Difficulty Paying
With Local Housing Allowance (LHA), benefit is usually paid to
the tenant. Tenants cannot choose to have their benefit paid to
their landlord. But in some circumstances we can decide to pay
benefit to the landlord.
When may a local authority make payments to the
landlord?
The local authority must usually pay the benefit to the landlord
if the tenant is eight weeks or more in arrears with their
rent.
Payment may be made direct to the landlord where we decide that
the tenant is:
- likely to have difficulty in managing their financial affairs,
or
- unlikely to pay their rent
We can also decide to pay benefit to the landlord if, during the
current claim to benefit, we have had to pay the landlord because
the tenant was eight weeks or more in arrears with their rent.
Who can ask for the payments to be made to the
landlord?
Tenants, landlords, tenants’ families or persons acting on the
tenants’ behalf, may tell the local authority that they are having
difficulty paying their rent, or are likely to. The local authority
may also identify tenants who may have difficulty managing their
money, for example, when carrying out home visits. And landlords
can contact the local authority, especially if the tenant is
getting into arrears with their rent.
Who may have difficulty paying their rent?
There are many reasons why someone may have difficulty paying
their rent. They might be someone who:
- has severe debt problems
- has a recent County Court judgement against them
- is an undischarged bankrupt
- is unable to open a bank or building society account
- has some of their Income Support or Jobseeker's Allowance paid
direct to the gas, electricity or water company by the Department
for Work and Pensions
- is getting Supporting People help
- is getting help from a homeless charity.
Or someone may have difficulty paying their rent if they:
- have learning difficulties
- have an illness that stops them managing on a day-to-day
basis
- cannot read English
- cannot speak English
- are addicted to drugs, alcohol or gambling
- are fleeing domestic violence
- are a care leaver
- are leaving prison
- are homeless
Who decides if we may pay the landlord?
We decide if we may pay the landlord.
There may be times when Housing Benefit staff know someone has
difficulty in managing their money and may take action based on
this knowledge. We recommend that, if someone thinks a tenant may
have difficulty managing their money, they encourage the tenant to
contact us.
We must have evidence to show that they have difficulty managing
their money and that it is in their interest that we pay the
landlord directly. Evidence should usually be in writing. People
who can provide evidence include:
- the tenant
- friends and family of the tenant
- the landlord
- welfare groups (including money advisers)
- Social Services
- probation officers
- Jobcentre Plus
- The Pension Service
- homeless charities/organisations
- Supporting People teams
- local/council rent deposit scheme administrators, homelessness
or housing advice officers.
We will work with the tenant in making our decision.
Making a Decision
Once we have collected evidence we will decide as quickly as
possible if direct payments to the landlord are appropriate. We
will still pay benefit while we are making our decision.
We will write to the tenant and explain our decision. We will
also write to the landlord.
Reviews and Appeals
If the tenant or landlord disagrees with our decision they can
ask us to look at the decision again. This is called a review. Or
they can appeal against the decision, giving reasons why they think
the decision is wrong.
If you want more information about reviews and appeals, please
see our Reviews
and Appeals webpage.
This webpage was updated on 3/18/2008