Tenants have the right to claim for compensation for certain improvements when terminating their tenancy. Claim forms should be given upon request. (See

Appendix A).

The following Guidance Notes are to assist with counter enquiries.

All claims to be referred to Impact Team Leader.

1 Qualifying Criteria

To qualify for compensation the improvement must:

(a) have the consent of the Council (if not, a written application for retrospective consent should be submitted with the claim form),

(b) have been stated after 1 April 1994,

(c) be included in the list of qualifying improvements (see Appendix B).

2 Qualifying Applicant

Generally, the person applying must be either:

(a) the tenant or joint tenants responsible for the improvement,

(b) a person who became a tenant jointly with the improvement tenant,

(c) a spouse or family member of the improving tenant who inherits the tenancy or the deceased tenant’s estate,

(d) a spouse or former spouse of the improving tenant to who the tenancy has been transferred as part of a divorce settlement.

(If others apply – refer to Impact Team Leader)

3 Exceptions

Tenants will not be eligible for compensation if:

(a) the tenancy comes to an end because:

i) an Order for Possession was made on any grounds in Part 1 of Schedule 2 of the Housing Act 1985,

ii) the Right to Buy has been exercised.

(b) the total cost of improvements was met by grants or assistance from the Home Energy Efficiency Scheme.

4 Claims

A written claim must be made between 28 days before and 14 days after the tenancy ends and must contain the following information:

(a) the name of the tenant,

(b) the address of the property,

(c) a description of each improvement claimed for,

(d) start and end dates of each improvement,

(e) cost of each improvement and proof (invoices, etc),

(f) details of any costs not borne by tenant (grants, etc).

5 Compensation Calculations

Compensation is calculated using the formula C x (I-Y/N)

C = the cost of the improvements

N = the notional life of the improvement

Y = the age of the improvement in whole years, rounded up

Compensation is not paid for:

(a) the cost of professional fees, ie Architects,

(b) the cost of obtaining Planning Permission or Building Regulations,

(c) the cost of the tenants own labour.

Where no invoices are available the Council’s Stock Maintenance Co-ordinator will inspect the improvement to determine whether a qualified person carried out the work.

Any grants paid toward the improvement will be deducted from the original costs. (See Appendix C.)

6 Adjustments

Reasonable adjustments can be made to the amount of compensation payable if:

(a) the cost of improvements were excessive,

(b) the improvement is of a higher luxury quality than Berneslai Homes would expect to be installed,

(c) the improvement has deteriorated to a greater or lesser degree than allowed for.

If the dilapidation is more than expected for normal wear and tear, the amount is reduced. If the condition is better than expected, then compensation may be increased.

7 Financial Limits

Compensation is limited to £50 minimum and up to £3,000 maximum for each improvement.

8 Deductions

Any outstanding debts owed to the Council, ie rent or Council Tax arrears may be deducted.

9 Appeals

The tenant has the right to appeal against:

(a) a refusal to grant consent for the works,

(b) the improvement being judged to fall outside the qualifying list,

(c) the amount of compensation offered.

In the case of any dispute the tenant should be advised to put their complaint in writing for the attention of the Impact Team Leader or alternatively, be given a complaints form.

10 Payment

Payment should be made to the applicant within 28 days following the amount of compensation offered, being accepted (see Appendix D). In cases where there are two qualifying persons and one is missing, a claim may be made and compensation paid to the other qualifying person.

COMPENSATION FOR TENANTS IMPROVEMENTS SCHEME

CLAIM FORM

Notes:

(a) You are not eligible for the compensation if you are exercising your Right to Buy or

acquiring the property on Rent to Mortgage terms.

(b) You are not eligible for this compensation if your improvement was started before

1 April 1994.

(c) You must make your claim within 14 days of your tenancy ending.

1 Name(s) of tenant(s) ………………………………………………………………………

………………………………………………………………………

Address of property concerned ………………………………………………………….

………………………………………………………………………………………………..

2 Details of improvements for which you are claiming compensation:

Improvement / Date
Started * / Date
Completed / Cost **
£
i)
ii)
iii)
iv)

* See note b) above.

** You can include materials and employed labour but not the cost of your own labour or

appliances installed, eg cooker. You should attach the relevant invoices if available,

otherwise you must provide an estimated breakdown of costs.

3 Details of any grant or minor works assistance under Part VIII of the Local Government and Housing Act 1989 or assistance from the Home Energy Efficiency Scheme that you have received for the improvement work.

…………………………………………………………………………………………………

………………………………………………………………………………………………….

………………………………………………………………………………………………..

4 Have you applied for, or received, compensation for this improvement from the Council?

…………………………………………………………………………………………………

…………………………………………………………………………………………………

5 Date on which your tenancy ends

………………………………………………………………………………………………..

6 Address to which you would like payment sent.

…………………………………………………………………………………………………

…………………………………………………………………………………………………

7 Please sign here and put the date this form was sent to Berneslai Homes.

Remember – if you deliberately give false information, you may be prosecuted.

…………………………………………………………………………………………………

8 When you have completed this form, please send it to:

…………………………………………………………………………………………………

…………………………………………………………………………………………………

QUALIFYING IMPROVEMENTS AND NOTIONAL LIVES

Improvement / Notional Life
(in years)
Bath or Shower / 12
Wash – hand basin / 12
Toilet / 12
Kitchen Sink / 10
Storage Cupboards in Bathroom or Kitchen / 10
Work Surfaces for food preparation / 10
Space or water heating / 12
Thermostatic radiator valves / 7
Insulation of pipes, water tank or cylinder / 10
Loft Insulation / 20
Cavity Wall Insulation / 20
Draught proofing of external doors or windows / 8
Double glazing or other window replacement or secondary glazing / 20
Rewiring or the provision of power and lighting or other electrical fittings (including smoke detectors) / 15
Security measures (excluding burglar alarm systems) / 10