DWP confirms allocation of £20 million additional housing benefit administration subsidy to local authorities for 2020/2021

New guidance advises that one-off payment is being made to reflect the additional work undertaken to maintain housing benefit services during the Covid-19 pandemic

The DWP has issued new guidance giving details of a further £20 million housing benefit administration subsidy to local authorities in England, Scotland and Wales for 2020/2021.

In HB Circular S1/2021, the DWP confirms that it is allocatoing a further £20.175 million housing benefit administration subsidy funding to local authorities for 2020/2021- which is in addition to the annual funding announced in Housing Benefit Circular S1/2020 - advising that it is a one-off payment to reflect the additional work that local authorities have undertaken in maintaining their housing benefit services during the Covid-19 pandemic in 2020/2021.

The funding allocation by country is:

• £17.355 million for English local authorities;
• £1.807 million for Scottish local authorities; and
• £1.013 million for Welsh local authorities.

NB - individual local authority allocations are set out in three annexes to the circular.

Housing Benefit Circular S1/2021 is available from gov.uk