Explanation of Housing Costs

Hi,

Do the DWP have different rules to HB regarding detailing entitlement to Housing Costs? The accounts that I have seen so far just give an overall figure and if there is a reduction for HCCs or Under-occupation there is no explanation of this.

As a Welfare Rights advisor I can figure this out, but how are claimants supposed to know?

I’m just wondering if this is lawful?

Any thoughts?

The eligible rent in UC is very similar to HB. Bedroom tax is the same, they use LHA for PRS renters, and there is a non-dependant deduction (although it’s calculated differently). There are lots of rules that are different - for example, under UC there is no 13 week exemption from LHA for claimants who have been able to afford their rent previously.

But I would suggest that HB decision notifications don’t usually say why the eligible rent is lower than the actual rent, so people would usually call up or call in to ask why they had a rent shortfall. I would hope UC claimants will be able to get the same explanation if they query the amount they’re receiving through their journal?

Edit: I’ve just noticed the word “detailing” in the original post - you were only asking about the rules about notification requirements?

So I think the requirements are just that they notify the claimant that a decision has been made, and that there is a right to request MR, or an explanation (which is presumably noted somewhere on UC online journals - although I admit I haven’t looked) - this is under Reg 51 of the UC, PIP, JSA & ESA (Decisions and Appeals) Regs.

It says at the bottom of the payment breakdown on the journal that you can ask for a detailed breakdown, but I’ve yet to see anyone actually get a more detailed breakdown. If you ask for one, the helpline will just tell you that one already on the journal is the only breakdown they provide. Tried to insist on a complete breakdown of housing costs as was told “We don’t do that”. Complaint is ongoing.

JK17 - 19 October 2018 11:54 AM

Hi,

Do the DWP have different rules to HB regarding detailing entitlement to Housing Costs? The accounts that I have seen so far just give an overall figure and if there is a reduction for HCCs or Under-occupation there is no explanation of this.

As a Welfare Rights advisor I can figure this out, but how are claimants supposed to know?

I’m just wondering if this is lawful?

Any thoughts?

JK-

1. I agree that the payment decision notifications on UC are hopelessly undetailed when it comes to how housing costs have been determined- a claimant cannot tell, without substantial legal research, why their housing cost element is set at a particular rate. For example is it less than the rent because:

a) Size criteria has been applied (useful to know in case they have applied the size criteria wrongly).

b) They have apportioned the rent between tenants in a particular way.

c) They have made a deduction due to a non dependent.

None of that information appears on the face of the decision notice.

2. All of those issues are ones which the DWP can (and often do) get wrong. But a claimant has no way of knowing from the decision itself what has been decided.

3. On your specific question about whether there are different rules the answer is YES:

a) With housing benefit there were detailed rules about what needed to be in a notification of a decision (schedule 9 of the Housing Benefit Regulations 2006).

b) There is no equivalent in UC.

4. The claimant can however request more detailed reasons for the decision- see reg 51 of the UC etc (D&A) Regs 2013 (SI No. 381)- they must do so within a month of the decision being posted to their journal and the DWP must then provide the explanation within 14 days of that (or as soon as reasonably practicable thereafter).

5. In any case where the housing cost element is less than what you would expect it to be then asking for an explanation is useful. My guess is that if large numbers of claimants routinely asked for reasons then the DWP might be persuaded that it was less work for them to actually explain the decisions in the first instance….

6. In terms of legal challenge- I think this is difficult. There were a few HB cases where notices of decision did not comply with what is now sch. 9 of the HB Regs- what tended to happen in those is that the Courts would say that inadequate notice only rendered decisions invalid if the claimant (or more often in these cases their landlord) had suffered prejudice by this- in all these cases one couldn’t help observing that the Landlord and nonetheless managed to bring a challenge to the decision and argue all the points possible and so it was difficult to see a prejudice. That problem plus the fact that the claimant has a right to get reasons in any event would probably make it difficult to challenge generally. So overall I think this is an issue for campaigning on rather than litigation.

Martin

Income Max - 25 October 2018 10:01 AM

It says at the bottom of the payment breakdown on the journal that you can ask for a detailed breakdown, but I’ve yet to see anyone actually get a more detailed breakdown. If you ask for one, the helpline will just tell you that one already on the journal is the only breakdown they provide. Tried to insist on a complete breakdown of housing costs as was told “We don’t do that”. Complaint is ongoing.

Sorry I had not seen this- if your client asked within the one month for reasons for the decision and the response of DWP was that this is not forthcoming then that is a potential issue for the threat of judicial review action. Any reasons for a decision would have to include how housing element was actually calculated or it simply wouldn’t be the reasons for the decision (it must be implied that the duty to give reasons is a duty to give adequate reasons).