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Important changes to Housing and Council Tax Benefit

 
   

Changes happening from April 2011

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Extra help for overnight care

If you rent privately and someone stays overnight to care for you or your partner, you can get more help with your rent.

Changes to room rates of Local Housing Allowance

Local Housing Allowance (LHA) applies if you live in private accommodation. Your benefit is based on how many rooms you need. The rates used for the number of rooms are now worked out differently and are lower. To see the current rates, click here.|

Changes for larger properties.

The most housing benefit you can get if you rent privately is based on the rate for four bedrooms.

Direct payment to landlords.

We can pay your landlord direct if it will help you get a new tenancy or stay in your home. This applies only if your landlord offers a rent at, or reduces your rent to, the LHA rate.

We will write and tell you when these changes apply.

Changes happening from January 2012

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Changes to benefit for single people aged between 25 and 35, living alone in private rented self-contained accommodation.

From 1st January 2012, the most we can pay for any new claim for housing benefit will be £58.00 a week. This is because we have to use a new lower rate. This already applies if you are presently aged under 25.

People already on benefit may be receiving anything up to £91.15 a week. Between 1st January 2012 and December 2012, the rate used to work out your benefit will change to the new, lower rate. This will happen on the anniversary date of your claim.

What is my anniversary date?

This is either the date your claim started, the date you may have moved house, or the date you have had a household change which means you need a different room rate. We can tell you when your anniversary date is.

When will the lower rates apply to me?

If you have made a claim after 1st April 2011 – from your first anniversary after 1st January 2012

If you have made a claim before 1st April 2011 this could apply from a number of different dates:

  • If your benefit is based on a rent set by the rent officer, from the first review date after 1st January 2012.
  • If you have already moved or intend to move between 1st April 2011 and 31st December 2011, from the first anniversary after 1st January 2012
  • If you move on or after the 1st January 2012, from that date.
  • If you have had an anniversary since 1st April 2011, and are receiving 9 month’s protection, from the date your protection ends. We will have told you on your benefit notification if you are protected
  • If you have had an anniversary date since 1st April 2011, and have not been told on your benefit notification that you are protected, from the date of your next anniversary.
  • If your anniversary falls between 1st January 2012 and 31st March 2012, you will be protected and the lower rate will apply from the date your protection ends. Your protection will end after 9 months, or if you stop claiming, move house, or have a household change that requires a new room rate.
  • In all other cases, nine months after the first anniversary after 1st April 2011

We will be writing to people before this applies. Your most recent benefit notification will tell you if you are protected. If you are unsure when your anniversary is, please contact us by e-mailing benefit enquiries@gateshead.gov.uk| or by telephoning 0191 4334646.

People this does not apply to

This does not apply if you:

  • are aged under 22 and have been in social services care or accommodation
  • need an overnight carer
  • receive certain disability benefits
  • have spent three months or more in a homeless hostel and receive support
  • are an ex-offender who is subject to Multi Agency Public Protection Arrangements.

Changes that will apply from April 2013

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More changes to rates

Room rates for people renting from private landlords will no longer be based on rental values, but will be increased by the Consumer Prices index.

Housing benefit reduced for people in council or housing association properties

If your accommodation is larger than you need, and you are of working age, help with your rent will be reduced by a percentage. We do not know the details of this scheme, but benefit could be reduced by between £11 and £20 a week.

Council tax benefit abolished

Council tax benefit will be replaced with a local scheme operated by the council. However, the funding from central government will be less. Pensioners must be protected so they get the same level of help as at present, but people of working age will not get as much help.

A limit on the weekly amount of all benefits a household can receive

There will be a maximum amount of £500 a week in benefits which a household can receive in total. If a household receives more than this, help towards their housing costs will be reduced.

Universal Credit

This is a new benefit for working age people, which will replace some existing benefits, including Working Tax Credit, Job Seekers Allowance, Income Support and Housing Benefit.

It will be worked out based on your details, with additions for children, disabilities and housing costs, and will be paid to you directly. If you make a new claim for one of the benefits listed above after the autumn of 2013, you will receive Universal Credit. If you are already claiming benefit, you will be moved onto Universal Credit at some point between autumn 2013 and 2017. 

Emergency help

Crisis living loans and community care grants will be dealt with by the council, but with a reduced budget.

Changes to supported accommodation

The government is also proposing to change the way help with housing costs is provided to those in supported accommodation, although full details are not yet known.

Ongoing changes

Deductions from housing benefit for other adults in the household who are not dependant on the benefit claimant, will continue to increase each year until 2014.

THE OVERALL EFFECT

If you are of working age, the effect of these changes is that you will get less help with your rent and council tax. In some cases this could be significant. 

ADDITIONAL HELP

If you are struggling financially, the council has a limited cash fund which we can use to provide help. This fund is only for people already receiving housing and/or council tax benefit. In making awards the council considers each case individually. The amount and length of any award may be limited, and it may not always be possible to make an award. This is called a Discretionary Housing PaymentClick here to make an application.|