MRAssociates — Knowledge base

Example 1: registered housing association, rent not referred to the Rent Officer

• Full eligible rent and eligible service charges come to £200 a week
• Claimant entitled to full Housing Benefit of £200 a week - no means-tested reduction
• Local authority does not consider the rent to be unreasonably high so there is no referral to the Rent Officer

The local authority receives 100% subsidy from central government covering the full £200 a week benefit award

Example 2a: registered housing association, rent referred to the Rent Officer, claimant not in a protected group, no means tested reduction

• Full eligible rent and eligible service charges come to £200 a week
• Local authority considers the rent to be unreasonably high and refers it to the Rent Officer
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority considers suitable alternative supported accommodation would cost £180 a week and that is the rent allowed for Housing Benefit
• Claimant entitled to full Housing Benefit of £180 a week - no means-tested reduction

The local authority receives 100% subsidy from central government covering the first £140 a week of the benefit award; the remaining £40 a week attracts zero subsidy

Example 2b: registered housing association, rent referred to the Rent Officer, claimant is in a protected group, no means tested reduction

• Full eligible rent and eligible service charges come to £200 a week
• Local authority considers the rent to be unreasonably high and refers it to the Rent Officer
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority is unable to restrict the claimant’s benefit because he or she is in a protected group and there is no suitable cheaper accommodation available to which it would be reasonable to expect him/her to move
• Claimant entitled to full Housing Benefit of £200 a week - no means-tested reduction

The local authority receives 100% subsidy from central government covering the first £140 a week of the benefit award; the remaining £60 a week attracts 60% subsidy of £36 a week so the full

Example 2c: registered housing association, rent referred to the Rent Officer, claimant not in a protected group, means tested reduction applies

• Full eligible rent and eligible service charges come to £200 a week
• Local authority considers the rent to be unreasonably high and refers it to the Rent Officer
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority considers suitable alternative supported accommodation would cost £180 a week and that is the rent allowed for Housing Benefit
• The claimant’s income means that he or she is required to make a personal means-tested contribution of £20 a week towards the rent - Housing Benefit of £160 is awarded

The local authority receives zero subsidy on an amount equal to the difference between the rent used to work out the claimant’s Housing Benefit (£180) and the Rent Officer’s CRR (£140): this means the first £40 a week of the Housing Benefit award is not subsidised and 100% government subsidy is payable on the remaining £120 a week of Housing Benefit.

Example 2d: registered housing association, rent referred to the Rent Officer, claimant is in a protected group, means tested reduction applies

• Full eligible rent and eligible service charges come to £200 a week
• Local authority considers the rent to be unreasonably high and refers it to the - Rent Officer
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority is unable to restrict the claimant’s benefit because he or she is in a protected group and there is no suitable cheaper accommodation available to which it would be reasonable to expect him/her to move
• The claimant’s income means that he or she is required to make a personal means-tested contribution of £20 a week towards the rent - Housing Benefit of £180 is awarded

The local authority receives 60% subsidy on an amount equal to the difference between the full rent of £200 a week and the Rent Officer’s CRR (£140): this means the first £60 a week of the Housing Benefit award attracts 60% government subsidy and 100% subsidy is payable on the remaining £120 a week of Housing Benefit.

Example 3a: landlord is a charity, claimant not in a protected group, no means tested reduction

• Full eligible rent and eligible service charges come to £200 a week
• Local authority must refer the rent to the Rent Officer as the landlord is not a registered housing association
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority considers suitable alternative supported accommodation would cost £180 a week and that is the rent allowed for Housing Benefit
• Claimant entitled to full Housing Benefit of £180 a week - no means-tested reduction

The local authority receives 100% subsidy from central government covering the first £140 a week of the benefit award; the remaining £40 a week attracts zero subsidy

Example 3b: landlord is a charity, claimant is in a protected group, no means tested reduction

• Full eligible rent and eligible service charges come to £200 a week
• Local authority must refer the rent to the Rent Officer as the landlord is not a registered housing association
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority is unable to restrict the claimant’s benefit because he or she is in a protected group and there is no suitable cheaper accommodation available to which it would be reasonable to expect him/her to move
• Claimant entitled to full Housing Benefit of £200 a week - no means-tested reduction

The local authority receives 100% subsidy from central government covering the first £140 a week of the benefit award; the remaining £60 a week attracts 60% subsidy of £36 a week so the full

Example 3c: landlord is a charity, claimant not in a protected group, means tested reduction applies

• Full eligible rent and eligible service charges come to £200 a week
• Local authority must refer the rent to the Rent Officer as the landlord is not a registered housing association
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority considers suitable alternative supported accommodation would cost £180 a week and that is the rent allowed for Housing Benefit
• The claimant’s income means that he or she is required to make a personal means-tested contribution of £20 a week towards the rent - Housing Benefit of £160 is awarded

The local authority receives zero subsidy on an amount equal to the difference between the rent used to work out the claimant’s Housing Benefit (£180) and the Rent Officer’s CRR (£140): this means the first £40 a week of the Housing Benefit award is not subsidised and 100% government subsidy is payable on the remaining £120 a week of Housing Benefit.

Example 3d: landlord is a charity, claimant is in a protected group, means tested reduction applies

• Full eligible rent and eligible service charges come to £200 a week
• Local authority considers the rent to be unreasonably high and refers it to the Rent Officer
• Rent Officer sets a Claim Related Rent of £140 a week
• Local authority is unable to restrict the claimant’s benefit because he or she is in a protected group and there is no suitable cheaper accommodation available to which it would be reasonable to expect him/her to move
• The claimant’s income means that he or she is required to make a personal means-tested contribution of £20 a week towards the rent - Housing Benefit of £180 is awarded

The local authority receives 60% subsidy on an amount equal to the difference between the full rent of £200 a week and the Rent Officer’s CRR (£140): this means the first £60 a week of the Housing Benefit award attracts 60% government subsidy and 100% subsidy is payable on the remaining £120 a week of Housing Benefit.