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Original poster

Will UC housing element also pay hot water and heating costs?

90 replies

Question8383 · 25/06/2024 17:32

Posting for traffic as I posted on the Property/DIY board but didn’t receive any comments. I’d really appreciate advice as I need to make a decision soon!

I’ve put in an offer for a rental property that’s been accepted by the Landlord. The Estate Agents called me today saying that the Landlord has only now revealed that they will be charging £200 a month to cover hot water and heating costs which will be on top of the monthly £1900 PCM rent. This will also be written into the tenancy agreement.

I told the EA to withdraw the offer because £2100 is way above my LHA which is £1944. The EA suggested to put in an offer for £1800 PCM and with the £200 additional charge, that will take the monthly total up to £2000. Now, here’s my question.

As the £200 charge will be written in my tenancy, will this also be covered by the housing element? Will I receive £1944 a month by UC and have to top it up by £56. Or will UC pay £1800 which is the official rent price and I’ll have to cover the £200 by myself? I’m struggling to find an answer on this so I’d be helpful to hear from those in the same situation and are on UC

OP posts:
Beezknees · 25/06/2024 18:23

UC will not cover service charges. I rent and get UC and I pay service charges to my housing association, they are not included in UC.

Out of interest though you would have to pay utility bills anyway so what's the difference as to who you pay them to?

BarHumbugs · 25/06/2024 18:22

UC housing element will only cover the rent, any bills paid to the landlord will have to be covered another way. I would also make sure who is responsible for any shortfall in the heating/water costs, many of those communal systems are getting very old and people are being hit with massive bills at the end of the year. Not to mention that fact that you can't ever economise on that bill, you are at the mercy of your possibly wasteful neighbours.

fizzwhizz1 · 25/06/2024 18:20

Apologies; just re-read and it says your LHA is £1944

fizzwhizz1 · 25/06/2024 18:18

You are aware that the LHA won't cover all that rent (unless you live in London and have a 'need' for four+ bedrooms)

Menora · 25/06/2024 18:18

They will only pay X in rent and sometimes X in service charges if this is a utility they will not cover it.

However you would need to pay utilities anyway if renting so you need to work out if £200 is towards what you would be paying out of your own pocket for gas and electric. Not clear whether it’s electricity or gas including water?

Blushingm · 25/06/2024 18:17

Why should they? You should be paying your own heat and hot water like everyone else - UC only help with basic rent

Original poster
Question8383 · 25/06/2024 18:16

kitchenhelprequired · 25/06/2024 17:52

Not your original question but how is the £200 for hot water and heating worded? A tenancy can include bills or specific bills but I would check out the legal position on a £200 charge. If it isn't with a separate bills company and there's any chance the bills won't come to that amount that would make the landlord an energy supplier which is whole different ballgame of regulation. www.citizensadvice.org.uk/consumer/energy/energy-supply/problems-with-your-energy-supply/what-your-landlord-can-charge-for-energy/

Where I live now, all the flats within the block share the hot water + heating. The Landlord gets a yearly bill which is paid for by him to the council.

When looking at new properties on the market, I can see that some will include the hot water + h bill into the monthly rent charge (they’ve upped the rental amount to cover this charge). So I assume the Landlord will be paying the £200 to the council when they get the yearly billing and not to a specific energy supplier. Would the same thing apply in this situation?

OP posts:
ml3jp · 25/06/2024 18:14

Your heating and hot water is an ineligible charge. UC will only pay the rent element, and as you say, that’ll be capped at your LHA rate (dictated by where you live and how many bedrooms your household is entitled to).

DamnUserName21 · 25/06/2024 18:11

Hi, I had central heating and hot water included in my rental contract. UC only paid towards for rent element based on the LHA rates.
They won't pay towards the bills and I'd be careful to ensure actual rental amount is declared in your change of circumstances.

Original poster
Question8383 · 25/06/2024 18:06

PeonySeasons · 25/06/2024 17:47

Well, you'd have had to pay your gas, electric and water anyway wouldn't you? How would you have paid that as separate bills?

And no, I doubt that UC will cover it as its not part of the DHP.

If the tenancy agreement says, ‘£2000 rent PCM’ and somewhere within the tenancy there’s a small clause that says, ‘£1800 to be paid directly to EA and £200 to be paid to LL to cover heating + hw,’ I’m simply asking whether I’ll be given the full amount of my LHA or whether £1800 will be paid and I cover the £200 myself. Nowhere have I mentioned anything about applying for a DHP.

I’d really appreciate to hear from those on UC who may have a similar sort of set up in their tenancy agreement. I find it more helpful hearing from those with first hand experiences. I have asked the question on my journal too so hopefully I have an answer either way

OP posts:
kitchenhelprequired · 25/06/2024 17:52

Not your original question but how is the £200 for hot water and heating worded? A tenancy can include bills or specific bills but I would check out the legal position on a £200 charge. If it isn't with a separate bills company and there's any chance the bills won't come to that amount that would make the landlord an energy supplier which is whole different ballgame of regulation. www.citizensadvice.org.uk/consumer/energy/energy-supply/problems-with-your-energy-supply/what-your-landlord-can-charge-for-energy/

PeonySeasons · 25/06/2024 17:47

Well, you'd have had to pay your gas, electric and water anyway wouldn't you? How would you have paid that as separate bills?

And no, I doubt that UC will cover it as its not part of the DHP.

Nospringchix · 25/06/2024 17:40

I think UC will just pay the LHA rate and you will need to top up the £56 plus the extra for heating and hot water, just as of you were paying for gas and electricity in the normal way. If you are really struggling I think you can apply for a discretionary housing payment.

FunLurker · 25/06/2024 17:39

I'm not on UC but I believe you will have to pay the bills and the tenancy will state rent xx and bills xx