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Form to use for hostel ineligible service charges to be deducted from UC

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

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Supported accommodation provider has service users with substance misuse issues.  If they don’t pay their HB-ineligible personal service charges (fuel etc), which form does the provider use to request deductions from UC?  Is it the UC47 with the third party box ticked?  Or is there another form?

Thanks

TP45
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Housing Benefit & Hostel Income Advisor - The Salvation Army, London

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We are experiencing significant difficulties in securing deductions from UC.  As I’m sure you know, 3rd party deductions could be made from legacy benefits if ‘hostel payments’ exceeded £100.  The only rent arrears trigger in UC is when arrears equal 2 months rent or more, i.e. no specific provision for service charge arrears.  It will take a considerable amount of time to accrue 2 months rent arrears from the ineligible service charge alone.

As I see it, there is nothing preventing the DWP using their discretionary powers to pay part of a UC award to a 3rd party.  However, the process doesn’t appear to be set up to cope with this.  The UC47 form is really only catering for claimants who qualify for the housing costs element and have rent arrears.  Clients in supported accommodation don’t fall into this category.

We’ve met with the DWP and they acknowledge an oversight in not transferring the provision from legacy benefits to UC.  We’re continuing to work on this issue and impress on the DWP the detrimental effect this is having on clients.  I expect we’ll need other providers to raise this too before it gets seen as a priority by DWP.  They have a few other things on their plate at the moment!

Saying all that, if anyone has found a form or technique in completing the UC47 that does achieve 3rd party deductions for supported accommodation clients, then I’d be really interested to find our more.

Julie HC
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Specialist Benefits Team, Stoke and North Staffs CAB

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see https://www.rightsnet.org.uk/forums/viewthread/13833

We are working with hostels and supported housing providers locally to try to raise this issue with the DWP as a priority in homelessness prevention. The Legislation allows for direct payments from UC to protect vulnerable people’s interests. UC are just not recognising this.

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

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Thanks for the replies. So even though the regs allow it, both in the specific provisions for service charge arrears and in the general sweeping discretion to pay some or all of the claimant’s UC to a third party, there is no procedure for this.  Well, that’s interesting.

Elliot Kent
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Shelter

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I think Martin’s argument is effectively that DWP are able to deduct 10-20% for a rental debt and that this could include a debt which amounts to ineligible service charges. It isn’t quite the same as the old hostel payments provision.

If that’s right, aren’t you just asking for a TPD on a UC47?

It’s not exactly a useful remedy though is it? Unless the shortfall just happens to fall within the 10-20% PA band, the tenant is still going to be in escalating arrears.