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Moving from Exempt accommodation (HB pays housing costs) into a tenancy (already claiming UC)

Rebecca
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Hi
I have a client who is in receipt of UC and is moving from supported exempt accommodation into a social tenancy.

The exempt provider is insisting on 4 weeks notice. We’re trying to renegotiate this.

It’s not clear if he is eligible for overlapping benefit on two homes due to being in receipt of HB on the exempt accomm, and needing to claim UC housing costs on the new tenancy.

Is it better that he remains in his old accommodation for the notice period and accrues arrears at the new address because the exempt accommodation is much more expensive? Alternatively he could move in and try and claim a DHP?

I am looking at the DHP guidance manual (4.24) could he claim on this basis :

4.24. If the claimant is only treated as liable for HB or UC on one home but is having to pay rent on two, a DHP could be made to cover the costs of the second home; the HB or UC eligible rent for the main home is the maximum award. For example, a claimant may be temporarily absent from their main home to stay near a child receiving treatment in hospital. They are incurring costs on their temporary dwelling but their housing costs are covered for their main home. A DHP could be considered to help cover the costs on the claimant’s temporary dwelling.

Would he need to move into the new home and claim the DHP on the old ?

Thank you

[ Edited: 13 Jul 2021 at 03:59 pm by Rebecca ]
Charles
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Accountant, Haffner Hoff Ltd, Manchester

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Rebecca
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Thanks very much Charles .  I will apply for the overlap on the basis that under para 6(d) of HB regs 7 the claimant can be treated as occupying the former dwelling.

HB Anorak
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Some councils might say that the vacated home is no longer specified accommodation as the claimant is no longer receiving support there.  I think this is an incorrect application of the “deeming fiction” in Reg 7(6).  A deeming fiction is maintained just far enough to achieve its intended purpose and I would say that its intended purpose is to allow HB to cover a notice period on accommodation that was eligible for HB up to the point when the claimant moved out.  If the claimant is to be treated as occupying the dwelling at all, s/he must be treated as occupying it on terms that allow the deeming fiction to do its job.  If s/he was still living there s/he would be receiving support still, so I think s/he should be treated as if s/he is still living there and receiving support.  Otherwise, absent any UC entitlement, you could have all sorts of issues about the benefit cap and eligible rent during the notice period.  I have never heard of a council saying “congratulations you get 4w notice, but unfortunately at the LHA rate/with bedroom tax deducted/benefit cap applied”.  Ludicrously overcomplicates things.  So for me, being treated as occupying means status quo ante is deemed to exist for up to four weeks longer.

Rebecca
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Thanks very much, this is helpful if we need to appeal. It’s very messy though isn’t it! Can I ask, can the same principal in Reg7(6) be applied if this was temporary accommodation?  It would be good to know as we appear to be receiving conflicting advice on this issue. Thank you

HB Anorak
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In principle yes, Reg 7(6) applies to any accommodation.  But in practice no-one should be liable for a notice period on temporary accommodation

Rebecca
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Thank you very much for your help