Renting out a property in light of new UC legislation

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    Renting out a property in light of new UC legislation

    H All,

    I regularly work with the council to provide housing to LHA claimants, with years of experience in how the system works, its not actually as bad as some people make it, but of course every case is different and it does have it ups and downs.

    I would like to know what the consensus is on the forum with regards to the new Universal Credit regulation coming next year, I may have a proeprty vacant in the early part of next year and with all my lets, I always insist on direct landlord payments. I know this topic has been covered many times, but I do not see a sticky on the forums with new trends, changes in legislation etc.

    Are there things that I can insist on etc, lastly if an existing LHA claim is such that its been agreed that rent is paid directly to the landlord, can the govt just change that overnight ?

    Thanks in advance

    You have an agreement with the tenant that you are paid direct.
    The government are not a party to this contract.
    Allow tenants to protect their own deposits. I want free money when they do it wrong


      Dunno what others think but given the record of big government IT projects (terrible, late..) and my assessment of Duncan-Smiff's brain power I doubt UC will come in, in full, on schedule & dear old HB/LHA will carry on a bit longer..

      Hope I'm wrong...
      I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...


        Originally posted by theartfullodger View Post
        I doubt UC will come in, in full, on schedule
        The link below is from Sunday's "The Independent".


          it will be like LHA without the money to make it work in the pilots!!! I remember they spent something like £90 million on the LHA pilot schemes (typical labour)


            UC sounds like a joke. I hope they are running these schemes up north as the travel agents will have a field day when the tenant receive their £1200 monthly cheques. Idiotic idea, all I hear is the council talking about how succesful this or that was, still waiting to hear the exact figures on how many direct payments fall into tenant arrears because to me it seems like well over 50%


              Originally posted by Petetong View Post
              it will be like LHA without the money to make it work in the pilots!!! I remember they spent something like £90 million on the LHA pilot schemes (typical labour)
              Last time I looked 'labour' were no longer in Government !

              This scheme is from the Coalition.

              Refer Mad Regulators to Arkell vs Pressdram.


                i think you missed the point

                they were on about what the labour gov did
                ie 90 mill for pilot schemes

                as i think were all aware who's in govt now




                  The LHA pilot exercise; the failure of around 30% of tenants handing over the HB between 2008-10; the forced "Westminster Inquiry" in 2010 due to arrears rising dramatically; and the subsequent easements in the "safeguards", including payment of the first cheque in the name of landlords; and the quid pro quo of LHA being re-directed to landlords when they agreed to reduce rents to the LHA level, is as good a "demonstration project" as you'll get. But Coalition Ministers will not acknowledge past "school boy errors" and learn lessons from them.

                  The ongoing "demonstrations" have been "doomed to succeed" from day one and not an ounce of truth arising from this exercise will be published. One of the participants broke ranks last week declaring his organisation estimated losses of £8M. In response IDS has advised Parliament that there is minimal problems with only a handful of cases experiencing arrear issues.

                  Big egos & reputations are at stake; internecine strife occurs daily at Cabinet meetings with George Osborne but IDS and Lord Freud press on. The good Lord took a pasting at the recent NLA conference where I was his warm up act. PRS landlords rightly challenged his arrogant disregard but the best we can hope for Is UC will be further delayed. Few areas will be affected before April 2014 so hold tight if you're thinking of pressing the ejector button!

                  The Universal Credit Regulations and accompanying explanatory note can be accessed on
         With numerous sets of associated legislation and explanatory notes so much for simplification.



                  Latest Activity


                  • Thinking aloud...
                    I've been reading the posts on this forum of tenants who stop paying rent when receiving notice to leave.
                    im simply curious to know that if a tenant on HB receives, for an example, £400 in HB paid directly to the LL and makes up the short fall of £100 themselves, then goes to the council offices...
                    15-01-2018, 16:30 PM
                  • Reply to Thinking aloud...
                    Yes it's a pain for both LL and tenant.

                    I claim HB, direct to LL, and once had it stopped for 2 months because the DWP made a mistake and told the council I was no longer claiming disability benefit (must have been a miracle cure).
                    Of course I was still claiming the disability benefit,...
                    17-01-2018, 15:18 PM
                  • Reply to Thinking aloud...
                    MisterB, yes, indeed, people not on benefits can stop paying which was sort of part of my query.
                    thinking aloud I was wondering if a tenant on benefits being paid direct to the LL from the council decided not to pay the shortfall (£100 pcm in my example) for whatever reason would only leave the...
                    17-01-2018, 10:04 AM
                  • Reply to Thinking aloud...
                    Mo - five men, four men, three men, two men, one man and his dog went there apparently .....

                    I don't think your question actually has one single answer .... though if youre not a landlady yet, perhaps you might be considering not taking on HB tenants, but the truth is anyone can stop paying...
                    17-01-2018, 08:43 AM
                  • Reply to Thinking aloud...
                    If it's being paid direct to the LL (HB or UC-he) then it will continue to be paid until the claim is closed, or the claimant asks for it to be paid to themselves.

                    The claim can be closed by:
                    The claimant telling them to close it altogether. (For whatever reason).
                    The claimant...
                    16-01-2018, 16:07 PM
                  • Reply to Thinking aloud...
                    Mrs Mug
                    Also, in your area, would the tenant be getting Universal Credit that would affect how much Housing Benefit they actually receive....
                    16-01-2018, 15:43 PM
                  • Reply to Thinking aloud...
                    If the tenant is still in the property, Housing Benefit wouldn't stop. It would be paid until they left the property.

                    In regards to HB departments stopping payment for the slightest thing, it would depend on what that "slightest thing" is. After all, Housing Benefit is a means...
                    16-01-2018, 13:53 PM
                  • Reply to Thinking aloud...
                    CO2 detectors won't (usually) help much: CO detectors might ....
                    16-01-2018, 13:36 PM
                  • Reply to Thinking aloud...
                    He is self employed and knows what can and cannot be claimed tax wise. The house has been fully rewired with mains smoke/fire detectors. Co2 detectors will be fitted, gas central heating services with gsc issued.
                    We have concentrated on making it tenant proof rather than fancy LOL!
                    16-01-2018, 13:23 PM
                  • Reply to Thinking aloud...
                    Join RLA or NLA and do one of there introductory courses on being a landlord. That will cost you less in time & money than what you save.

                    If hubby is restoring it to be rented out, how does he know what standards are required (eg fire alarm, smoke detectors, CO detectors)
                    16-01-2018, 10:05 AM