Information for Landlords
What is Housing Benefit?
Housing Benefit is a benefit for people on a low income to help them pay their rent.
Who can claim Housing Benefit?
Anyone who pays rent for the home they live in can apply for Housing Benefit, although not everyone who pays rent will qualify for benefit. For example, most students do not qualify, but there are special rules that apply for some.
We can only pay benefit on a home that is let as a business arrangement, the same as it would be in a commercial market.
Tenants will not qualify if they live with, and pay rent to, a close relative.
We cannot pay benefit if a tenant used to live with the landlord as a family member, relative or friend and now pay them rent, or when the tenant is responsible for their landlord's child (whether or not the tenant has ever lived with the landlord). We also cannot pay a tenant who rents a former joint home from an ex-partner.
A landlord cannot claim Housing Benefit on behalf of their tenant.
How is a claim made?
A claim is made by completing a Housing Benefit claim form. This can be obtained by contacting us, or downloaded from our website: http://www.northwarks.gov.uk/downloads/North_Warwickshire_Benefit_Form.pdf
Does my tenant need to tell me if they claim Housing Benefit?
A tenant does not need to tell you that they have claimed benefit. The Council can only discuss a benefit claim with a landlord if the tenant has given his or her permission for this to be done. We call this "authority to discuss".
What information do you need from me?
Often, there is enough information in the Tenancy Agreement for our purposes. If not, we may require a letter from you, which needs to confirm:
Your name and address
Your agent's name and address, if applicable
The date the tenancy started
The amount of rent you charge for the property, and how often
Whether anything is included in the rent e.g. fuel, water, meals etc (and if so how much is charged for them)
We will not pay any Housing Benefit until we have completed a Residency Check. This is an unannounced home visit to confirm your tenant's details and make sure they are resident in the property they are claiming for.
What is Local Housing Allowance?
Local Housing Allowance was introduced in April 2008 as a new way of working out new claims for Housing Benefit for tenants renting accommodation from a private landlord. Local Housing Allowancedoes not affect people living in council accommodation or other social housing.
With Local Housing Allowance, benefit is not usually based on the property in which the tenant lives. It is based on:
who lives with the tenant
which area the property is in
how much money the tenant has coming in
what savings the tenant has
In some cases the amount of benefit will be affected by other things. These can include:
how much the rent is
whether anyone living with the tenant is expected to contribute to their rent
Why is the location of my property important?
The country is split into Broad Rental Market areas (BRMAs). We have five different BRMAs in North Warwickshire (Nuneaton & Hinckley, Birmingham, Coventry, Mid Staffordshire and Solihull). An independent body called The Valuation Office Agency set Local Housing Allowance rates every month for each BRMA. These rates are based on the average rents charged in each area. Current rates are displayed on our noticeboard outside the Council House and on our website. Alternatively, you can contact us for the latest rates.
How much Housing Benefit will my tenant receive?
The amount of Housing Benefit that your tenant receives will depend on:
Their LHA rate (based on where your property is, and who lives with your tenant)
Your tenant's income
Your tenant's savings and other capital
Sometimes we will take a deduction from your tenant's benefit if they have any other adults living with them, who could contribute towards their rent. We may also take a deduction if your tenant has an outstanding Housing Benefit overpayment.
From what date will Housing Benefit be paid?
Housing Benefit will normally be paid from the Monday after we receive your tenant's claim form, provided they have moved into the property. If we receive the claim form in the same week as the tenancy started, we can pay Housing Benefit from the start of the tenancy.
Housing Benefit cannot normally be paid for a period before the tenant moves into the property, even where they have a liability to pay you rent before they move in.
Can my tenant ask for their Housing Benefit to be backdated?
Yes, your tenant can ask for their claim to be backdated. Housing Benefit will only be backdated if your tenant proves “good cause” for not making a claim earlier. Examples of good causes for backdated benefit are if your tenant has been seriously ill, or recently suffered a bereavement. Every claim for backdated benefit is looked at on its own merit, and all factors are taken into consideration. Proof would need to be supplied to back up any application.
Arrears of Council Tax or rent, mislaying or forgetting to post the application form, or not claiming because your tenant did not think they would qualify are not normally considered as good causes for backdating.
How is Housing Benefit paid?
In the past, you may have received Housing Benefit payments from us. However, under Local Housing Allowance regulations, we have to pay Housing Benefit direct to tenants. This is intended to encourage tenants to take more responsibility for their affairs.
There is no longer a right for tenants to ask for payments to be made to their landlord unless there are special circumstances, however, there are safeguard measures in place to protect landlords, such as:-
if your tenant is 8 weeks or more in arrears
if your tenant has difficulty in managing their financial affairs
if it is unlikely that your tenant will pay their rent.
If we receive proof of any of these, we can pay Housing Benefit direct to you, instead of your tenant. Our Safeguard Policy can be viewed on our website: http://www.northwarks.gov.uk/downloads/Safeguards_policy_tenants_landlords__LHA_.doc
We recommend that if your tenant starts to build up arrears, you should get in touch with us before it gets to eight weeks. This will give us time to look into the matter in plenty of time.
It is important for you to keep proper and adequate records of rent payments and details of any contact made with your tenants, as this will help us make a decision regarding who the payments should be made to.
Appeal rights:- you have a right to appeal against a decision not to make payments directly to you, if you wish to do so.
What are my responsibilities?
Where you receive direct payments of Housing Benefit you must let us know immediately if you are aware of any changes in the circumstances of any of your tenants that may affect their benefit entitlement.
For example, you need to let us know if your tenant moves out of the property, even if they are still liable for rent.
Further information
For further information, contact us -
e-mail:
Telephone: 01827 715341
In writing or in person: The Benefits Team, The Council House, South Street, Atherstone, Warwickshire, CV9 1DE.
Other Fact Sheets available
Housing and Council Tax Benefit Fact Sheet
Local Housing Allowance Fact Sheet
Benefit On Two Homes Fact Sheet
Appeals Fact Sheet
Backdating Benefits Fact Sheet
Second Adult Rebate Fact Sheet
Discretionary Housing Payments Fact Sheet
Overpayments Fact Sheet
Temporary Absence From Home Fact Sheet
Benefit Fraud Fact Sheet
Change Of Circumstances Fact Sheet