core rent” (their actual liability) will tend to be less than the 1B LHA if they live in shared accommodation and the UC housing element cannot be any higher than that.  But it gives them a nice budget and it offers an opportunity to knowledgeable landlords as well.

Can I check that is absolutely the case please? We have just purchased a benefit calculator and I noticed that a LHA was ‘wrong’ I queried this with several senior officers at The Council and the local job centre who were not aware of UC regs being any different to the HB regs. I did a calculation on another calculator (Entitled to) and they are not allowing the one bed rate for someone who is in shared and over 35.

The calculator we have just purchased has replied and said that the UC regs are indeed different. I just thought if they shared facilities, they are restricted end of.

Thanks in advance!