Recovery of HB from a backdated award?

Hello,

We have a tenant who has a large o/p of HB/CTB - recoverable and being recovered off ongoing benefit - recovery started about 4 years ago.

Subsequently he has made a claim for DLA - following a tribunal he has been awarded middle rate care and therefore entitled to an SDP, a backdated HB/CTB award and therefore an increase in his ongoing HB/CTB (does not get full HB/CTB due to other income).

The HB office, rather than pay the tenant the backdated HB/CTB, has deducted this off the longstanding o/p balance.

I can’t quite decide if this is correct - can they do this if the revision of his current HB/CTB is not part of the period of the overpayment?

Any ideas?

Thank you

Elaine

Maybe I’m misreading the HB legislation, but I can’t see any legal basis for such an action.  I’d ask the LA to confirm the basis of the action - LEGAL basis, not policy.

I suspect the LA will argue HBR 98 (Offsetting) applies.  However, para 3 of that provision expressly states:

“No amount may be offset under paragraph (1) which has been determined to be an overpayment within the meaning of regulation 99 (meaning of overpayment).”

Surely, the “old” overpayment was an overpayment as defined in HBR 99.

If the LA refuses to pay the arrears (and assuming I’m correct), make a formal complaint and, if necessary, follow it through to the LGO.  Ultimately, you could take a County Court action against the LA.  BUT, beware - the LA could counter-claim arguing that the clmt has the means to pay back the overpayment….

I think it more likely that the LA will point instead to Reg 102(1) which allows them to recover an outstanding overpayment from, amost other things “Arrears of entitlement”.

102(2) disapplies the weekly maxium recover rate from arrears.

Thank you for the information from different sides of a fence!

Think this is why I had difficulty in the first place….

  :)

Yep, Jeff is correct - I had a feeling there was something I’d overlooked.  I was right, whilst being wrong :).