Information leaflet on the council’s DHP policy
What is a Discretionary Housing Payment (DHP)?
A DHP is an extra payment the City Council can make to someone who qualifies for benefit that does not meet the full amount of their eligible rent or Council Tax. Eligible rent is the rent charged less any service charges that don’t qualify for housing benefit. A DHP can only be awarded as a top-up to benefit and the City Council is prevented from awarding DHP for periods when there is no benefit entitlement. Awards are discretionary because they are paid from a limited budget and there aren’t enough funds available to help everyone who has a shortfall between their benefit and their eligible rent and Council Tax charge.
Who can apply for a DHP?
Anyone who receives housing benefit or council tax benefit that is less than their eligible rent or Council Tax charge can make a claim for DHP.
Can I apply for a DHP if I am working?
Yes, as long as you qualify for some benefit based on your earnings and other income like Tax Credits. In particular the City Council encourages people moving into work for the first time or after a period of long-term unemployment to claim a DHP. This is because a DHP can help you to adjust to making regular rent payments.
How do I apply?
We use a claim form for DHP applications. The claim form can be obtained from our Benefit Reception Offices at 180 Vauxhall Bridge Road, SW1V 1ER and 101 Orchardson Street, NW8 8EA or by telephoning us on 0800 072 0042 or via a download form the council’s website at:
You should indicate on the form if you want to apply for a backdated period.
The DHP claim form includes a declaration that the information you provide is correct and complete and that you understand that you must report changes to the information to the council. Failure to provide correct and complete information and report changes could result in court action being taken for fraud and the council will seek to recover any DHP that is overpaid.
When should I apply?
If you are making a new claim for housing benefit or council tax benefit you will have to wait until benefit is awarded before applying for a DHP.If you are already receiving benefit and want to claim a DHP to help with your move into work, you should claim a DHP as soon as you know when the new job will start. If you want to claim DHP because you will be affected by the housing benefit caps, you can submit a DHP claim up to 3 months before the cap applies. Before making a claim you should first approach your landlord to try and negotiate a reduced rent. In all other cases you should claim a DHP as soon as the extra financial help is needed.
How does the Council decide if a DHP should be granted?
We consider the information we already have from your benefit claim and any special circumstances and expenses you have told us about on the DHP claim form. If you are applying because your income is too high to qualify for full benefit, we will look at why you are finding difficulty paying the difference between your benefit and your rent or Council Tax. If you are applying because of a non-dependant deduction we will look at why the non-dependant living with you is unable to make a sufficient contribution to your housing costs.
How will the Council decide DHP claims made because of rent caps?
The City Council expects to receive a large number of DHP claims when central government’s decision to cap the amount of rent that can be used to decide benefit for the private rented sector starts to take effect. All DHP applications have to be considered on their own merit but due to the limited DHP funding available it is impossible to help everyone who applies.
Although each case is considered on its own merits, we will place particular importance on:
a)The length of time and reasons for living in both your current home and in Westminster; and
b)The extent of any vulnerability you or a member of your family has; and
c)The rent you have to pay and the difference between that amount and the capped rent used to decide housing benefit.
Many factorscan affect vulnerability and we can’t specify the circumstances in which the Council will treat a person as vulnerable. However, we will consider:
- Your age and the ages of the people living with you.
- Whether changing address is likely to affect children at a critical stage in their education.
- Any specialist support services provided by the council’s Adults or Children Services.
- Health or medical needs assisted by local services that are not available elsewhere.
- Adaptations that have been made to your home because of disabilities.
- How difficult it is for you to movehome because of age or disability.
- Whether moving home would make it difficult to retain current employment.
In addition we will also consider:
- The landlord’s willingness to accept a reduced rent.
- The level of rent the landlord has accepted in the past.
- The amount of the shortfall between benefit and the full rent and whether it is too much money for a DHP to cover given the rent cap and the budget the council has to spend on DHP awards.
- The availability and suitability of cheaper accommodation either in the area or on a reasonable commuter route.
- Any other relevant considerations or factors.
It is unlikely, although exceptional circumstances may arise, that we will help someone by awarding a DHP for accommodation with more bedrooms than the benefit regulations say you need.
It is also unlikely, although exceptional circumstances may arise, that we will assist applicants with a rent restriction if they have moved into the borough after 1 April 2011. This is because information about the rent caps are widely publicised and it is reasonable to expect a person to make enquiries to establish their benefit entitlement before moving into a new home.
What period can a DHP be granted for?
A DHP will normally only be awarded for a short defined period. This could be to tie in with a future event such as the end of the school year or expiry date of a tenancy. Or a DHP may be awarded for a short period simply to allow more time to move to suitable alternative accommodation elsewhere. The DHP award can be reviewed if there are changes in circumstances that affect your housing benefit and council tax benefit entitlement.
Can I challenge the decision on my DHP claim?
Yes, there is a right to request a review of the decision. A panel made up of Councillors will review the decision and make a recommendation to the Cabinet Member for Finance and Resources who makes the decision. The letter we issue refusing a DHP claim will give detailed reasons and information about how to request a review.