From 1st January 2012 significant changes will be introduced that will impact customers who are under the age of 35, in receipt of Housing Benefit and rent their property from a private landlord.
Currently single customers under the age of 25 have their Housing Benefit restricted to the shared room rate/ single room rent. Please note that there are special rules for care leavers and customers in receipt of the Severe Disability Premium.
From 1st January 2012 the shared room rate/ single room rent will be extended and will affect all customers under the age of 35 unless exempt from new rules (See below).
This means, that customers under the age of 35 making a new claim for Housing Benefit on or after 1st January 2012 will have their Housing Benefit restricted to the Single Room Rate rather than the one bedroom self contained rate.
For example: The current one bed rate is £115.38 per week. If you are to be affected by the changes your rent and subsequently the maximum Housing Benefit you could receive would be the shared room rate at £61.62 (based on September 2011 figures).
Customers who experience a shortfall between between their rent amount and the amount of Housing Benefit they receive, will be expected to make up the difference. Alternatively they may want to consider moving to cheaper accommodation or move into shared accommodation.
Existing customers who are receiving transitional protection as a result of the April 2011 Local Housing Allowance changes will move to the shared accommodation rate at the same time as their transitional protection ceases.
Existing customers not receiving transitional protection i.e. those whose claims are made on or after 1 April 2011 but before 1 January 2012, will move to the shared accommodation rate on the anniversary of their claim.
Claims that do not fall within the Local Housing Allowance scheme and require an annual Rent Officer review will move to the shared accommodation rate (previously known as the single room rent) on the annual review of their case on or after 1st January 2012.
As well as the existing exemptions available to care leavers and those receiving the Severe Disability Premium, the Department for Work and Pensions have confirmed the following additional exemptions:
You will need to be 25 to 34 and rent a self-contained property and meet either of the following criteria: :
Vulnerable Homeless: You have for a total of at least 3 months (whether or not continuously), occupied as your home, one or more hostels for homeless people; and whilst occupying such a hostel, have been offered and have accepted support services with a view to assisting to be rehabilitated or resettled within the community.
Ex Offenders: The exemption will apply to ex offenders aged 25 or over who are subject to Multi Agency Public Protection Arrangements (MAPPA).The exemption will only apply if you are a Level 2 or 3 MAPPA offender. If you feel you are eligible for exemption under this rule then please contact your Offender Manager or the Duty Manager at the Probation Services or Police Station. Please do not telephone or write to this council with your details, as an exemption can only be awarded by the Probation Services or Police Services completing the appropriate form and sending the form to Southampton City Council through a secure email address.